Accounting 200 Exam 1 –
Jordan, UTK 2026 | Study
Guide, Practice Questions,
Answers, Rationales &
Exam Review | Complete
Ethics Study Guide
Updated 2026 Questions and Answers
100% Verified Exam Prep and Comprehensive
Rationales
Included
, service business provides services to customers
merchandising business Buys finished goods and sells them to customers
manufacturing business make the products they sell
sole proprietor A business owned by one person. All profits and losses go to owner but vulnerable
to unlimited liability
partnership At least 2 owners and agreements are put in place regarding profit sharing and
liability
Corportation One or more owners and Owners are called stockholders who can Loss up to
investment only not personal assets.
Can be Public or Private
External stakeholders/capital market stakeholders Lenders/Creditors: Lend money to the business (want it back w/ interest)
Owners/Stockholders: Invest money in the business (want a return)
Product/Service Market stakeholders suppliers, consumers, and government stakeholders who collect taxes
internal stakeholders Business Managers and Employees: Operate the business
Why accounting is the language pdf business? Provides information to both external and internal stakeholders so they can
Evaluate the results of operations, financial position and Evaluate the company's
future prospects.
Financial Accounting provides information to external stakeholders for decision making
Managerial Accounting provides info to internal stakeholders
Managers - strategy
Employees - employment/bonuses
Jordan, UTK 2026 | Study
Guide, Practice Questions,
Answers, Rationales &
Exam Review | Complete
Ethics Study Guide
Updated 2026 Questions and Answers
100% Verified Exam Prep and Comprehensive
Rationales
Included
, service business provides services to customers
merchandising business Buys finished goods and sells them to customers
manufacturing business make the products they sell
sole proprietor A business owned by one person. All profits and losses go to owner but vulnerable
to unlimited liability
partnership At least 2 owners and agreements are put in place regarding profit sharing and
liability
Corportation One or more owners and Owners are called stockholders who can Loss up to
investment only not personal assets.
Can be Public or Private
External stakeholders/capital market stakeholders Lenders/Creditors: Lend money to the business (want it back w/ interest)
Owners/Stockholders: Invest money in the business (want a return)
Product/Service Market stakeholders suppliers, consumers, and government stakeholders who collect taxes
internal stakeholders Business Managers and Employees: Operate the business
Why accounting is the language pdf business? Provides information to both external and internal stakeholders so they can
Evaluate the results of operations, financial position and Evaluate the company's
future prospects.
Financial Accounting provides information to external stakeholders for decision making
Managerial Accounting provides info to internal stakeholders
Managers - strategy
Employees - employment/bonuses
