The Structure Is Based Upon Generally Accepted Accounting Principles

Explaining Basic Accounting Concepts and Business Structures By: Jennifer Powell Topic 1: Identify and describe the sources of generally accepted accounting principles. Identify source hierarchy and explain why the hierarchy is important. Generally Accepted Accounting Principles (GAAP), are guidelines that allow each accountant supervision upon financial reporting. It stimulates a cohesive environment to comprehend all aspects of finances in various business. The standard that FASB has worked identifies

Explaining Basic Accounting Concepts and Business Structures Laurie D. Melvin ACC/537 – Financial Accounting May 9, 2011 James Neuner, MBA One of the most important decisions to make when one chooses to start a business is knowing the type of legal organizations to select because the decision affects many aspects of the business. What can be affected are the amount and type of paperwork required, tax payments, possible personal liability

Introduction A principle is defined as a rule, or even an idea that forms the basis of deciding what is wrong and what is right in context to our actions. As opposed to principles, we all have our own personal practices and traditions, which determine our behavior in the society. These practices are determined from our culture, society, ancestors, experiences and religion etc. But since we live in a world where every person has their own set of practices and traditions, we cannot expect to live the

Introduction, Review of Accounting Process and Financial Statements Abstract This paper explains different types of accounting phrases and how they directly affect the accounting field. Phrases which are included and defined in the paper are Generally Accepted Accounting Principles, Contra-Asset Accounts, Historical Cost, Accrual Basis vs. Cash Basis Accounting, and Accounting Standards Codification. Definitions and examples of these terms are included as well as explanations of how they are

Example Test Questions Chapter 1 Multiple Choice: 1. Which of the following bodies has the ultimate authority to issue accounting pronouncements in the United States? a. Securities and Exchange Commission b. Financial Accounting Standards Board c. International Accounting Standards Committee d. Internal Revenue Service Answer a 2. What historical evidence of the business operations of the private estate of Apollonius was discovered early inthe20th century? a. The Iliad b. Plato 's Republic

the most appropriate accounting practices in order to achieve relevant and reliable financial information. The accounting profession worldwide has longed for the harmonisation of the various accounting codes practised by different countries. A set of international standards has been developed with help from the US, Britain, Ireland and the EU in general. International Financial Reporting Standards (IFRS) are a set of accounting standards developed by the International Accounting Standards Board (IASB)

CHAPTER 1 Financial Accounting and Accounting Standards ASSIGNMENT CLASSIFICATION TABLE | | | | |Topics |Questions |Cases | |1. |Subject matter of accounting. |1 |1

GAAP Several large parent organizations implement and apply the generally accepted accounting principles, also known as GAAP, within their respective countries. GAAP regulations are in place to preserve a level of uniformity between the reports of each of their individual firms; however, this can be an issue when the parent company has subsidiaries in foreign countries. In order to alleviate these issues, the International Accounting Standards Board (IASB) created the International Financial Reporting

Ashley Richardson 11/15/2013 Western Governors University AUO1 – Auditing and Information Systems Additional Study Questions/ Study Guide 1. Accounting Information Systems Competency 302.1.1: Nature and Purpose The student understands the nature and purpose of information systems. * What is the difference between transaction processing systems, management information systems, and decision support systems? 2. Transaction processing systems - document financial activities

longer than a year.” (Hongren, Harrison & Oliver, 2012) These liabilities fit into three categories: Current liabilities of known amount; current liabilities that must be estimated; and contingent liabilities. According to the matching principle of accounting, expenses and revenues need to be reported during the same period that they are earned. This can be difficult if the exact amounts are not known. This is the purpose behind estimated and contingent liabilities. In order to provide accurate