Gaap rules - Study guides, Class notes & Summaries

CPA Exam Prep Questions & Answers 2023/2024 Chapter 1 The purpose of financial reporting is to provide information primarily for which of the following groups? A. Internal Revenue Service B. Financial Accounting Standards Board C. Investors and Creditors D. Government - ANSWER-C. Investors and Creditors The FASB has maintained that: A. The interests of the reporting firms will be a primary consideration when developing new GAAP B. New GAAP should be neutral and not favor any...

5 basic assertions of accounting - Answer--complete, valuation, existence, ownership, classification, described and disclosed Required accounting criteria from a set of rules or requirements: - Answer--understandability, relevance, reliability, comparability/consistency, lack of bias, and cost-benefit effectiveness Understandability Criteria - Answer--Must be transparent, intelligible, and clearly disclosed Relevance Criteria - Answer--Must be timely, have predictive value, provide useful f...

CPA FAR Exam Questions & Answers 2023/2024 Identifying a Variable Interest (VIE) - ANSWER-All Must be Met: 1. There is an arrangement between company and business entity 2. The business entity is a legal entity 3. The business fails to qualify for an exclusion 4. The interest is more than insignificant 5. The company has an explicit or implicit variable interest in the entity Securities and Exchange Commission - ANSWER-- established in 1934 by Securities and Exchange Act - all pu...

Statement of Cash Flows - Answer- Shows the change in cash balance for a period of time. Focuses only on items where cash is received, or cash is paid. Cash Flow from Operating Activities (CFO) - Answer- Cash flow that a company generates as a result of day-to-day business operations. Deals with Current Assets and Current Liabilities. Cash Flow from Investing Activities (CFI) - Answer- Cash flow that is generated from investments in long term assets. Cash Flow from Financing Activities ...

Wall Street Prep Redbook Question and answers already passed What is the primary purpose of US GAAP? - correct answer In the US, the Securities and Exchange Commission ("SEC") authorizes the Financial Accounting Standards Board ("FASB") to determine the set of accounting rules followed by publicly traded companies. Under FASB, financial statements are required to be prepared in accordance with US Generally Accepted Accounting Principles ("US GAAP"). Through the standardization of ...

Wall Street Prep Red Book Question and answers rated A+ What is the primary purpose of US GAAP? - correct answer SEC authorizes the FASB to determine the accounting rules. Under FASB, financial statements are required to be prepared in accordance with US GAAP. What are the main sections of a 10-K? - correct answer In a 10-K, you'll find the three core financial statements, which are the income statement, cash flow statement, and balance sheet. There'll also be a statement of shareho...

PRAXIS 5101 Latest 2023 Already Graded A Assets Something valuable that an entity owns, benefits from, or has use of, in generating income. Different types of assets Fixed, variable, intangible, tangible examples of fixed assets Tangible assets used to generate profit and will not be turned into cash within the year: "plant," land, computer equipment, furniture, cars, buildings, and equipment used to make products What are variable assets May be transformed to cash sooner; inventory of prod...

Test bank For Horngren's Financial & Managerial Accounting The Managerial Chapters, 7th edition Nobles Chapter ( 1-11 ) A+ Financial and Managerial Accounting: Managerial Chapters, 7e (Miller-Nobles) Chapter M:1 Introduction to Managerial Accounting Learning Objective M:1-1 1) Managerial accounting focuses on providing information for internal planning and control. Answer: TRUE Diff: 1 LO: M:1-1 AACSB: Application of knowledge AICPA Functional: Reporting PE Question Type: Concept H2:...

Accounting Crash Course Exam V4 Wall Street Prep Exam Questions with complete Answers | Latest Updated 2024/2025 | Graded A+. What is Accounting?: Accounting is the language of business; it is a standard set of rules for measuring a company's financial performance. Assessing a company's financial performance is important for: The firm's officers (managers and employees) Investors Lenders General public Standard financial statements serve as a "yardstick" of communicating financial p...

WALL STREET PREP: ACCOUNTING CRASH COURSE QUESTIONS AND CORRECT VERIFIED ANSWERS LATEST UPDATED What is Accounting? Accounting is the language of business; it is a standard set of rules for measuring a company's financial performance. Assessing a company's financial performance is important for: The firm's officers (managers and employees) Investors Lenders General public Standard financial statements serve as a "yardstick" of communicating financial performance to the general pub...