Financial accounting - Guías de estudio, Notas de estudios & Resúmenes

What is the financial accounting equation? - Answer-Assets=Liabilities+ Owner's Equity When you make an equity investment, how does it impact the equation? - Answer-It increases owner's equity and assets. When you take out a loan, how does it impact the equation? - Answer-Assets increase because the loan provides the business with more cash. Liabilities also increase because the business now has the obligation to pay back the loan at some point in the future. When you buy equipment or...

Accounting - Answer-an information system that provides reports to users about the economic activities and condition of a business. *The language of Business* Business - Answer-an organization in which basic resources (inputs), such as materials and labor, are assembled and processed to provide goods or services (outputs) to customers. Process accounting provides information - Answer-1. Identify users. 2. Assess users' information needs. 3. Design the accounting information system to...

Revenue should not be recognized until: - Answer-the earnings process is complete and collection is reasonably assured The matching principle is: - Answer-An accrual accounting principle A cause and effect relationship between revenue and expense is best exemplified by: - Answer-Units of production depreciation expense The expense that least fits a cause and effect relationship for matching revenues and expenses would be: - Answer-Advertising expense (not COGS, units of production depre...

This term represents all money claims against other entities, including people, business firms, and other organizations. - Answer-receivables A note receivable due in 3 years is listed on the balance sheet under the caption: - Answer-Investments. Selling receivables is also known as: - Answer-factoring. Under the direct write-off method: - Answer-bad debt expense is recorded when the customer's account is deemed to be worthless. When a customer's account is identified as uncollecti...

Accounts Receivable - Answer-Asset, Balance Sheet Accumulated Depreciation - Answer-Asset, Balance Sheet Building - Answer-Asset, Balance Sheet Equipment - Answer-Asset, Balance Sheet Cash - Answer-Asset, Balance Sheet Supplies - Answer-Asset, Balance Sheet Accounts Payable - Answer-Liability, Balance Sheet Interest Payable - Answer-Liability, Balance Sheet Wages Payable - Answer-Liability, Balance Sheet Rent Payable - Answer-Liability, Balance Sheet Bonds Payable -...

Accounting - Answer-an information system; Measures business activities; Processes data into reports; Communicates results to decision makers ;Is "the language of business" Who uses accounting information? - Answer-Individuals, investors/creditors, regulatory bodies, non profit organizations What are the 2 kinds of accounting? - Answer-Financial Accounting and Managerial accounting Financial Accounting - Answer-for decision makers outside the entity; investors , creditors, government ...

Exam Solutions Manual For Financial Accounting with International Financial Reporting Standards (IFRS) 5th Edition By Jerry Weygandt, Paul Kimmel (All Chapters, 100% Original Verified, A+ Grade) Exam Solutions Manual For Financial Accounting with International Financial Reporting Standards (IFRS) 5th Edition By Jerry Weygandt, Paul Kimmel (All Chapters, 100% Original Verified, A+ Grade) Exam Solutions Manual For Financial Accounting with International Financial Reporting Standards (IFRS) 5t...

FINANCIAL ACCOUNTING EXAM 1FINANCIAL ACCOUNTING EXAM 1FINANCIAL ACCOUNTING EXAM 1FINANCIAL ACCOUNTING EXAM 1FINANCIAL ACCOUNTING EXAM 1FINANCIAL ACCOUNTING EXAM 1FINANCIAL ACCOUNTING EXAM 1FINANCIAL ACCOUNTING EXAM 1FINANCIAL ACCOUNTING EXAM 1VFINANCIAL ACCOUNTING EXAM 1

Accounting - Answer-The information system that identifies, records, and communicates the economic events of an organization to interested users Auditor's Report - Answer-A report prepared by an independent outside auditor stating the auditor's opinion as to the fairness of the presentation of the financial position and results of operations and their conformance with GAAP Balance Sheet - Answer-Reports the assets and claims to those assets (liabilities and SE) at a specific point in tim...

Times Interest Earned - Answer-Income before interest expense and income taxes ÷ Interest Expense Debt-to-Equity Ratio - Answer-Total Liabilities ÷ Total Equity Basic Earnings per Share - Answer-Net Income - Preferred Dividends ÷ Weighted-average common shares outstanding Price-earnings (PE) Ratio - Answer-Market Value (price) per share ÷ Earnings per share Dividend Yield - Answer-annual cash dividends per share ÷ market value per share Book value per common share - Answer-St...