business 1000 Final exam And All
Correct Answers.
bookkeeping - Answer the recording of business transactions
Accounting - Answer A comprehensive system for collecting, analyzing, and communicating
financial information
Managerial Accounting - Answer Internal procedures that alert managers to problems and
aid them in planning and decision making.
Financial Accounting system - Answer The process whereby interested groups are kept
informed about the financial condition of a firm.
Chartered Professional Accountant (CPA) - Answer The banner (designation) that is being
used to unify the accounting profession in Canada.
Chartered Accountant (CA) - Answer An individual who has met certain experience and
education requirements and has passed a licensing examination; acts as an outside accountant
for other firms.
audit - Answer an accountant's examination of a companys financial records to determine if it
used proper procedures to prepare its financial reports
management consulting services - Answer Specialized accounting services to help managers
resolve a variety of problems in finance, production scheduling, and other areas.
Assets - Answer Economic resources (things of value) owned by a firm.
private accountant - Answer An accountant hired as a salaried employee to deal with a
company's day-to-day accounting needs.
Accounting Equation - Answer assets = liabilities + owners' equity; used by accountants to
balance data for the firm's financial transactions at various points in the year
liability - Answer any debt owed by a firm or individual to others
, Owner's Equity - Answer Any positive difference between a firm's assets and its liabilities;
what would remain for a firm's owners if the company were liquidated, all its assets were sold,
and all its debts were paid.
Chartered Banks - Answer A privately owned, profit-seeking firm that serves individuals, non-
business organizations, and businesses as a financial intermediary.
RBC, Cibc, BNS, TD, BMO - Answer five big banks
Bank of Canada - Answer Canada's central bank; formed in 1935
credit unions (caisses populaires) - Answer Cooperative savings and lending association
formed by a group with common interests.
trust company - Answer safeguards funds and estates entrusted to it; may also serve as
trustee, transfer agent, and registrar for corporations
life insurance company - Answer a mutual or stock company that shares risk with its
policyholders for payment of premiums
factoring company (or factor) - Answer Buys accounts receivable from a firm for less than
their face value and then collects the face value of the receivables.
venture capital firms - Answer provides funds for new or expanding firms thought to have
significant potential
pension fund - Answer accumulates money that will be paid out to plan subscribers in the
future
Cash flow management - Answer Managing the pattern in which cash flows into the firm in
the form of revenues and out of the firm in the form of debt payments.
financial plan - Answer A description of how a business will reach some financial position it
seeks for the future; includes projections for sources and uses of funds.
financial control - Answer process of checking actual performance against plans to ensure
that the desired financial status is achieved
Correct Answers.
bookkeeping - Answer the recording of business transactions
Accounting - Answer A comprehensive system for collecting, analyzing, and communicating
financial information
Managerial Accounting - Answer Internal procedures that alert managers to problems and
aid them in planning and decision making.
Financial Accounting system - Answer The process whereby interested groups are kept
informed about the financial condition of a firm.
Chartered Professional Accountant (CPA) - Answer The banner (designation) that is being
used to unify the accounting profession in Canada.
Chartered Accountant (CA) - Answer An individual who has met certain experience and
education requirements and has passed a licensing examination; acts as an outside accountant
for other firms.
audit - Answer an accountant's examination of a companys financial records to determine if it
used proper procedures to prepare its financial reports
management consulting services - Answer Specialized accounting services to help managers
resolve a variety of problems in finance, production scheduling, and other areas.
Assets - Answer Economic resources (things of value) owned by a firm.
private accountant - Answer An accountant hired as a salaried employee to deal with a
company's day-to-day accounting needs.
Accounting Equation - Answer assets = liabilities + owners' equity; used by accountants to
balance data for the firm's financial transactions at various points in the year
liability - Answer any debt owed by a firm or individual to others
, Owner's Equity - Answer Any positive difference between a firm's assets and its liabilities;
what would remain for a firm's owners if the company were liquidated, all its assets were sold,
and all its debts were paid.
Chartered Banks - Answer A privately owned, profit-seeking firm that serves individuals, non-
business organizations, and businesses as a financial intermediary.
RBC, Cibc, BNS, TD, BMO - Answer five big banks
Bank of Canada - Answer Canada's central bank; formed in 1935
credit unions (caisses populaires) - Answer Cooperative savings and lending association
formed by a group with common interests.
trust company - Answer safeguards funds and estates entrusted to it; may also serve as
trustee, transfer agent, and registrar for corporations
life insurance company - Answer a mutual or stock company that shares risk with its
policyholders for payment of premiums
factoring company (or factor) - Answer Buys accounts receivable from a firm for less than
their face value and then collects the face value of the receivables.
venture capital firms - Answer provides funds for new or expanding firms thought to have
significant potential
pension fund - Answer accumulates money that will be paid out to plan subscribers in the
future
Cash flow management - Answer Managing the pattern in which cash flows into the firm in
the form of revenues and out of the firm in the form of debt payments.
financial plan - Answer A description of how a business will reach some financial position it
seeks for the future; includes projections for sources and uses of funds.
financial control - Answer process of checking actual performance against plans to ensure
that the desired financial status is achieved
