ACCY 201 Quiz 1 And All Correct
Answers.
corporation - Answer a business enterprise that raises money by issuing shares of stock, easy
to transfer ownership, easier to raise funds, no personal liability
creditor - Answer a party to whom a business owes money, cars salesmen, bank ect..
accounts receivable - Answer right to receive money from a customer in the future from a
sale
partnership - Answer a business that is owned jointly by two or more people but does not
issue stock, simple to establish, shared control, broader skills and resources, tax advantages
stockholder - Answer a party that invests in common stock
common stock - Answer the portion of a stockholders equity that results from receiving cash
from investors
accounts payable - Answer obligations to suppliers of goods
auditor's opinion - Answer an expression about whether financial statements conform with
generally accepted accounting principles
accounts payable (what is it) - Answer liability, operating activity
accounts receivable (what is it) - Answer asset, operating activity
equipment, property, plant - Answer asset, investing activity
sales revenue - Answer revenue, operating activity
service revenue - Answer revenue, operating activity
inventory - Answer asset, operating activity
Answers.
corporation - Answer a business enterprise that raises money by issuing shares of stock, easy
to transfer ownership, easier to raise funds, no personal liability
creditor - Answer a party to whom a business owes money, cars salesmen, bank ect..
accounts receivable - Answer right to receive money from a customer in the future from a
sale
partnership - Answer a business that is owned jointly by two or more people but does not
issue stock, simple to establish, shared control, broader skills and resources, tax advantages
stockholder - Answer a party that invests in common stock
common stock - Answer the portion of a stockholders equity that results from receiving cash
from investors
accounts payable - Answer obligations to suppliers of goods
auditor's opinion - Answer an expression about whether financial statements conform with
generally accepted accounting principles
accounts payable (what is it) - Answer liability, operating activity
accounts receivable (what is it) - Answer asset, operating activity
equipment, property, plant - Answer asset, investing activity
sales revenue - Answer revenue, operating activity
service revenue - Answer revenue, operating activity
inventory - Answer asset, operating activity
