FINANCIAL ACCOUNTING FUNDAMENTALS
7th Edition
ISBN: 9781264116386
Author: Wild
Publisher: MCG
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Question
Chapter 1, Problem 14PSB
To determine
Business Activity:
The income earns through purchasing and selling of goods is a business activity. All the activity related to the business is a business activity. Starting from the purchase of raw material and ending with the delivery of goods are under business activity of a corporation.
To identify: Three major business activities of the business and 2 specific events or transactions that normally undertaken by business owner's.
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Students have asked these similar questions
3. The main objective of management accounting is _________
a.
To record all the business transactions
b.
To know the amount due from customers and suppliers
c.
To maintain the accounting records
d.
To ascertain, analyze and interpret the results of business operations
Activity:
Explain and differentiate the different branches of accounting.
Financial accounting -
Managerial accounting -
Cost Accounting -
Auditing -
Tax Accounting -
Fiduciary accounting -
Project Accounting -
Forensic Accounting -
Fund Accounting -
Government Accounting -
Political Campaign Accounting -
International Accounting -
2. Describe the nature of accounting
3. Explain the accounting process:
recording
classifying
summarizing
interpreting
4. Differentiate the four forms of business organizations:
Sole proprietorship
General Partnership
Limited liability Company
Corporations
5. Explain and describe the type of information needed by each of these users:
Revenue
expenses
profitability
debt
6. Explain each accounting principles
Accrual principle
Conservatism principle
Consistency principle
Cost principle
Economic entity principle
Full disclosure principle
Going concern principle
Matching principle
Materiality principle
Monetary unit principle
Reliability principle…
Question:
b) Management accounting information is used by the internal users to make business decisions.
reqiured:
please answer this question by stating whether this statement is true or false.
Chapter 1 Solutions
FINANCIAL ACCOUNTING FUNDAMENTALS
Ch. 1 - Prob. 1MCQCh. 1 - Prob. 2MCQCh. 1 - If the assets of a company increase by $100,000...Ch. 1 - Brunswick borrows $50,000 cash from Third National...Ch. 1 - Geek Squad performs services for a customer and...Ch. 1 - Prob. 1DQCh. 1 - Prob. 2DQCh. 1 - Identify four kinds of external users and describe...Ch. 1 - Prob. 4DQCh. 1 - Prob. 5DQ
Ch. 1 - Prob. 6DQCh. 1 - Prob. 7DQCh. 1 - Prob. 8DQCh. 1 - Prob. 9DQCh. 1 - Prob. 10DQCh. 1 - Prob. 11DQCh. 1 - Prob. 12DQCh. 1 - Prob. 13DQCh. 1 - Prob. 14DQCh. 1 - Why is the revenue recognition principle needed?...Ch. 1 - Prob. 16DQCh. 1 - Prob. 17DQCh. 1 - Prob. 18DQCh. 1 - Prob. 19DQCh. 1 - Prob. 20DQCh. 1 - Prob. 21DQCh. 1 - Prob. 22DQCh. 1 - Prob. 23DQCh. 1 - Prob. 24DQCh. 1 - Prob. 25DQCh. 1 - Prob. 26DQCh. 1 - Prob. 27DQCh. 1 - Prob. 28DQCh. 1 - Prob. 29DQCh. 1 - Prob. 30DQCh. 1 - Prob. 31DQCh. 1 - Prob. 32DQCh. 1 - Prob. 33DQCh. 1 - Prob. 1QSCh. 1 - Prob. 2QSCh. 1 - Prob. 3QSCh. 1 - Prob. 4QSCh. 1 - Prob. 5QSCh. 1 - Prob. 6QSCh. 1 - Prob. 7QSCh. 1 - Prob. 8QSCh. 1 - Prob. 9QSCh. 1 - Prob. 10QSCh. 1 - Prob. 11QSCh. 1 - Identifying items with financial statements P2...Ch. 1 - Prob. 13QSCh. 1 - Prob. 14QSCh. 1 - Prob. 15QSCh. 1 - Computing and interpreting return on assets A2 In...Ch. 1 - Prob. 17QSCh. 1 - Prob. 1ECh. 1 - Prob. 2ECh. 1 - Prob. 3ECh. 1 - Prob. 4ECh. 1 - Prob. 5ECh. 1 - Prob. 6ECh. 1 - Prob. 7ECh. 1 - Prob. 8ECh. 1 - Prob. 9ECh. 1 - Prob. 10ECh. 1 - Identifying effects of transactions on the...Ch. 1 - Prob. 12ECh. 1 - Prob. 13ECh. 1 - Prob. 14ECh. 1 - Prob. 15ECh. 1 - Prob. 16ECh. 1 - Prob. 17ECh. 1 - Prob. 18ECh. 1 - Prob. 19ECh. 1 - Prob. 20ECh. 1 - Prob. 21ECh. 1 - Prob. 22ECh. 1 - Using the accounting equation A1 Answer the...Ch. 1 - Prob. 1PSACh. 1 - Prob. 2PSACh. 1 - Prob. 3PSACh. 1 - Prob. 4PSACh. 1 - Prob. 5PSACh. 1 - Prob. 6PSACh. 1 - Prob. 7PSACh. 1 - Prob. 8PSACh. 1 - Prob. 9PSACh. 1 - Prob. 10PSACh. 1 - Prob. 11PSACh. 1 - Prob. 12PSACh. 1 - Prob. 13PSACh. 1 - Prob. 14PSACh. 1 - Identifying effects of transactions on financial...Ch. 1 - Prob. 2PSBCh. 1 - Prob. 3PSBCh. 1 - Prob. 4PSBCh. 1 - Prob. 5PSBCh. 1 - Prob. 6PSBCh. 1 - Prob. 7PSBCh. 1 - Prob. 8PSBCh. 1 - Analyzing transactions and preparing financial...Ch. 1 - Prob. 10PSBCh. 1 - Prob. 11PSBCh. 1 - Prob. 12PSBCh. 1 - Prob. 13PSBCh. 1 - Prob. 14PSBCh. 1 - Prob. 1SPCh. 1 - Prob. 1AACh. 1 - Prob. 2AACh. 1 - Prob. 3AACh. 1 - Prob. 1BTNCh. 1 - Prob. 2BTNCh. 1 - Prob. 5BTN
