ACC 200 FINAL EXAM UPDATED ACTUAL QUESTIONS
AND CORRECT ANSWERS
Question:
1. 3 Keys to a Successful Business
Answer:
Idea, Capital, Management Skill
Question:
2. Types of Businesses
Answer:
Manufacturing, Merchandising, Retail, Wholesale, Service
Question:
3. 2 Ways to access Capital
Answer:
Borrowing (Debt), Investing (Ownership, Equity)
Question:
4. 4 General Purpose Financial Statements
Answer:
Balance Sheet, Income Statement, Statement of Cash Flows, Statement of
retained Earnings (Optional)
Question:
5. GAAP
Answer:
Generally Accepted Accounting Principles. Rules and standards for accounting
that help accounting statements be comparable.
Question:
6. SEC
Answer:
Securities Exchange Commission. In charge of delegating who determines GAAP.
Question:
7. AICPA
Answer:
American Institute of Certified Public Accountants. Originally in charge of setting
GAAP. Now in charge of setting and licensing CPAs.
, Question:
8. FASB
Answer:
Financial Accounting Standards Board. In charge of determining GAAP today.
Question:
9. IRS
Answer:
Internal Revenue Service. Collects income taxes from businesses.
Question:
10. CPA
Answer:
Certified Personal Accountant. In charge of performing audits on publicly held
companies to insure credibility.
Question:
11. 3 Legal Business Forms
Answer:
Proprietorship (sole owner), Partnership (several owners), Corporation (Many
owners, board of directors, avoids liability)
Question:
12. Basic Accounting Equation
Answer:
Assets = Liabilities + Owner's Equity, Owner's Equity = Capital Stock + Retained
Earnings, Retained Earnings = Net Income - Dividends, Net Income = Revenue -
Expenses.
Question:
13. EPS
Answer:
Earnings Per Share, required on the income statement by GAAP.
Question:
14. Current
Answer:
Assets or liabilities that will be paid or used up with in a year.
AND CORRECT ANSWERS
Question:
1. 3 Keys to a Successful Business
Answer:
Idea, Capital, Management Skill
Question:
2. Types of Businesses
Answer:
Manufacturing, Merchandising, Retail, Wholesale, Service
Question:
3. 2 Ways to access Capital
Answer:
Borrowing (Debt), Investing (Ownership, Equity)
Question:
4. 4 General Purpose Financial Statements
Answer:
Balance Sheet, Income Statement, Statement of Cash Flows, Statement of
retained Earnings (Optional)
Question:
5. GAAP
Answer:
Generally Accepted Accounting Principles. Rules and standards for accounting
that help accounting statements be comparable.
Question:
6. SEC
Answer:
Securities Exchange Commission. In charge of delegating who determines GAAP.
Question:
7. AICPA
Answer:
American Institute of Certified Public Accountants. Originally in charge of setting
GAAP. Now in charge of setting and licensing CPAs.
, Question:
8. FASB
Answer:
Financial Accounting Standards Board. In charge of determining GAAP today.
Question:
9. IRS
Answer:
Internal Revenue Service. Collects income taxes from businesses.
Question:
10. CPA
Answer:
Certified Personal Accountant. In charge of performing audits on publicly held
companies to insure credibility.
Question:
11. 3 Legal Business Forms
Answer:
Proprietorship (sole owner), Partnership (several owners), Corporation (Many
owners, board of directors, avoids liability)
Question:
12. Basic Accounting Equation
Answer:
Assets = Liabilities + Owner's Equity, Owner's Equity = Capital Stock + Retained
Earnings, Retained Earnings = Net Income - Dividends, Net Income = Revenue -
Expenses.
Question:
13. EPS
Answer:
Earnings Per Share, required on the income statement by GAAP.
Question:
14. Current
Answer:
Assets or liabilities that will be paid or used up with in a year.
