WGU C213/ Strategies Review of Key Quizzes &
Correct Answers.
Terms in this set (347)
Accounting A system of providing "quantitative information, primarily
financial in nature, about economic entities that is intended to
be useful in making economic decisions."
Balance Sheet Document which reports the resources of a company (the
assets), the company's obligations (the liabilities), and the
owners' equity, which represents how much money has been
invested in the company by its owners.
American Institute of The professional organization of certified public accountants in
Certified Public the United States.
Accountants (AICPA)
Bookkeeping The preservation of a systematic, quantitative record of an
activity.
Certified Public A person who has taken a minimum number of college-level
Accountant accounting classes, has passed the dreaded CPA exam, and
has met other requirements set by his or her state.
Financial Accounting The name given to accounting information provided for and
used by external users.
Financial Accounting Private, non-profit body that sets accounting standards in
Standards Board (FASB) the United States.
The three primary financial information documents: the
Financial Statements balance sheet, income statement, and statement of cash
flows.
,Income Statement This document reports the amount of net income earned by
a company during a period, with annual and quarterly
income statements being the most common.
Internal Revenue Service The government agency responsible for tax collection and tax
(IRS) law enforcement.
International Accounting An independent, international body formed to develop
Standards Board (IASB) worldwide accounting standards.
International Financial The accounting standards produced by the IASB.
Reporting Standards
(IFRS)
Managerial Accounting The name given to accounting systems designed for internal users.
Public Company A private, non-profit organization that effectively serves as an
Accounting Oversight arm of the SEC in registering, inspecting, and disciplining the
auditors of all publicly traded companies.
Board (PCAOB)
Statement of Cash Flows This document reports the amount of cash collected and
paid out by a company in the following three types of
activities: operating, investing, and financing.
Accounting Equation Assets = Liabilities + Owners' Equity
Accumulated Other The source of these increased assets
Comprehensive Income
Assets Assets are the firm's economic resources, formally defined
as "probable future economic benefits obtained or
controlled by a particular entity as a result of past
transactions or events
What does accounting The impact a business's activities have on its overall financial
focus on? performance
,Which report summarizes Statement of cash flows
cash collections and cash
expenditures from
operating, investing, and
financing activities over a
period of time?
Which users would have a Employees
primary concern with an
organization's ability to
provide healthcare benefits?
Which benefit does a An increase in its comparability to other companies
corporation gain by
following Generally
Accepted Accounting
Principles (GAAP)?
Which body regulates a The Public Company Accounting Oversight Board
certified public accounting (PCAOB)
firm's audit practices when
the firm is auditing a large
publicly traded company?
What has had the most Information technology
significant impact on
accounting practices?
What two items of Ownership, Debt
information are revealed
on the balance sheet?
Owners' equity
Which term is defined as the
residual interest in the net
assets of a company?
, A corporation has total $350 million
liabilities of $300 million,
total owners' equity of
$100 million, and current
assets of $50 million.
What is the value of the
firm's long-term assets?
Which situation should result In 2014, a company provides services to a customer for
in revenue recognition on the which cash will be collected the next year (2015).
income statement for the
year ending 12/31/14 if the
firm is using accrual-basis
accounting?
Which category on the Cash flows from financing activities
statement of cash flows
summarizes cash receipts
and payments to owners and
creditors of the company?
Where would an investor In the notes to financial statements
find a summary of a
company's significant
accounting policies?
The company's financial statements fairly reflect its financial
Which assurance does an
position
external audit report provide
for its readers?
Correct Answers.
Terms in this set (347)
Accounting A system of providing "quantitative information, primarily
financial in nature, about economic entities that is intended to
be useful in making economic decisions."
Balance Sheet Document which reports the resources of a company (the
assets), the company's obligations (the liabilities), and the
owners' equity, which represents how much money has been
invested in the company by its owners.
American Institute of The professional organization of certified public accountants in
Certified Public the United States.
Accountants (AICPA)
Bookkeeping The preservation of a systematic, quantitative record of an
activity.
Certified Public A person who has taken a minimum number of college-level
Accountant accounting classes, has passed the dreaded CPA exam, and
has met other requirements set by his or her state.
Financial Accounting The name given to accounting information provided for and
used by external users.
Financial Accounting Private, non-profit body that sets accounting standards in
Standards Board (FASB) the United States.
The three primary financial information documents: the
Financial Statements balance sheet, income statement, and statement of cash
flows.
,Income Statement This document reports the amount of net income earned by
a company during a period, with annual and quarterly
income statements being the most common.
Internal Revenue Service The government agency responsible for tax collection and tax
(IRS) law enforcement.
International Accounting An independent, international body formed to develop
Standards Board (IASB) worldwide accounting standards.
International Financial The accounting standards produced by the IASB.
Reporting Standards
(IFRS)
Managerial Accounting The name given to accounting systems designed for internal users.
Public Company A private, non-profit organization that effectively serves as an
Accounting Oversight arm of the SEC in registering, inspecting, and disciplining the
auditors of all publicly traded companies.
Board (PCAOB)
Statement of Cash Flows This document reports the amount of cash collected and
paid out by a company in the following three types of
activities: operating, investing, and financing.
Accounting Equation Assets = Liabilities + Owners' Equity
Accumulated Other The source of these increased assets
Comprehensive Income
Assets Assets are the firm's economic resources, formally defined
as "probable future economic benefits obtained or
controlled by a particular entity as a result of past
transactions or events
What does accounting The impact a business's activities have on its overall financial
focus on? performance
,Which report summarizes Statement of cash flows
cash collections and cash
expenditures from
operating, investing, and
financing activities over a
period of time?
Which users would have a Employees
primary concern with an
organization's ability to
provide healthcare benefits?
Which benefit does a An increase in its comparability to other companies
corporation gain by
following Generally
Accepted Accounting
Principles (GAAP)?
Which body regulates a The Public Company Accounting Oversight Board
certified public accounting (PCAOB)
firm's audit practices when
the firm is auditing a large
publicly traded company?
What has had the most Information technology
significant impact on
accounting practices?
What two items of Ownership, Debt
information are revealed
on the balance sheet?
Owners' equity
Which term is defined as the
residual interest in the net
assets of a company?
, A corporation has total $350 million
liabilities of $300 million,
total owners' equity of
$100 million, and current
assets of $50 million.
What is the value of the
firm's long-term assets?
Which situation should result In 2014, a company provides services to a customer for
in revenue recognition on the which cash will be collected the next year (2015).
income statement for the
year ending 12/31/14 if the
firm is using accrual-basis
accounting?
Which category on the Cash flows from financing activities
statement of cash flows
summarizes cash receipts
and payments to owners and
creditors of the company?
Where would an investor In the notes to financial statements
find a summary of a
company's significant
accounting policies?
The company's financial statements fairly reflect its financial
Which assurance does an
position
external audit report provide
for its readers?
