Accounting Basics Ch 1-2

What is the type of business that is it's own entity?

• Partnership

• Sole Proprietorship

• Corporation

• Franchise

Accounting = _______ of Business

Type of business that is owned by one person

• Sole Proprietorship

• Corporation

• Partnership

• Franchise

Business with 2 or more owners

• Sole Proprietorship

• Corporation

• Partnership

• Franchise

Type of business that takes raw materials and creates products

• Service

• Manufacturing

• Merchandising

• All of the above

Type of business that resells items but does not manufacture them

• Merchandising

• Manufacturing

• Service

• Franchise

What does GAAP stand for?

• Generally acclimated accounting practices

• Generally avoided accounting practices

• Generally accepted accounting practices

• Generally accepted acknowledged practices

What is financial accounting all about?

• Helping external users see the financial situation of the organization

• Helping internal users see the financial situation of the organization

What does managerial accounting help the organization do?

• Make decisions

• Know if they should invest in stock

• Know how the stock market is doing

• Know if they will keep their jobs