Accounting equation notes - Study guides, Class notes & Summaries

WGU D196 Pre- Assessment V1 (Latest 2024/ 2025 Update) Principles of Financial and Managerial Accounting-Questions and Verified Answers| 100% Correct| Grade A Q: Which type of account are accounts payable and notes payable both examples of? Liability Expense Asset Equity Answer: Liability Q: What is the purpose of the financial accounting cycle? To turn information about transactions into financial statements To gather information related to the expenses and income gene...

Basic Accounting Equation - correct answers Assets= Liabilities + Stockholders Equity Corporations - correct answers Separate entity from both a legal and accounting perspective. Owners of corporations (stockholders) are not personally responsible for debts of the corporation Separate Entity Assumption - correct answers requires that a business's financial reports include only the activities of the business and not those of its stockholders Assets - correct answers Resources controll...

Basic Accounting Equation - correct answers Assets= Liabilities + Stockholders Equity Corporations - correct answers Separate entity from both a legal and accounting perspective. Owners of corporations (stockholders) are not personally responsible for debts of the corporation Separate Entity Assumption - correct answers requires that a business's financial reports include only the activities of the business and not those of its stockholders Assets - correct answers Resources controll...

BOMI- Budgeting and Accounting Exam Questions And Answers 100% Pass Which key components make up the bookkeeping process? (2) - Answerrecording and classifying transactions is known as bookkeeping. Describe the roles filled by a accountant (3) - AnswerAccounting is a system of summarizing, interpreting, and communicating financial data. What are the primary functions associated with accounting ? (4) - AnswerAccounting is the next step in the process. Accounting is the system of summarizin...

Accounting 200 - Exam 1 Prep Questions with Verified Solutions 1. What characteristic defines a sole proprietorship? The owner assumes personal responsibility for the business's debts, even if they exceed the owner's invested capital. 2. Identify the financing activities from the options below. (Choose all that apply.) - Issued Stock - Issued a Notes Payable 3. What system provides the necessary financial information for managing a company? Accounting system 4. What does...

Which of the following is NOT true of the Financial Accounting Standards Board (FASB)? - It is a government agency THEY DO: It consists of seven full-time members It seeks consistency for its proposed standards It has no legal power to enforce the standards it sets Generally accepted accounting principles are - Developed by accounting rule makers The initials GAAP stand for - Generally Accepted Accounting Principles The current standard-setting board for accounting in the private sector...

What is an example of direct materials? Cost of robotic equipment in making automobiles Cost of sandpaper in making wood furniture Cost of saws and hammers in constructing a house Cost of aluminum in making an airplane -Correct Answer Cost of aluminum in making an airplane What is the effect of a company's accounting department maintaining high ethical standards? The company can hire fewer accountants to do the same amount of work. The company can report more favorable results in its...

What is the effect of a company's accounting department maintaining high ethical standards? -The company can report more favorable results in its financial statements. -The company's accounting information will decrease in value. -The company can hire fewer accountants to do the same amount of work. -The company's accounting information will increase in value. - ANS The company's accounting information will increase in value. Why might employees be interested in their compan...

What is the effect of a company's accounting department maintaining high ethical standards? -The company can report more favorable results in its financial statements. -The company's accounting information will decrease in value. -The company can hire fewer accountants to do the same amount of work. -The company's accounting information will increase in value. -Correct Answer The company's accounting information will increase in value. Why might employees be interested in thei...

What is the effect of a company's accounting department maintaining high ethical standards? The company can hire fewer accountants to do the same amount of work. The company's accounting information will decrease in value. The company can report more favorable results in its financial statements. The company's accounting information will increase in value. -Correct Answer The company's accounting information will increase in value. Why might employees be interested in their co...