Bookkeeping terms are essential for understanding and managing a business's financial records. Key terms include assets, which represent what a business owns, and liabilities, which are the debts or obligations it owes. Equity is the owner's share in the business, calculated as assets minus liabilities. Revenue refers to income earned from sales or services, while expenses are the costs incurred to operate the business. Accounts payable represents money owed to suppliers, whereas accounts receivable is money owed to the business by customers. The general ledger serves as the central record of all financial transactions, and a trial balance ensures that total debits and credits are equal. Additionally, cash flow tracks the movement of money in and out of the business, helping maintain financial stability. Understanding these bookkeeping terms is crucial for accurate record-keeping, financial analysis, and informed decision-making.