Help
Options
Didn't know it?
click below
click below
Knew it?
click below
click below
Don't Know
Remaining cards (0)
Know
retry
shuffle
restart
0:00
Embed Code - If you would like this activity on your web page, copy the script below and paste it into your web page.
Normal Size Small Size show me how
Normal Size Small Size show me how
Accounting Exam1
Accounting Review
| Question | Answer |
|---|---|
| Data about cash flows from financing activities | Financial Statements |
| Descriptions of the company's significant accounting policies | Notes to the financial statement |
| Management's analysis of Changes in income from operations for the current year versus the prior year | Management's discussion and analysis |
| Saless and net income for the current and two prior years | Financial Statements |
| Detailed information about the company's long-term liabilities, such ass years due and interest rates | Notes to the financial statement |
| A statement about whether or not the statements are presented fairly in accordance wih generally accepted accounting principles | Auditors reports |
| The proces of identifying, recording, and communicating the economic events of a business to interested users of the information | Accounting |
| Debts and obligations of a business | Liabilities |
| Resources owned by a business | Assets |
| The amount by which revenues exceed expenses | Net Income |
| A business organized as a seperate legal entity having ownership divided into transferable shares of stock | Corporation |
| The amount of net income kept in the corporation for future use, not distributed to stockholders as dividends | Retained Earnings |
| Assets=Liabilities + Stockholders' Equity | Accounting equation |
| Distributions of cash or other assets from an incorporated business to its shareholders | Dividends |
| The cost of assets consumed or services used in the process of ongoing operations to generate revenues | Expenses |
| A financial statement that reports the financial postion of a business at a specific date | Balance Sheet |
| This is not a characteristic of sole proprietorsip | It's a seperate legal entity |
| This is not a characteristic of a corportation | Owners have unlimited liability |
| Corporations may issue several classes of stock, but the stock representing the primary ownership interest is | Common stock |
| Resources owned by a buisness and used in carrying out its operating activities are | Assets |
| Acquiring long-term assets necessary to operate e business is called a(n) | Investing activity |
| Debt securities sold to investors and due to be repaid at a particular date some years in the future are called | Bonds Payable |
| The term used to discribe the total assets that Starbucks receives in exchange for its coffee is | Revenue |
| The financial statement which presents a picture at a point in time of what a business owns and owes is a(n) | Balance Sheet |
| Net Income shown on the income statement is added to the beginning balance of retained earnings in the | Retained earnings statement |
| To report the success or failure fo the company's operations during the period is the purpose of the | Income statement |
| The Group of accountss maintained by a company | Ledger |
| A list of a company's accounts | Chart of accounts |
| Events that require recording in the financial statements because they affect assets, liabilities, or stockholders' equity | Accounting Transactions |
| An accounting record in which transactions are initially recorded in chronological order | Journal |
| An individual accounting record of increases and decreases in a specific asset, liability or stockholders' equity item | Account |
| A system that records the dual effect of each transaction in appopriate accounts | Double-Entry System |
| The procedure of transferring journal entries to the ledger accounts | Posting |
| The left side of an account | Debit |
| A list of accounts and their balances at a given time | Trial balance |
| The process of identifying the specific effects of economic events on the accounting equation is referred to as | Transaction Analysis |
| When cash is recieved before services have been preformed which accounts are increased | Cash & Unearned service revenue |
| Dividends are | Decreases on the retained earnings statement |
| Items such as a sales slip, a check, a bill, or a cash registertape are examples of | source documents |
| The process of entering transaction data into the journal is called | Journalizing |
| This is not in the general journal | The determination of net income |
| The basic steps in the recording process are | Analyze the transaction, enter the transactions in the journal, and transfer the information to the general ledger |
| This account does not have debit balances | Unearned service revenue |
| This account does not have credit balances | Dividends |
| This following mitake wil be detected by a trial balance | a devit balance is recorded as a credit balance |
| The journal entry to record the completion of a service for which payment has not been recieved is a | Debit accounts recivable and credit service revenue |
| Expenses paid in cash and recorded as assets before they are used or consumed | Prepaid Expenses |
| Entries at the end of an accounting period to transfer the balances of temporary accounts to a permanent stockholders' equity account, Retained earnings | Closing entries |
| The process of allocating the cost of a long-lived asset to epense over its useful life | Depreciation |
| Cash recieved before a compan earns revenues and recorded as a liability until earned | Unearned Service Revenue |
| The principle that delicates that expensess be matched with revenues in the period when efforts are expended to generate revenue | Expenses Recognition (Match Principle) |
| Accounting basis in which companies record, in the periods in which the events occur, transactions that change a company's financial statements, rather than in the periods in which the copany receives or pays cash | Accrual basis accounting |
| The principle that revenue be recognized in the accounting periods in which the events occur, transactions that change a company's financial statementss, rahter than in the periods in which the company receives or pays cash | Revenue recognition principle |
| Entries made at the end of an accounting period to ensure that the recenue and expense recognition principles are followed | Adjusting Entries |
| An account that is offset against an asset account on the balance sheet | Contra Asset Account |
| Expenses Incurred but not yet receibed in cash or recorded | Accrued xpenses |
| Accountants have developed two principles to use as guidelines in determining the amount of revenues and expenses to be reported in a given period. These principles are the | Revenue recognition principle, expense recgonition (matching) principle |
| In order for the revenue to be recorded in the period in which they re earned and for expenses to be recognized in the period in which they are incurred | Adjusting entries are amde |
| Unearned revenues are | Prepayments & Liabilities |
| Depreciations is | The process of allocating the cost of a long-lived asset to expense over its useful life |
| Accumulated depreciation is a | Contra Asset Account |
| Adjusting Entries for accruals | Are required in order to record revenues earned and expenses incurred in the current accounting period that have not been recognized through daily entries and thus are not yet reflected in the accounts |
Created by:
RaeBlack
Popular Accounting sets