Introduction to Accounting

Sole Proprietorship is an incorporated business that is directly owned by a single individual.

• True

• False

Limited Liability Company is a combine features of corporations and sole proprietorship.

• True

• False

Managerial accounting is designed around the necessity of managers and not necessarily controlled or regulated.

• True

• False

Refers to a company's book value.

• Equity or Equity Accounts

• Accounts

• Accounting

Is the total amount of income generated by the sale of goods or services related to the company's primary operations.

• Asset

• Revenue or revenue accounts

• Liabilities

Any resource owned or controlled by a business or an economic entity.

• Asset or asset accounts

• Equity

• Expense

Accounting is the system of recording financial transactions with both numbers and text in the form of financial statements.

• True

• False

Luca Pacioli is known as the "Father of Accounting"

• True

• False

Public accountants are accountants working within a single/specific entity.

• True

• False

A credit is an accounting entry that either increases a liability or equity account, or decreases an asset or expense account

• True

• False