FOA - FLASHCARDS

Front

What drives the need for forecasting and strategic planning in business?

Back

Risk and Uncertainty.

Front

What are the three types of business?

Back

Service, Merchandising, Manufacturing.

Front

What is a Sole Proprietorship?

Back

The least regulated form of business with unlimited liability.

Front

What is the difference between a General Partner and a Limited Partner in a Partnership?

Back

A General Partner has full liability, while a Limited Partner's liability is limited to their capital contribution.

Front

What is a Corporation?

Back

A business form regulated by the SEC.

Front

What does Faithful Representation in accounting ensure?

Back

It ensures that financial data reflects economic reality and is free from error.

Front

What is the importance of Neutrality in financial statements?

Back

Financial statements must be unbiased.

Front

What does Verifiability in accounting mean?

Back

Independent parties can confirm the accuracy of data.

Front

What is the Accounting Cycle?

Back

It begins with identifying transactions, includes posting, and ends with financial statements and closing entries.

Front

What is a Credit Memo?

Back

A document that supports returns and reduces the buyer's payable.