FAC1502 Unit One Basic Principles of Accounting Exam Questions and Correct Answers Latest Update 2024 (Already Passed)

FAC1502 Unit One Basic Principles of Accounting Exam Questions and Correct Answers Latest Update 2024 (Already Passed) Accounting - Answers Systematic recording of financial transactions for individuals or businesses. Financial Statements - Answers Reports presenting financial data for decision-making. Double-Entry System - Answers Accounting method recording transactions in two accounts. Sole Proprietor - Answers Individual owning and operating a business alone. Accounting Equation - Answers Assets = Liabilities + Owner's Equity. General-Purpose Financial Reporting - Answers Financial reports for a wide range of users. Financial Performance - Answers Assessment of a business's profitability. Financial Position - Answers Snapshot of a business's financial health at a specific point. International Financial Reporting Standards (IFRS) - Answers Global accounting standards for financial reporting. Management Accounting - Answers Accounting for internal decision-making and planning. Entity Concept - Answers Business treated as a separate entity from its owners. Accounting Principles - Answers Guidelines governing accounting practices. Qualitative Characteristics - Answers Attributes making financial information useful. Elements of Financial Statements - Answers Components like assets, liabilities, and equity in financial reports. Bookkeeping - Answers Daily recording of financial transactions for determining financial position. Golden Rule of Accounting - Answers Emphasizes practice for understanding accounting concepts. Going Concern - Answers Assumption that a business will continue operating indefinitely. Unit of Measurement - Answers Financial transactions recorded in a common unit like currency. Forms of Ownership - Answers Different structures through which businesses can be owned. Fields of Accounting - Answers Various branches like financial and management accounting. Decision-Making - Answers Using financial information to make informed choices. Users of Financial Information - Answers Individuals or entities relying on financial reports for decisions. Accounting Policy - Answers Specific rules governing accounting practices. Conceptual Framework for Financial Reporting - Answers Guidelines for preparing financial statements. Financial Information - Answers Data used in financial decision-making. Key Concepts - Answers Fundamental ideas in accounting like financial information and ownership forms. Financial Accounting Cycle - Answers Continuous process of measuring, classifying, summarizing, and recording business transactions Accounting Reports - Answers Documents containing information to answer financial questions Financial Accounting - Answers Systematic recording of entity's financial transactions for easy retrieval Accounting Process - Answers Functions as an information system, includes financial accounting cycle Entity - Answers Business or organization involved in economic activities Transactions - Answers Proceedings or activities recorded in accounting as monetary values Bookkeeping Process - Answers Recording transactions, part of financial accounting cycle Financial Decisions - Answers Made based on results reported in financial statements Financial Reports - Answers Documents presenting financial information to interested parties Accounting Records - Answers Used to capture essential data of transactions for an entity Financial Data - Answers Information used for analysis and decision-making in accounting Specialized Message - Answers Financial information conveyed to users through accounting Financial Communication - Answers Conveying financial information to interested parties