Exam (elaborations)
PACE exam 2023/2024 already graded A+
- Course
- Institution
PACE exam 2023/2024 already graded A+
[Show more]
Content preview
PACE examwhat are assests - ANSresources controlled by company
basic elements of balance sheet - ANSassests
liabilities
stockholder equity
sole proprietorship - ANS1 person owning company
partnership - ANS2 or more owners
corporation - ANSseparate entityfrom legeal and accounting perspective
accounting equation - ANSA=L+SE
how are debits and credits displayed - ANSDR on left and CR on right
expenses - ANSall cost of doing business that are necessary to earn revenue
purpose of retained earnings - ANSreports the way net income and distribution of dividends
affect financial position
retained earning formula - ANSbeg RE + NI - DIVIDENDS=end RE
headings of financial statements contain - ANSCOMPANY NAME
TYPE OF STATEMENT
DATE
cash flows - ANSFinancing
Investing
Opertating
operating - ANSrunning the business; short term asset
change asset and liabilities
investing - ANSbuying and selling resources; long term asset
financing - ANSborrowing from banks ; long term liability; stocks and bonds
dividends - ANSdistribution of earnings
, revenue - ANSselling goods or services to customers
internal controls purposes - ANSmethods company use to protect against THEFT, enhance
RELIABILITY, promote EFFICIENCY, ensure COMPLIANCE WITH LAWS
separation of duties - ANSeach person assigned to specific job
internal controls - ANSensure accuracy in accounting reports
interest formula - ANS(P*R*T) principal, rate, time
current assests - ANSassests the busniess will use up or turn into cash within 12 months
current liability - ANSdebts and other obligations that will be paid or fulfilled within 12 months
matching principle - ANScost of employee wages is recorded in the same period that the
employees work to generate revenue for the company
adjusting entries are made to... - ANSretained revenue and expenses that have not been
recorded but belong in current period
accured expense - ANSexpense have been incurred but not paid
accured revenue - ANSrevenue that been earned but not collected
permanent accounts - ANSbalance sheet accounts (A, L, SE)
not closed at end of each period
temporary accounts - ANSincome statement accounts (Revenues, Expenses, Dividends
Declared)
are closed at end of each period
general ledger - ANSsummarizes effects of journal entries on each account
general journal - ANSto record the effects of each days transactions
service company - ANSsell services
retail company - ANSsell directly to individual customers
manufacturer - ANSsells goods that it has made itself
merchandiser - ANSsells goods that have been obtained from a supplier
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller Ashley96. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $9.99. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
76658 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy study notes for 14 years now