Related Essays

  • Accrual Concept Paper

    [online] Available at: http://www.myaccountingcourse.com/accounting-principles/conservatism-principle [Accessed 3 Dec.

  • Greaters Swot Analysis

    iv. There is perpetual existence meaning if the owner of the sole proprietorship dies the business will not cease to exist. Once the corporation is formed ...

  • Arcadia Sports: A Partnership Or A Limited Liability Company

    A business entity is an organization that uses economic resources or inputs to provide goods or services to customers in exchange for money or other goods an...

  • Carp Case Study

    Since a business is seen to be in continues operation, the value that makes sense to a purchaser should be the market value. The value measures the present v...

  • Jack Sawyer Case Study

    1. | Question : | (TCO A) Listed below are several information, characteristics, and accounting principles and assumptions. Match the letter of each with th...

  • 1. Why Is Corporate Finance Important To All Managers?

    what would be the condition of the company with so much adverse impact B. Describe the organizational forms a company might have as it evolves from a s...

  • Generally Accepted Accounting Principles Essay

    Relevance implies that users can relate information to decisions with predictive and confirmatory values. The predictive value is a characteristic that allow...

  • Components Of Financial Management Essay

    Liability: It is a responsibility on behalf of the entity to give up an economic benefit arising from past transactions or events. c. Ownership equity: It...

  • Taxpayer Business Structure

    Owners, partners and shareholders should pick the most tax friendly forms of operation for their particular business. The most common things owners need to t...

  • Legal Structure And Types Of Stakeholders

    1.1 The purposes of different types of organisations considering their legal structure and types One of the most important decisions that any business would...

  • Shuffle
    Toggle On
    Toggle Off
  • Alphabetize
    Toggle On
    Toggle Off
  • Front First
    Toggle On
    Toggle Off
  • Both Sides
    Toggle On
    Toggle Off
  • Read
    Toggle On
    Toggle Off
Reading...
Front

Card Range To Study

through

image

Play button

image

Play button

image

Progress

1/14

Click to flip

Use LEFT and RIGHT arrow keys to navigate between flashcards;

Use UP and DOWN arrow keys to flip the card;

H to show hint;

A reads text to speech;

14 Cards in this Set

  • Front
  • Back
Separate entity
transactions of the business are separate from the ones of the owners
Going Concern
aka continuity- business will operate into the future, or assumed to have an indefinite life
time period
the indefinite life of a business must be reported over a series of shorter time periods.
Relevant
Predictive value- being able to go into the future
Feedback value- prior expectations
Timeliness- must be able to make an impact on decisions
Reliable
repeatable
verifiable- can be verified independently
faithfullness
neutral- unbiased
Comparable
Microsoft vs. yahoo
Consistent
Microsoft 2007 vs Microsoft 2008
Historical cost principal
whatever you buy the item for, that is how it is recorded
Materiality
significant amounts resulting from the error or omission can mislead knowledgeable readers. ex:buying a office furniture would not be an expense for GE
Cost Benefit
the cost of doing it has to outweigh gathering it
Conservatism
do not overstate assets and revenues, and do not understate liabilities, SE, and expenses
Working Capital
CA-CL
Current Ratio
CA/CL
Financial leverage ratio
measure of credit risk. low is good

ATA/ATSE