Texas A&M University(TAMU) ACCT 229 Tests Bundle Set

Materiality CORRECT ANSWER The dollar magnitude of the transaction makes a difference in how it is recorded. Record as an expense not an asset. No party would be mislead. Ex. buying a 10 dollar trash can Monetary Unit CORRECT ANSWER Only transactions that can be expresses in terms of money can b...

What consists of the policies and procedures necessary to ensure Operations, Reporting, and Compliance Objectives? CORRECT ANSWER Internal Control System What ensures the safeguarding of a company's assets & making sure operations are effective and efficient; Making sure Day-to-Day operations con...

Sole Proprietorship CORRECT ANSWER -one owner -advantage: easy to form -the owner uses it as a separate entity for accounting purposes, but not for legal purposes -unlimited liability Unlimited Liability CORRECT ANSWER The owner is personally and fully responsible for all losses and debts of t...

business CORRECT ANSWER all activities necessary to provide the members of an economic system with goods and services 3 forms of business organization CORRECT ANSWER -sole proprietorship -partnership -corporation sole proprietorship CORRECT ANSWER one owner advantage: easy to form disadvan...