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WALL STREET PREP:EXCEL CRASH COURSE /EXCEL CRASH COURSE EXAM 2024 LATEST VERSION FROM WALL STREET QUESTIONS AND 100% CORRECT ANSWERS (BRAND NEW!!)/WSP EXCEL CRASH COURSE.$17.49
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WALL STREET PREP:EXCEL CRASH COURSE /EXCEL CRASH COURSE EXAM 2024 LATEST VERSION FROM WALL STREET QUESTIONS AND 100% CORRECT ANSWERS (BRAND NEW!!)/WSP EXCEL CRASH COURSE.
WALL STREET PREP:EXCEL CRASH COURSE /EXCEL CRASH COURSE EXAM 2024 LATEST VERSION FROM WALL STREET QUESTIONS AND 100% CORRECT ANSWERS (BRAND NEW!!)/WSP EXCEL CRASH COURSE.
Wall Street Prep Accounting Crash Course Exam
I I I I I I I
2023 - 2024 with complete solutions
I I I I I
1. What is Accounting?: Accounting is the language of business; it is a
I I I I I I I I I I I
I standard set of rules for measuring a company's financial performance.
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Assessing a company's financial performance is
I I I I I
I important for: The firm's officers (managers and
I I I I I I
I employees)
Investors
I Lenders
I General
I public
Standard financial statements serve as a "yardstick" of communicating
I I I I I I I I
I financial performance to the general public.
I I I I I
2. Why is Accounting Important?: Enables managers to make corporate
I I I I I I I I
I deci- sions
I
Enables the general public to make investment decisions
I I I I I I I
3. Who Uses Accounting?: Used by a variety of organizations - from the
I I I I I I I I I I I
I federal government to non-profit organizations to small businesses to
I I I I I I I I
I I
,I corporations
We will discuss accounting rules as they pertain to publicly-traded
I I I I I I I I I
I companies
4. Accounting Regulations: Accounting attempts to standardize financial I I I I I I
I infor- mation and follows rules and regulations
I I I I I I
These rules are called Generally Accepted Accounting Principles (GAAP)
I I I I I I I I
In the US, the Securities and Exchange Commision (SEC) authorizes the
I I I I I I I I I I
I Financial Accounting Standards Board (FASB) to determine accounting
I I I I I I I
I rules
GAAP comes from the Statements of Financial Accounting Standards
I I I I I I I I
I (SFAS) issued by the FASB I I I I
5. An Overview of the SEC: A US federal agency established by the US
I I I I I I I I I I I I
I Congress in 1934 I I
Primary mission is "to protect investors and maintain the integrity of the
I I I I I I I I I I I
I securities markets" I
Division of Corporate Finance oversees FASB I I I I I
6. An Overview of FASB: Established in 1973 as an independent body to
I I I I I I I I I I I
I carry out the function of codifying accounting standards on the behalf of
I I I I I I I I I I I
I the SEC Composed of seven full-time members appointed for five years
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I by the Financial Account Foundation (FAF)
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Decisions are influenced by: I I I
I I
,7. International Financial Reporting Standards (IFRS): Over 100 countries,
I I I I I I I
I including the EU, UK, Canada, Australia, and Russia, have adopted a
I I I I I I I I I I
I unified set of international accounting standards (IFRS)
I I I I I I
Although we have seen unprecedented convergence over the last
I I I I I I I I
I few years between US GAAP and IFRS, some differences remain
I I I I I I I I I
I I
, 8. Assumption 1: Accounting Entity: A company is considered a separate
I I I I I I I I I
I "liv- ing" enterprise, apart from its owners
I I I I I I
In other words, a corporation is a "fictional" being
I I I I I I I I
9. Assumption 2: Going Concern: A company is considered a "going I I I I I I I I I
I concern" for the foreseeable future; it is assumed to remain in existence
I I I I I I I I I I I
I indefinitely
10.Assumption 3: Measurement: Financial statements can only show I I I I I I I
I measur- able activities of a corporation such as its quantifiable resources,
I I I I I I I I I I
I its liability, amount of taxes it is facing, etc.
I I I I I I I I
11.Assumption 4: Periodicity: Companies are required to file annual and I I I I I I I I I
I interim reports I
In the US, quarterly and annual financial reports are required
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An accounting year (fiscal year) is frequently aligned with the calendar
I I I I I I I I I I
I year
12.Four Underlying Assumptions of Accounting: (1) Accounting Entity
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(2)Going Concern I
(3)Measurement
(4)Periodicity
I I
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