Accounting 2301-Chap. 1-3 Terms
Questions With Correct Answers
Accounting - CORRECT ANSWER✔✔-is a system that identifies, records,
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and communicates information that is relevant, reliable, and
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comparable about an organization's business activities.
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Internal Users of Info - CORRECT ANSWER✔✔-use info to help
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businesses decide what they can do.
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External Users of Info - CORRECT ANSWER✔✔-use financial info to
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determine how well a company is actually doing.
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Financial Accounting - CORRECT ANSWER✔✔-provides users with
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financial statements (shareholders, lenders, etc.)
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Managerial Accounting - CORRECT ANSWER✔✔-provides info needs for
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internal decision makers (officers, managers, etc.)
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Private sector - CORRECT ANSWER✔✔-has largest amount of jobs
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, Ethics - CORRECT ANSWER✔✔-Beliefs that distinguish right from wrong;
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accepted standards of good behavior
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Guideline for Ethics - CORRECT ANSWER✔✔-1) Identify ethical concerns
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2) Analyze options (consider all good and bad consequences)
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3) Make ethical decision (choose best option after weighing all
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consequences)
GAAP (Generally Accepted Accounting Principles) - CORRECT
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ANSWER✔✔-concepts and rules that govern a financial accounting | | | | | | | |
practice
Securities and Exchange Commission - CORRECT ANSWER✔✔-govt.
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agency that has legal authority to establish reporting requirements and
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set GAAP for companies that issue stock to the public.
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Financial Accounting Standards Board (FASB) - CORRECT ANSWER✔✔-is
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the private group that sets both broad and specific principles (used by
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the U.S.)
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International Accounting Standards Board (IASB) - CORRECT
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ANSWER✔✔-issues international standards that identify preferred | | | | | |
accounting practices in other countries. More than 100 countries now
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Questions With Correct Answers
Accounting - CORRECT ANSWER✔✔-is a system that identifies, records,
| | | | | | | | |
and communicates information that is relevant, reliable, and
| | | | | | | |
comparable about an organization's business activities.
| | | | |
Internal Users of Info - CORRECT ANSWER✔✔-use info to help
| | | | | | | | | |
businesses decide what they can do.
| | | | |
External Users of Info - CORRECT ANSWER✔✔-use financial info to
| | | | | | | | | |
determine how well a company is actually doing.
| | | | | | |
Financial Accounting - CORRECT ANSWER✔✔-provides users with
| | | | | | |
financial statements (shareholders, lenders, etc.)
| | | |
Managerial Accounting - CORRECT ANSWER✔✔-provides info needs for
| | | | | | | |
internal decision makers (officers, managers, etc.)
| | | | |
Private sector - CORRECT ANSWER✔✔-has largest amount of jobs
| | | | | | | |
, Ethics - CORRECT ANSWER✔✔-Beliefs that distinguish right from wrong;
| | | | | | | |
accepted standards of good behavior
| | | | |
Guideline for Ethics - CORRECT ANSWER✔✔-1) Identify ethical concerns
| | | | | | | |
2) Analyze options (consider all good and bad consequences)
| | | | | | | |
3) Make ethical decision (choose best option after weighing all
| | | | | | | | | |
consequences)
GAAP (Generally Accepted Accounting Principles) - CORRECT
| | | | | | |
ANSWER✔✔-concepts and rules that govern a financial accounting | | | | | | | |
practice
Securities and Exchange Commission - CORRECT ANSWER✔✔-govt.
| | | | | | |
agency that has legal authority to establish reporting requirements and
| | | | | | | | | |
set GAAP for companies that issue stock to the public.
| | | | | | | | |
Financial Accounting Standards Board (FASB) - CORRECT ANSWER✔✔-is
| | | | | | | |
the private group that sets both broad and specific principles (used by
| | | | | | | | | | | |
the U.S.)
|
International Accounting Standards Board (IASB) - CORRECT
| | | | | | |
ANSWER✔✔-issues international standards that identify preferred | | | | | |
accounting practices in other countries. More than 100 countries now
| | | | | | | | | |
