Accounting Ch. 1-2

What is the primary responsibility of an accountant?

• Preparing financial statements

• Data entry and bookkeeping

• Auditing financial records

• Managing human resources

Which of the following roles typically involves tasks such as data entry, accounts payable, and receivable processing?

• 1. Accounting Clerk

• 1. Certified Public Accountant

• 1. Not-for-profit organization

• 1. For-profit business

A for-profit business aims to:

• Maximize profits for shareholders

• Provide free services to the community

• Avoid generating revenue

• Achieve tax-exempt status

Not-for-profit organizations are primarily focused on:

• Maximizing shareholder wealth

• Earning profits for owners

• Serving a specific mission or cause

• Distributing dividends to shareholders

Which type of firm offers accounting services to various clients, including businesses and individuals, and may perform audits?

• Public accounting firms

• Accounting clerks

• Certified public accountants

• Not-for-profit organizations

An audit is:

• A detailed examination of financial records to ensure accuracy

• A type of financial statement

• A business's annual report to shareholders

• The process of tax preparation

What designation is earned by individuals who have met specific education and experience requirements and have passed the Uniform CPA Exam?

• Accounting clerk

• Public accounting firm

• Certified Public Accountant

• For-Profit business