ACCOUNTING MASTERCLASS 2025/2026
EXAM | 100+ VERIFIED Q&A
FLASHCARDS || GUARANTEED SUCCESS
1. Accounting - the recording of the day-to-day financial activities of a company and the
organization of that information into summary reports used to evaluate the company's
financial status
2. Bookkeeping - the preservation of a systematic, quantitative record of an
activity
3. accounting system - used by a business to handle routine bookkeeping tasks and to
structure the information so it can be used to evaluate the performance and financial
status of the business
4. Accounting information - Info that is intended to be useful in making decisions about
the future.
5. The balance sheet, the income statement, and the statement of cashflows - What are
the three primary financial statements?
6. External Users - Who is financial accounting information primarily prepared for and
used by?
7. Managerial Accounting - the name given to accounting systems designed for internal
users
8. Balance Sheet - Reports a company's assets, liabilities, and owners' equity
, 9. Income Statement - reports the amount of net income earned by a company during a
period
10. Net income - the excess of a company's revenues over its expenses
11. statement of cash flows - reports the amount of cash collected and paid out by a
company in the following three types of activities: operating, investing, and
financing
12. FASB - Which private body establishes accounting rules in the U.S.?
13. Financial Accounting Standards Board (FASB) - a private body established and
supported by the joint efforts of the U.S. business community, financial analysts, and
practicing accountants
14. The Securities and Exchange Commission (SEC) - the organization that regulates
U.S. stock exchanges and seeks to create a fair information environment in which
investors can buy and sell stocks without fear that companies are hiding or
manipulating financial data
15. American Institute of Certified Public Accountants (AICPA) - the professional
organization of certified public accountants (CPAs) in the United States
16. Public Company Accounting Oversight Board (PCAOB) - the organization that
inspects the audit practices of registered audit firms and has statutory authority to
investigate questionable audit practices and to impose sanctions such as barring an
audit firm from auditing SEC-registered companies
17. Internal Revenue Service (IRS) - Gov't agency that establishes rules to define exactly
when income should be taxed. It has no role in setting financial accounting rules; and
a company's financial statements are not used in determining how much tax the
company must pay
EXAM | 100+ VERIFIED Q&A
FLASHCARDS || GUARANTEED SUCCESS
1. Accounting - the recording of the day-to-day financial activities of a company and the
organization of that information into summary reports used to evaluate the company's
financial status
2. Bookkeeping - the preservation of a systematic, quantitative record of an
activity
3. accounting system - used by a business to handle routine bookkeeping tasks and to
structure the information so it can be used to evaluate the performance and financial
status of the business
4. Accounting information - Info that is intended to be useful in making decisions about
the future.
5. The balance sheet, the income statement, and the statement of cashflows - What are
the three primary financial statements?
6. External Users - Who is financial accounting information primarily prepared for and
used by?
7. Managerial Accounting - the name given to accounting systems designed for internal
users
8. Balance Sheet - Reports a company's assets, liabilities, and owners' equity
, 9. Income Statement - reports the amount of net income earned by a company during a
period
10. Net income - the excess of a company's revenues over its expenses
11. statement of cash flows - reports the amount of cash collected and paid out by a
company in the following three types of activities: operating, investing, and
financing
12. FASB - Which private body establishes accounting rules in the U.S.?
13. Financial Accounting Standards Board (FASB) - a private body established and
supported by the joint efforts of the U.S. business community, financial analysts, and
practicing accountants
14. The Securities and Exchange Commission (SEC) - the organization that regulates
U.S. stock exchanges and seeks to create a fair information environment in which
investors can buy and sell stocks without fear that companies are hiding or
manipulating financial data
15. American Institute of Certified Public Accountants (AICPA) - the professional
organization of certified public accountants (CPAs) in the United States
16. Public Company Accounting Oversight Board (PCAOB) - the organization that
inspects the audit practices of registered audit firms and has statutory authority to
investigate questionable audit practices and to impose sanctions such as barring an
audit firm from auditing SEC-registered companies
17. Internal Revenue Service (IRS) - Gov't agency that establishes rules to define exactly
when income should be taxed. It has no role in setting financial accounting rules; and
a company's financial statements are not used in determining how much tax the
company must pay
