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▪ Business - Ans .All of the activities necessary to provide the members of an economic system with goods and services ▪ Types of Businesses - Ans .Supplier, Manufacturer/Producer, Distributor/Wholesaler, Restaurant ▪ Business entity - Ans .An organization operated to earn a profit ▪ Sole proprietorship - Ans .A form of organization with a single owner ▪ Economic entity concept - Ans .The assumption that a single, identifiable unit must be accounted for in all situations ▪...

1. Accounting system - Ans .The personnel, procedures, devises, and records used by an organization to develop accounting information and communicate it to the decision makers. 2. Balance Sheet - Ans .Shows the financial position as of a particular date. (quarter of year) Reports assets, Liabilities, and owners' equity 3. Business entity - Ans .The business is assumed to have an existence separate from its owners, creditors, employees, and other parties. 4. Certified Public Accountant ...

▪ Accounting - Ans .a system used to analyze, measure, record, summarize and report the results of a business's activities ▪ 3 major forms of business - Ans .Sole Proprietorship Partnership Corporation ▪ Separate Entity Assumption - Ans .Transactions of a business must be kept separate from the personal transactions of its owners ▪ Historic Cost Principle - Ans .assets are recorded at the historic cash-equivalent cost, which is the amount paid or payable on the date of the tr...

▪ financial statements - Ans .Accounting information may be generated for a variety of purposes. The key products of accounting are: ▪ Stockholders - Ans .By definition, who are the owners of a corporation? ▪ assets - Ans .Items such as buildings and land are: ▪ Retained Earnings - Ans .Which of the following accounts increases with a credit? A) Retained Earnings, B) Cash, C) Accounts Receivable, D) Both A and B ▪ True - Ans .True or False. There is net income when total revenu...

Which of the following accounts would be classified as a liability? Answers: Prepaid Rent Unearned Revenue Retained Earnings Notes Receivable Unearned Revenue Which of the following statements related to the accounting cycle is false? Answers: The general ledger summarizes all transactions that occurred during the period grouped by account. The general journal is kept in chronological order. Posting is transferring transactions from the general ledger to the general journal. The tria...

▪ the full (9 step) account cyle - Ans .1. analyze transaction - 2. journal transaction - 3. post transaction to T accounts - 4. Trial balance - 5. adjusting entries - 6. adjusted trial balance - 7. financial statements - 8. closing entries - 9. statement of cash flows ▪ 3 basic activities of accounting - Ans .1. identifying: what - 2. recording: when - 3. communicating: how ▪ who uses accounting data - Ans .internal users: managers external users: investors, creditors, regula...

▪ Accounting - Ans .An information system that gathers, summarizes, records and communicates data to interested parties ▪ CPA - Ans .(Certified Public Accountant) An accounting professional who has passed the uniform examination and has also met additional state certification and experience requirements. ▪ FASB - Ans .(Financial Accounting Standards Board) Primary purpose is to establish and improve generally accepted accounting principles (GAAP) within the United States in the p...

Describe accounting A. Accounting is the task of bookkeeping for a company. B. Accounting is the process of summarizing and reporting information about a company in order to file tax returns. C. Accounting is a process of identifying, recording, summarizing, and reporting economic information to decision makers. D. Accounting is the task of entering data into a program that is accessible to the public. - Ans .C Identify the correct statement about corporations and a sole proprietor...

▪ accounting - Ans .an information system that provides reports to other users about the economic activities and condition of a business ▪ assets - Ans .the resources owned by a business ▪ liabilities - Ans .debts owed to creditors ▪ owner's equity - Ans .the owner's right to the assets of the business after all liabilities have been paid ▪ business entity concept - Ans .limits the economic data in an accounting system to data related directly to the activities of the busin...

What does AICPA stand for? - Ans .American Institute of Certified Public Accountants What does the AICPA author? - Ans .Statements of Position (SOPs) What did the AICPA publish? - Ans .Journal of Accountancy Did the AICPA set up accounting standards? - Ans .NO When was the AICPA most popular? - Ans .Early 1900s So what did the AICPA do? - Ans .1. Offered Leadership 2. Offered Advice (on proper accounting methodologies) The AICPA is a national organization of: - Ans .Certified Public Acc...