Financial Accounting Final

*generally accepted accounting principles (GAAP)* – Generally accepted guidelines for the preparation of financial statements.
trademark – gives the exclusive right from the US government to use a symbol or name
List Temporary accounts – Fees Income, drawing, advertising expense, all expense account
Retired – But back of bonds from investors
Endowment – A fund usually in the form of an income-generating investment, established to provide long-term support (such as faculty/research positions).
Adjusting entry for prepaid expense – Results increase (a debit) to an expense account and a decrease (a credit) to an asset account
round lot – an amount of stocks that is the usual trading number
Consequences of a poor turnover – If inventory turnover is slower than it should be the business is wasting/tying up cash on storage and insurance costs and s also likely to be finding it more difficult to meet current debts as inventory is not turning into cash fast enough. There is a greater risk that inventory will deteriorate/become out of date making it even harder to sell
Double-entry accounting – Recording of debit and credit parts in a journal
The ____ vulnerability exploits an unchecked buffer in Internet Explorer processing HTML elements such as FRAME and IFRAME elements.
Cost of Merchandise Sold – Normal Balance: Debit
Type of Account: Expense
Financial Statement: IS
Order of asset section – current > long-term > plant > intangible
bank statement – bank statement: a report of deposits, withdrawals, and bank balances sent to a depositor by a bank
*unit of measure concept* – A concept of accounting requiring that economic data be recorded in dollars.
ENTERPRISE RISK MANAGEMENT – A PROCESS USED BY A COMPANY TO PROACTIVELY IDENTIFY AND MANAGE THOSE RISKS THAT ARE INHERENT IN EVERY BUSINESS DECISION OR STRATEGY
Equity – The difference between assets and liabilities.
The ____ vulnerаbility explоits аn unchecked buffer in Internet Explоrer prоcessing HTML elements such аs FRAME and IFRAME elements.
Cost Constraint (cost-benefit relationship) – An accounting constraint that requires that the costs of providing financial information be weighed against the benefits that can be derived from using it.

The constraint applies to informational requirements established by standard-setting bodies and governmental agencies as well as to companies reporting financial information. Pg.63

This entry was posted in Uncategorized. Bookmark the permalink.

Leave a Reply