Financial Accounting IFRS Edition - Chapter 1: Accounting in Action

Accounting - answer-The information system that identifies, records, and communicates the economic events of an organization to interested users. Assets - answer-Resources a business owns. Bookkeeping - answer-A part of accounting that involves only the recording of economic events. Convergence - answer-Effort to reduce differences between U.S. GAAP and IFRS to enhance comparability. Corporation - answer-A business organized as a separate legal entity under corporation law, having ownership divided into transferable shares. Dividend - answer-A distribution of cash or other assets by a corporation to its shareholders. Economic entity assumption - answer-An assumption that requires that the activities of the entity be kept separate and distinct from the activities of its owner and all other economic entities Equity - answer-The ownership claim on a corporation's total assets. Ethics - answer-The standards of conduct by which one's actions are judged as right or wrong, honest or dishonest, fair or not fair.