Introduction to Accounting

Front

What is accounting often referred to as?

Back

The language of business.

Front

What is accounting often referred to as?

Back

The language of business.

Front

What does accounting measure, process, and communicate?

Back

Financial information about an economic entity.

Front

What is the foundation of the double-entry bookkeeping system?

Back

The accounting equation.

Front

What does the accounting equation represent?

Back

The relationship between a company's assets, liabilities, and owner's equity.

Front

What is the basic accounting equation?

Back

Assets = Liabilities + Owner’s Equity.

Front

What is the primary purpose of financial statements?

Back

To provide information about the financial position and performance of a business.

Front

What are the three main types of financial statements?

Back

Balance Sheet, Income Statement, and Cash Flow Statement.

Front

What does GAAP stand for?

Back

Generally Accepted Accounting Principles.