Financial Accounting 207 University of Dayton Final Exam test (Questions + Answers) Solved

assets resources owned by the business (things of value) liabilities creditors claims on total assets (obligations or debts of the business) stockholders equity ownership claims on total assets basic accounting equation assests= liabilities + stockholders equity generally accepted accounting principles set of rules and practices that provide answers to the followong questions - How does a company decide on the type of financial info to disclose? - What format should a company use? - How should a company measure assests, liabilities, revenues, and expenses? monetary unit assumption states that only transactions expressed in money are included in accounting records economic entity assumption -every economic entity can be separtely identified and accounted for -economic events can be identified w/ a particular unit of accountabilty