Accounting 1- Ch 1 Vocab Part 2

____ is the legal document giving a business the right to operate as a corporation.

Following the ____ accounting assumption, the accountant prepares reports as though the business will operate indefinitely.

• going concern

• business entity

• GAAP

• financial

A(n) ____ is a business organization that must get permission from the state to operate.

• accounting firm

• corporation

• sole proprietorship

• partnership

____ summarize information about the financial status of a business.

• bank statement

• manager reports

• financial reports

• report cards

A business with a single owner is a(n) ____.

• sole proprietorship

• partnership

• corporation

• non-profit

A business that provides a needed service for a fee is called a(n) ____.

• free enterprise system

• service business

• merchandising business

• manufacturing business

The ____ is the period of time covered by an accounting report.

• capital

• charter

• accounting period

• business entity

____ is concerned with preparing information for internal users

• manufacturing business

• financial accounting

• management accounting

• sole proprietorship

A(n) ____ buys finished goods and sells them to individuals or other businesses.

• manufacturing business

• service business

• business entity

• merchandising business

A(n) ____ is an individual who transforms ideas for products or services into real-world businesses

• employee

• entrepreneur

• clerk

• accountant