final review - A system that collects, analyzes, and...

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A system that collects, analyzes, and communicated financial info is known as accounting Lilly manages a store where she is responsible for daily asales. She is responsible for bookkeeping A manager who oversees all of the business accounting activities is known as a controller Income statemnts and balance sheets are a part of this field of accounting- financial accounting Accounting info that is designed to be shared with internal decision makers is known as managerial accounting A controller examines her companys financial reports for accuracy. This examination is known as an audit Some accountants are called upon to examine a business for a court of law. These accountants are forensic accountants A Sarbanes oxley act is designed to all of these A basic tool of accounting is known as the accounting equation. Which of thses? Assets= liabilities + owners equity Abc inc owns three cash registers. The cash registers are an example of an asset Abc inc received a bill from one of its suppliers this morning. The money owed is a liability This would remain if a business were sold and all its debts were paid- owners equity An asset that can be or will be converted to cash within a year is current asset Abc inc owns a warehouse and the land that surrounds it. The warehouse and the land are fixed assets Nike has a patent on nike air. The value of this patent is listed on a balance sheet as an intangible asset Many assets lose value over the course of time. Accountants use depreciation to distribute the cost of an asset over time Revenues – expenses = profit Funds that flow into a business from the sale of goods or services are known as revenues This statement provides the most detail about how a company earns and spends cash. Statement of cash flows
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This is a detailed statement of estimated receipts and expenditures for a future period of time. Budget a common method for measuring a firms ability to pay its immediate debts is known as current ratio (current assets devided by current liabilities) CHAPTER 15 which of these statements bout money is true? All of the above
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This note was uploaded on 09/05/2011 for the course ADMINISTRA 100 taught by Professor Reeves during the Spring '11 term at Rutgers.

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final review - A system that collects, analyzes, and...

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