IAAO 501
Audit - Answer-Systematic and methodical examination of records with the intent to berify their
accuracy
Financial Accounting Standards Board (FASB) - Answer-Establishes the guidelines that are referred to as
the Generally Accepted Accounting Principles (GAAP)
Four major categories of personal property are - Answer-Inventories
Fixed Assets
Leasehold improvements
Intangibles
Inventories - Answer-Example is goods in process
Three characteristics of fixed assets - Answer-Tangible: they possess physical substance and presence
Acquired for use in the business and not for resale
Items are of a relatively permanent nature
Intangible Personal Property - Answer-Property that represents evidence of value or the right to value
under custom and law
Three characteristics of the cost approach - Answer-Based on principle of substitution
Greatest strength include broad applicability and readily available data
, Greatest weakness is the estimate of depreciation
Replacement cost new - Answer-The cost required to replace the property unit with a new one of like
utility in today's market
Historical cost - Answer-The cost of the item at the time it was initially acquired by the original iser
Three approaches to value - Answer-Income approach
Sales comparison approach
Cost approach
Property tax listing form - Answer-The most important document an assessor can use in obtaining a
complete report of a taxpayers personal property
Accounting profession can be divided into two major areas - Answer-Public
Private
Assets are normally divided into the following accounts - Answer-Cash
Notes receivable
Accounts receivable
Prepaid expenses
Land
Building
Equipment, furniture and fixtures
Other assets - inventory, intangibles
Audit - Answer-Systematic and methodical examination of records with the intent to berify their
accuracy
Financial Accounting Standards Board (FASB) - Answer-Establishes the guidelines that are referred to as
the Generally Accepted Accounting Principles (GAAP)
Four major categories of personal property are - Answer-Inventories
Fixed Assets
Leasehold improvements
Intangibles
Inventories - Answer-Example is goods in process
Three characteristics of fixed assets - Answer-Tangible: they possess physical substance and presence
Acquired for use in the business and not for resale
Items are of a relatively permanent nature
Intangible Personal Property - Answer-Property that represents evidence of value or the right to value
under custom and law
Three characteristics of the cost approach - Answer-Based on principle of substitution
Greatest strength include broad applicability and readily available data
, Greatest weakness is the estimate of depreciation
Replacement cost new - Answer-The cost required to replace the property unit with a new one of like
utility in today's market
Historical cost - Answer-The cost of the item at the time it was initially acquired by the original iser
Three approaches to value - Answer-Income approach
Sales comparison approach
Cost approach
Property tax listing form - Answer-The most important document an assessor can use in obtaining a
complete report of a taxpayers personal property
Accounting profession can be divided into two major areas - Answer-Public
Private
Assets are normally divided into the following accounts - Answer-Cash
Notes receivable
Accounts receivable
Prepaid expenses
Land
Building
Equipment, furniture and fixtures
Other assets - inventory, intangibles
