Accrual based accounting - Study guides, Class notes & Summaries

Accounting - An information system that provides reports to users about the economic activities and condition of a business. Accounts Payable - liability created by a purchase on account - reduces the amount owed on a liability Accounts Receivable - claim against the customer in which you had provided a service and were being payed for it - increases assets & stockholder's equity - promises of payment from customers to sellers Accrual Basis of Accounting - - revenues are reported on the...

Account receivable system Ans- a system to account for revenue that is due. has been earned but not yet collected Accrual accounting system Ans- An accounting system that matches revenue generated with the expenses incurred to generate the revenue Commercial food service operations Ans- Food service operations found in lodging properties, clubs, restaurants, and other businesses. These operations exist to make a profit from the sale of food and beverage Contract management company ...

APB Opinions - ACCURATE ANSWERS The APB's official pronouncements issued from 1959 through 1973 which were intended to be based mainly on research studies and be supported by reasons and analysis. Accounting Principles Board (APB) - ACCURATE ANSWERS An accounting rule-making board which provided official pronouncements, called APB Opinions, from 1959 through 1973. Accounting Research Bulletins - ACCURATE ANSWERS Pronouncements issued by CAP dealing with a variety of timely accounting prob...

ACCT 2102 Questions and Answers | Latest Version | 2024/2025 | 100% Verified What is the definition of a contingent liability? A contingent liability is a potential obligation that may arise depending on the outcome of a future event, such as a lawsuit. Explain the term "capital expenditures." Capital expenditures are funds used by a company to acquire or upgrade physical assets such as property, buildings, or equipment. What is an operating cycle? An operating cycle is th...

WGU C213 Home Study Thorough Review and Complete Answers Ace your first Attempt Updated 2024/2025 Which two values affect the measurement of net income - Correct Answer Operating expenses & Ordinary gains and losses Which two items' subtotals are included in a multi-step income statement - Correct Answer Gross profit & Income from operations Given the following, which month should advertising costs be expensed by a company using accural based accounting: The furniture company paid $3,0...

absolute advantage - Answer-A monopoly on producing a product at a lesser price. absolute liability - Answer-Responsibility of a producer of any harm that is caused by s product (regardless if it was foreseeable). accountability - Answer-Accepting consequences of actions. accounting - Answer-The occupation of maintaining and auditing records and preparing financial reports for a business and the interpretation thereof. accounting system - Answer-Computer program for accounting. accounts p...

Management Analyst Exam Prep 90 Questions with Verified Answers Different authorities have conflicting views regarding delegation. However, there seems to be a general agreement that if chief executive A delegates a task to subordinate executive B, Executive B cannot in-turn delegate to junior executive C A. Within organizational policy, to prescribe the methods to be used in performing the task. B. Responsiblity for direct supervision of the task to be performed. C. The duty to insure t...

Order of assets listed on the balance sheet Assets are listed in the order of liquidity. Liquidity is the amount of time it would usually take to covert an asset into cash. Obviously, cash would be listed first, followed by marketable investments (a company can quickly convert a short-term investment into cash). Accounts receivable would be listed next followed by inventory, and long-term investments, fixed assets, and intangibles. Current assets are listed before long-term assets. Curre...

APB OpinionsAnswer - The APB's official pronouncements issued from 1959 through 1973 which were intended to be based mainly on research studies and be supported by reasons and analysis. Accounting Principles Board (APB)Answer - An accounting rule-making board which provided official pronouncements, called APB Opinions, from 1959 through 1973. Accounting Research BulletinsAnswer - Pronouncements issued by CAP dealing with a variety of timely accounting problems during the years 1939 to ...

Accounting can either be based on what 2 types of accounting? 1. Accrual Accounting 2. Cash-Basis Accounting Accrual Accounting -Records what (2)? -Required by what? Accounting that records the impact of a business event as it occurs, regardless or whether the transaction affected cash. -Making the sale (not collecting the cash) increases your wealth Required by Generally Accepted Accounting Principles (GAAP) Records: ► Revenue when earned ► Expenses when incurred (not necessarily when cash...