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Similar questions
- ACCOUNTING PROCESS Match the following steps of the accounting process with their definitions. Analyzinga. Telling the results Recordingb. Looking at events that have taken place and thinking about how they affect the business Classifying Summarizingc. Deciding the importance of the various reports Reportingd. Aggregating many similar events to provide information that is easy to understand Interpretinge. Sorting and grouping like items together f. Entering financial information into the accounting systemarrow_forward2. EXPENDITURE CYCLE. What are the main activities and please explain how each of those activities are performed in the business process/transaction cycles.arrow_forwardQUESTION 5 Shortly discuss the accounting cycles in business.arrow_forward
- Which of the following refers to financial accounting? Question 9 options: a) Regulations or standards govern the information provided to users. b) The focus is on using information from the formal accounting system to guide the organization's activities. c) Reports provided to users are timely and focus on the future. d) The users of the information provided include managers and executives within the organization. e) Users utilize both financial as well as nonfinancial information to make decisions.arrow_forward21. Which of the following describes the purpose of a management accounting system?a) Recording the historical financial transactions of a businessb) Preparation of annual financial statementc) Record statements for external stakeholdersd) Preparation of plans for the future direction of a businessarrow_forward2. What broad functions do management of an organization perform?a. Directing, manufacturing, and controllingb. Planning, directing, and controllingc. Planning, directing, and sellingd. Planning, manufacturing, and controlling 3. Management accounting information is generally prepared fora. Stockholders.b. Managers.c. Regulatory Agencies.d. Investors.arrow_forward
- CHOOSE A, B,C OR D Management accounting serves following purposes:A. provision of information used by management of a business entity for decision making, planning and performance evaluationB. producing general purpose financial statementsC. meeting regulatory requirementsD. display the income and expenditure for the company and a summary of the assets, liabilities, and shareholders or owners’ equity of the company on the date the accounts were prepared to by usage of Double-entry accounting systemAnswer the question and explain why did you pick this answerarrow_forward1. Name some users of accounting information. A group of users can be Business owners, managers, directors, suppliers, investors, among others.arrow_forwardQuestion: 1) explain the similarities and differences between financial and management accounting. discuss any four points.arrow_forward
- 57. Which of the following statements is/are true?I. The listing of all of the accounts available for use in a company's accounting system is known as the General Ledger.II. The term associated with "left" or "left-side" is Credit.III. The basic accounting equation is Assets + Liabilities = Capital.IV. The accounting equation should remain in balance because every transaction affects only two accounts.V. The Accounting Cycle represents the steps or accounting procedures normally used by entities to record transactions and prepare financial statement. It implements the accounting process.VI. A corporation's net income and distributions to stakeholders are eventually recorded in the income summary. a II, IV, V, VI b V c I, V d I, V, VIarrow_forward2) The purpose of financial accounting is: a. Future oriented b. Communicating company position to external users c. Helping managers to make decisions d. Providing accounting information to internal usersarrow_forward
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