EXAM PREP
ACCT 200 Exam 1
Study Guide
Complete Chapters Solutions Manual
are Included
** Final Exam Questions With 100%
Correct Answers | Grade A+
** Guaranteed Pass
** Updated | New Version
, What are the three basic activities accounting consists Accounting consists of Identifying, Recording, and Communicating.
of?
Communicating is the most important
What are business entities? Sole Proprietorships: Joe's Pizza Shop, Dave's Used Cars
Partnerships: Smith, Kline and Barney
Corporations: Apple, Target, Ford
What are non-business entities? Government: Federal, state and local
Charities: The United Way
Education: The University of Kansas
Other not-for-profit organizations: Churches, Big Brothers Big Sisters
What are the rules? GAAP: Generally Accepted Accounting Principles- Generally accepted and
practiced standards about how to measure and report economic events in the
U.S.
IFRS: International Financial Reporting Standards- International accounting
standards.
The U.S. uses GAAP
Who makes and enforces the rules? FASB: Financial Accounting Standards Board- Primary standard setter in the
U.S.
(FASB makes the rules)
SEC: Securities and Exchange Commission- U.S. governmental agency
overseeing the U.S. markets and standard setters.
(SEC enforces the rules)
IASB: International Accounting Standards Board- International standard setter.
What is historical cost? Financial elements are measured based on their cost.
It's what you actually paid for in transaction.
What is fair value? Financial elements are measured based on what they are worth.
Relevance ties to fair market value.
What is the accounting equation? Does the equation Assets = Liabilities + Stockholders' Equity
need to be balanced? Yes, the equation needs to be balanced on both sides.
What are assets? Resources a business owns or controls.
ACCT 200 Exam 1
Study Guide
Complete Chapters Solutions Manual
are Included
** Final Exam Questions With 100%
Correct Answers | Grade A+
** Guaranteed Pass
** Updated | New Version
, What are the three basic activities accounting consists Accounting consists of Identifying, Recording, and Communicating.
of?
Communicating is the most important
What are business entities? Sole Proprietorships: Joe's Pizza Shop, Dave's Used Cars
Partnerships: Smith, Kline and Barney
Corporations: Apple, Target, Ford
What are non-business entities? Government: Federal, state and local
Charities: The United Way
Education: The University of Kansas
Other not-for-profit organizations: Churches, Big Brothers Big Sisters
What are the rules? GAAP: Generally Accepted Accounting Principles- Generally accepted and
practiced standards about how to measure and report economic events in the
U.S.
IFRS: International Financial Reporting Standards- International accounting
standards.
The U.S. uses GAAP
Who makes and enforces the rules? FASB: Financial Accounting Standards Board- Primary standard setter in the
U.S.
(FASB makes the rules)
SEC: Securities and Exchange Commission- U.S. governmental agency
overseeing the U.S. markets and standard setters.
(SEC enforces the rules)
IASB: International Accounting Standards Board- International standard setter.
What is historical cost? Financial elements are measured based on their cost.
It's what you actually paid for in transaction.
What is fair value? Financial elements are measured based on what they are worth.
Relevance ties to fair market value.
What is the accounting equation? Does the equation Assets = Liabilities + Stockholders' Equity
need to be balanced? Yes, the equation needs to be balanced on both sides.
What are assets? Resources a business owns or controls.
