Intermediate Accounting Kieso - Chapter
1 Question And Answers
Essential characteristics of accounting - Correct Answer ✔✔ - identification,
measurement and communication of finanical information about economic
entities to interested parties
Financial Accounting - Correct Answer ✔✔ - the process that culminates in
the preparation of of financial reports on the enterprise for use by both
internal and external parties
Managerial Accounting - Correct Answer ✔✔ - process of identifying,
measuring, analyzing and communicating financial information needed by
management to plan, control alnd evaluate a comopany's operations
Financial Statements - Correct Answer ✔✔ - principle means through wich a
company communicates its financial information to those outside of it;
provide a company's history quantified in money terms
Most frequently provided finanical statements - Correct Answer ✔✔ -
*balance sheet
*income statement
*statement of cash flows
*statement of owners (SH) equity
Examples of financial reporting - Correct Answer ✔✔ - supplementary
schedules; news releases
annual report; management's forecasts
Financial Reporting - Correct Answer ✔✔ - the financial information a
company provides to help users with capital alloation decisions about the
company
Capital allocation - Correct Answer ✔✔ - the process of determining how and
at what cost money is allocated among competing interests
Objective of financial reporting - Correct Answer ✔✔ - provide financial
information about the reporting entity that is useful to present and potential
equitity investors, lenders and other creditors
1 Question And Answers
Essential characteristics of accounting - Correct Answer ✔✔ - identification,
measurement and communication of finanical information about economic
entities to interested parties
Financial Accounting - Correct Answer ✔✔ - the process that culminates in
the preparation of of financial reports on the enterprise for use by both
internal and external parties
Managerial Accounting - Correct Answer ✔✔ - process of identifying,
measuring, analyzing and communicating financial information needed by
management to plan, control alnd evaluate a comopany's operations
Financial Statements - Correct Answer ✔✔ - principle means through wich a
company communicates its financial information to those outside of it;
provide a company's history quantified in money terms
Most frequently provided finanical statements - Correct Answer ✔✔ -
*balance sheet
*income statement
*statement of cash flows
*statement of owners (SH) equity
Examples of financial reporting - Correct Answer ✔✔ - supplementary
schedules; news releases
annual report; management's forecasts
Financial Reporting - Correct Answer ✔✔ - the financial information a
company provides to help users with capital alloation decisions about the
company
Capital allocation - Correct Answer ✔✔ - the process of determining how and
at what cost money is allocated among competing interests
Objective of financial reporting - Correct Answer ✔✔ - provide financial
information about the reporting entity that is useful to present and potential
equitity investors, lenders and other creditors
