FABM 1 ACTIVITY 2

This involves selecting economic events that are relevant to a particular business transaction.

• COMMUNICATING

• IDENTIFYING

• CUSTOMERS

This occurs through the preparation and communicating of financial and other accounting reports.

• IDENTIFYING

• COMMUNICATING

• RECORDING

This nature of accounting refers to the method of performing any specific job step-by-step according to objectives.

• ACCOUNTING IS A PROCESS

• ACCOUNTING IS AN INFORMATION

• NONE OF THE ABOVE

This nature of accounting tells accounting is known and characterized as a storehouse of information.

• ACCOUNTING IS A PROCESS

• ACCOUNTING IS AN INFORMATION SYSTEM

• ACCOUNTING IS ABOUT CREDIT

During this FRENCH REVOLUTION, thorough study and development of theory of accounting began. Social upheavals affect the government, finances, laws, customs, and business which greatly influenced the development of accounting.

• FALSE

• TRUE

• BOTH A AND B

During this TIME, the Modern Accounting Standards and Commerce were developed. The accounting profession developed the requirements for financial statement audits around the states.

• TRUE

• FALSE

• NONE OF THE ABOVE

This user analyze the organization’s performance and position and take appropriate measures to improve the company’s results.

• MANAGEMENT

• CREDITORS

• OWNERS

These users need accounting information to know the profit or income for the period as well as the assets and liabilities of the company.

• CUSTOMERS

• OWNERS

• CREDITORS

These users need accounting information to determine the credit integrity, worthiness of the organization, and credit terms.

• CREDITORS

• OWNERS

• CUSTOMERS

These are the users of accounting information that need to assess the financial position of its suppliers which is necessary for them to maintain a stable source of supply in the long term.

• CREDITORS

• OWNERS

• CUSTOMERS