ACCOUNTING QUESTIONS WITH
CORRECT ANSWERS 2025
WhatGisGaccounting?G-GCORRECTGANSWERG-
AccountingGisGtheGinformationGsystemGthatGmeasuresGbusinessGactivities,GprocessesGtheGinformationGintoG
reports,GandGcommunicatesGtheGresultsGtoGdecisionGmakers.GAccountingGisGtheGlanguageGofGbusiness.
BrieflyGdescribeGtheGtwoGmajorGfieldsGofGaccounting.G-GCORRECTGANSWERG-
FinancialGaccountingGprovidesGinformationGforGexternalGdecisionGmakers,GsuchGasGoutsideGinvestors,Glend
ers,Gcustomers,GandGtheGfederalGgovernment.GManagerialGaccountingGfocusesGonGinformationGforGinternal
GdecisionGmakers,GsuchGasGtheGcompany'sGmanagersGandGemployees.
DescribeGtheGvariousGtypesGofGindividualsGwhoGuseGaccountingGinformationGandGhowGtheyGuseGthatGinfor
mationGtoGmakeGimportantGdecisions.G-GCORRECTGANSWERG-
IndividualsGuseGaccountingGinformationGtoGhelpGthemGmanageGtheirGmoney,GevaluateGaGnewGjob,GandGbet
terGdecideGwhetherGtheyGcanGaffordGtoGmakeGaGnewGpurchase.GBusinessGownersGuseGaccountingGinformati
onGtoGsetGgoals,GmeasureGprogressGtowardGthoseGgoals,GandGmakeGadjustmentsGwhenGneeded.GInvestorsG
useGaccountingGinformationGtoGhelpGthemGdecideGwhetherGorGnotGaGcompanyGisGaGgoodGinvestmentGandG
onceGtheyGhaveGinvested,GtheyGuseGaGcompany'sGfinancialGstatementsGtoGanalyzeGhowGtheirGinvestmentGis
Gperforming.GCreditorsGuseGaccountingGinformationGtoGdecideGwhetherGtoGlendGmoneyGtoGaGbusinessGandG
toGevaluateGaGcompany'sGabilityGtoGmakeGtheGloanGpayments.GTaxingGauthoritiesGuseGaccountingGinformati
onGtoGcalculateGtheGamountGofGincomeGtaxGthatGaGcompanyGhasGtoGpay.
WhatGareGtwoGcertificationsGavailableGforGaccountants?BrieflyGexplainGeachGcertification.G-
GCORRECTGANSWERG-
CertifiedGPublicGAccountantsG(CPAs)GareGlicensedGprofessionalGaccountantsGwhoGserveGtheGgeneralGpublic.
GTheyGworkGforGpublicGaccountingGfirms,Gbusinesses,Ggovernment,GorGeducationalGinstitutions.GToGbeGcerti
fiedGtheyGmustGmeetGeducationalGand/orGexperienceGrequirementsGandGpassGanGexam.G
CertifiedGManagementGAccountantsG(CMAs)GspecializeGinGaccountingGandGfinancialGmanagementGknowle
dge.GTheyGworkGforGaGsingleGcompany.
WhatGisGtheGroleGofGtheGFinancialGAccountingGStandardsGBoardG(FASB)?G-GCORRECTGANSWERG-
TheGFASBGoverseesGtheGcreationGandGgovernanceGofGaccountingGstandards.GTheyGworkGwithGgovernmenta
lGregulatoryGagencies,GcongressionallyGcreatedGgroups,GandGprivateGgroups.
CORRECT ANSWERS 2025
WhatGisGaccounting?G-GCORRECTGANSWERG-
AccountingGisGtheGinformationGsystemGthatGmeasuresGbusinessGactivities,GprocessesGtheGinformationGintoG
reports,GandGcommunicatesGtheGresultsGtoGdecisionGmakers.GAccountingGisGtheGlanguageGofGbusiness.
BrieflyGdescribeGtheGtwoGmajorGfieldsGofGaccounting.G-GCORRECTGANSWERG-
FinancialGaccountingGprovidesGinformationGforGexternalGdecisionGmakers,GsuchGasGoutsideGinvestors,Glend
ers,Gcustomers,GandGtheGfederalGgovernment.GManagerialGaccountingGfocusesGonGinformationGforGinternal
GdecisionGmakers,GsuchGasGtheGcompany'sGmanagersGandGemployees.
DescribeGtheGvariousGtypesGofGindividualsGwhoGuseGaccountingGinformationGandGhowGtheyGuseGthatGinfor
mationGtoGmakeGimportantGdecisions.G-GCORRECTGANSWERG-
IndividualsGuseGaccountingGinformationGtoGhelpGthemGmanageGtheirGmoney,GevaluateGaGnewGjob,GandGbet
terGdecideGwhetherGtheyGcanGaffordGtoGmakeGaGnewGpurchase.GBusinessGownersGuseGaccountingGinformati
onGtoGsetGgoals,GmeasureGprogressGtowardGthoseGgoals,GandGmakeGadjustmentsGwhenGneeded.GInvestorsG
useGaccountingGinformationGtoGhelpGthemGdecideGwhetherGorGnotGaGcompanyGisGaGgoodGinvestmentGandG
onceGtheyGhaveGinvested,GtheyGuseGaGcompany'sGfinancialGstatementsGtoGanalyzeGhowGtheirGinvestmentGis
Gperforming.GCreditorsGuseGaccountingGinformationGtoGdecideGwhetherGtoGlendGmoneyGtoGaGbusinessGandG
toGevaluateGaGcompany'sGabilityGtoGmakeGtheGloanGpayments.GTaxingGauthoritiesGuseGaccountingGinformati
onGtoGcalculateGtheGamountGofGincomeGtaxGthatGaGcompanyGhasGtoGpay.
WhatGareGtwoGcertificationsGavailableGforGaccountants?BrieflyGexplainGeachGcertification.G-
GCORRECTGANSWERG-
CertifiedGPublicGAccountantsG(CPAs)GareGlicensedGprofessionalGaccountantsGwhoGserveGtheGgeneralGpublic.
GTheyGworkGforGpublicGaccountingGfirms,Gbusinesses,Ggovernment,GorGeducationalGinstitutions.GToGbeGcerti
fiedGtheyGmustGmeetGeducationalGand/orGexperienceGrequirementsGandGpassGanGexam.G
CertifiedGManagementGAccountantsG(CMAs)GspecializeGinGaccountingGandGfinancialGmanagementGknowle
dge.GTheyGworkGforGaGsingleGcompany.
WhatGisGtheGroleGofGtheGFinancialGAccountingGStandardsGBoardG(FASB)?G-GCORRECTGANSWERG-
TheGFASBGoverseesGtheGcreationGandGgovernanceGofGaccountingGstandards.GTheyGworkGwithGgovernmenta
lGregulatoryGagencies,GcongressionallyGcreatedGgroups,GandGprivateGgroups.
