Business 1000 Final Exam Questions
And Correct Answers
Accounting - ANSA comprehensive system for collecting, analyzing and communicating financial
information. Results in a set of financial statements.
Bookkeeping - ANSThe first step in accounting. Recording transactions.
Controller - ANSPerson who manages all the firms activities.Size of the department motor people
work there and there are more titles.
Business Managers - ANSNeed accounting to; set goals & budgets, develop plans, evaluate
opportunities. (internal)
Employees and unions - ANSNeed accounting to: get paid, to plan for and receive benefits.
Investors and creditors. - ANSDifferent people who buy stocks, they keep tabs so they know the risk.
They estimate returns, future growth & credit risk.
Taxing authorities - ANSThey want to know people are remitting the right taxes. They plan for tax
flow, determine tax liabilities and aid in collection. (external)
Government regulatory agencies. - ANSThe watch dogs making sure financial statements are
prepared properly. Protects investors interests. (external)
Financial Accounting - ANSKeeps interested external parties informed about the firm's financial
condition. Ex: wage cost for Air Canada for 2016
Managerial Accounting - ANSKeeps internal paries (managers) informed of how the firm is doing
financially. Looks at just a piece of the company. Ex: wage cost for Atlantic Canada.
Auditing - ANSExamination of financial records to ensure fair representation and proper procedures.
Looks at financial statements for .
, Forensic accounting - ANSTracking down hidden funds in business firms (generally part of an
investigation)
Tax Services - ANSTax return preparation and tax planning.
Management Consulting Services. - ANSFrom personal financial planning to business planning. Used
to do special projects like muskrat falls.
Private Accountants. - ANSHired as salaried employees, deal with day-to-day accounting needs. Small
business may have just one, however large business' may have many area specialists.
Asset - ANSAnything of economic value owned by a firm or individual. Can be short term or long
term.
Liability - ANSAny debt owed by a firm or an individual to others. Can be short term or long term.
Owners Equity - ANSAny positive difference between a firm's assets and liabilities. original
investments plus profit earned minus losses.
Balance Sheet - ANSFirms financial position at one point in time. (assets, liabilities, owners equity)
Income Statement - ANSPresents revenues and expenses and profits or losses during a period or
time. Looks at how management has looked after the money.
Statement of Cash Flow - ANSPresents generation, and use, of cash during a period of time.
Current Assets - ANSCash and assets that can be converted into cash within the year listed in order of
liquidity.
Accounts Receivable - ANSInvoices, or amounts owed to the firm by customers.
Inventory - ANSCosts of merchandise acquired for sale but not yet sold.
And Correct Answers
Accounting - ANSA comprehensive system for collecting, analyzing and communicating financial
information. Results in a set of financial statements.
Bookkeeping - ANSThe first step in accounting. Recording transactions.
Controller - ANSPerson who manages all the firms activities.Size of the department motor people
work there and there are more titles.
Business Managers - ANSNeed accounting to; set goals & budgets, develop plans, evaluate
opportunities. (internal)
Employees and unions - ANSNeed accounting to: get paid, to plan for and receive benefits.
Investors and creditors. - ANSDifferent people who buy stocks, they keep tabs so they know the risk.
They estimate returns, future growth & credit risk.
Taxing authorities - ANSThey want to know people are remitting the right taxes. They plan for tax
flow, determine tax liabilities and aid in collection. (external)
Government regulatory agencies. - ANSThe watch dogs making sure financial statements are
prepared properly. Protects investors interests. (external)
Financial Accounting - ANSKeeps interested external parties informed about the firm's financial
condition. Ex: wage cost for Air Canada for 2016
Managerial Accounting - ANSKeeps internal paries (managers) informed of how the firm is doing
financially. Looks at just a piece of the company. Ex: wage cost for Atlantic Canada.
Auditing - ANSExamination of financial records to ensure fair representation and proper procedures.
Looks at financial statements for .
, Forensic accounting - ANSTracking down hidden funds in business firms (generally part of an
investigation)
Tax Services - ANSTax return preparation and tax planning.
Management Consulting Services. - ANSFrom personal financial planning to business planning. Used
to do special projects like muskrat falls.
Private Accountants. - ANSHired as salaried employees, deal with day-to-day accounting needs. Small
business may have just one, however large business' may have many area specialists.
Asset - ANSAnything of economic value owned by a firm or individual. Can be short term or long
term.
Liability - ANSAny debt owed by a firm or an individual to others. Can be short term or long term.
Owners Equity - ANSAny positive difference between a firm's assets and liabilities. original
investments plus profit earned minus losses.
Balance Sheet - ANSFirms financial position at one point in time. (assets, liabilities, owners equity)
Income Statement - ANSPresents revenues and expenses and profits or losses during a period or
time. Looks at how management has looked after the money.
Statement of Cash Flow - ANSPresents generation, and use, of cash during a period of time.
Current Assets - ANSCash and assets that can be converted into cash within the year listed in order of
liquidity.
Accounts Receivable - ANSInvoices, or amounts owed to the firm by customers.
Inventory - ANSCosts of merchandise acquired for sale but not yet sold.
