ACCT 211-Liberty University EXAM 1 with verified answers

ACCT 211-Liberty University EXAM 1 with verified answersImportance of Accounting - correct answer Identifying, Recording, Communicating Users of Financial Information - correct answer 1. Internal 2. External Internal Users - correct answer Internal users of accounting information ARE directly involved in managing and operating an organization. External Users - correct answer External users of accounting information are NOT directly involved in running the organization 3 Parts of the Fraud Triangle - correct answer Opportunity-Envision a way to commit fraud with a low perceived risk of getting caught Rationalization-Fails to see the criminal nature of the fraud or justifies the action Financial Pressure-Must have some pressure to commit fraud, like unpaid bills Dodd-Frank Wall Street Reform and Consumer Protection Act - correct answer This act was designed to: 1. promote accountability and transparency in the financial system, 2. put an end to the notion of "too big to fail," 3. protect the taxpayer by ending bailouts, and 4. protect consumers from abusive financial services. GAAP - correct answer Generally Accepted Accounting Principles aims to make information relevant, reliable, and comparable IFRS - correct answer International Financial Reporting Standards