Ferg Acctg Bellringer 5 Financial

_____ is a set of guidelines established to help publicly traded companies create financial statements.

• Generally Accepted Accounting Principles (GAAP)

• Federal Assurance Practices (FAP)

• Mandated Accounting Practices (MAP)

• Federally Insured Accounting Deposits (FIAD)

______ means any activities of a business must be kept separate from the activities of the business owner.

• economic entity assumption

• monetary unit assumption

• full disclosure principle

• matching principle

____ means that only activities that can be expressed in dollar amounts can be included in accounting records.

• Monetary unit assumption

• Time period assumption

• Full disclosure principle

• Going concern principle

______ means that business activities can be reported in distinct time intervals.

• Time period assumption

• Cost principle

• Full disclosure principle

• Matching priniciple

______ refers to the historical cost of an item that is reported on the financial statements.

• Cost principle

• Full disclosure principle

• Going concern principle

• Matching principle

_____ means that all information that is relative to the business be reported either in the content of the financial statements or in the notes to the financial statements.

• Full disclosure principle

• Materiality principle

• Going concern principle

• Cost principle

______ requires that businesses use the accrual form of accounting and match business income to business expenses.

• Matching principle

• Revenue recognition principle

• Going concern principle

• Cost principle

This standard requires that revenue be reported on the income statement in the period in which it is earned.

• Revenue recognition principle

• Going concern principle

• Full disclosure principle

• Monetary unit assumption

______ refers to the measure of importance of a misstatement in accounting records.

• Materiality principle

• Matching principle

• Cost principle

• Monetary unit assumption

_______ is the principle that calls for potential expenses and liabilities to be recognized immediately if you are unsure whether they will actually occur or not.

• Conservation

• Materiality principle

• Revenue recognition principle

• Going concern principle