GAAP & Financial Accounting

Accounting entries involve a minimum of how many accounts?

• 1

• 2

• 3

• 4

common set of accounting rules and procedures; needed in accounting to maintain accuracy and consistency of financial reports

• IRS laws

• financial reporting

• Generally accepted accounting practices (GAAP)

• disclosure principle

all information which is relevant to financial statement must be included in the financial statement

• cost principle

• disclosure principle

• reliability principle

• GAAP

assumption a company intends to continue operations

• matching principle

• disclosure principle

• going concern principle

• reliability principle

An amount owed by a business.

• Asset

• Liability

• Equity

• Revenue

Anything of value that is owned.

• Asset

• Liability

• Capital

• Creditor

The time period covered by an accounting report is called....

• accounting period
• going concern

Money invested in a business by an owner is called ____________.

• merchandise
• capital

Transaction & events not capable of being expressed in terms of money are not to be recorded in accounting due to

• Going concern

• Accounting entity

• Money measurement

• Periodicity

Recording of transaction in ledger is called as

• Journalizing

• Posting

• Recording

• None of these