Acct Exam 1-Wiley Plus Questions and Answers 2024

Acct Exam 1-Wiley Plus Questions and Answers 2024 accounting - answerthe information system that identifies, records, and communicates the economic events of an organization to interested users annual report - answera report prepared by corporate management that presents financial information including financial statements, a management discussion and analysis section, notes, and an independent auditor's report assets - answerresources owned by a business auditor's report - answera 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 generally accepted accounting principles balance sheet - answera financial statement that reports the assets and claims to those assets at a specific point in time basic accounting equation - answerassets= liabilities + stockholders' equity certified public accountant (CPA) - answeran individual who has met certain criteria and is thus allowed to perform audits of corporations common stock - answerterm used to describe the total amount paid in by stockholders for the shares they purchase corporation - answera business organized as a separate legal entity owned by stockholders dividends - answerpayments of cash from a corporation to its stockholders expenses - answerthe cost of assets consumed or services used in the process of generating revenue income statement - answera financial statement that reports a company's revenues and expenses and resulting net income or net loss for a specific period of time liabilities - answeramounts owed to creditors in the form of debts and other obligations management discussion and analysis (MD&A) - answera section of the annual report that presents management's views on the company's ability to pay near-term obligations, its ability to fund operations and expansion, and its results of operations net income - answerthe amount by which revenues exceed expenses net loss - answerthe amount by which expenses exceed revenues notes to the financial statements - answernotes clarify information presented in the financial statements and provide additional detail partnership - answera business owned by two or more persons associated as partners retained earnings - answerthe amount of net income retained in the corporation retained earnings statement - answera financial statement that summarizes the amounts and causes of changes in retained earning for a specific time period revenue - answerthe increase in assets or decrease in liabilities resulting from the sale of goods or the performance of services in the normal course of business Sarbanes-Oxlet Act (SOX) - answerregulations passed by congress to reduce unethical corporate behavior sole proprietorship - answera business owned by one person statement of cash flows - answera financial statement that provides financial information about the cash receipts and cash payments of a business for a specific period of time stockholders' equity - answerthe owners' claim to assets classified balance sheet - answera balance sheet that groups together similar assets and similar liabilities, using a number of standard classifications and sections comparability - answerability to compare the accounting information of different companies because they use the same accounting principles consistency - answeruse of the same accounting principles and methods from year to year within a company cost constraint - answerconstraint that weighs the cost that companies will incur to provide the information against the benefit that financial statement users will gain from having the information available current assets - answerassets that companies expect to convert to cash or use up within one year or the operating cycle, whichever is longer