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31 Cards in this Set
- Front
- Back
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The financial statements most frequently provided include what? |
Balance sheet Income statement Statement of cash flows Statement of shareholders equity |
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The objective of financial reporting identifies _____ primary users for general purpose financial statements |
Investors and creditors |
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GAAP stands for |
Generally accepted accounting principals |
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Sec stands for |
Securities and exchange commision |
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Aicpa stands for |
American institute of certified public accountants |
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Fasb stands for |
Financial accounting standards board |
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Who established the sec |
Federal government |
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Accounting and reporting for public companies |
Securities act of 1933 and 1934 |
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Sec requires public companies to adhere to? |
GAAP |
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Sec oversees |
Over 12000 companies on three exchanges |
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Aicpa established |
Committee on accounting procedures Accounting principles board |
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Fasb mission is to? |
establish and improve standards of financial accounting and reporting. |
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Differences between fasb and apb include |
Smaller Membership.Full-time, Remunerated Membership.Greater Autonomy.Increased Independence Broader representation |
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Accounting standard setters use the following process in establishing standards |
Research, discussion paper, exposure draft, standard |
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Companies listed on the stock exchange are required to report financial statements to the |
Sec |
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Which group selects members of the fasb |
Faf |
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What is the faf |
Financial accounting foundation |
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What is the fasac |
Financial accounting standards advisory council |
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Quality of information that permits users to identify similarities and differences between two sets of economic phenomena |
Comparibility |
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Having information available to users before it loses it's capacity to influence decisions |
Timeliness |
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Information about an economic phenomena that has value as an input to the processes uses by capital providers to form their own expectations about the future |
Predictive value |
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Information that is capable of making a difference in the decisions of users in their capacity as care providers |
Relevance |
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Absence of bias intended to attain a predetermined result or to induce a particular behavior |
Neutrality |
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Identify which basic assumption of accounting is being described: The economic activities of KFC corporation are divided into 12 month periods for the purpose of issuing annual reports |
Periodicity |
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Identify which basic assumption of accounting is being described: Solectron Corporation, Inc. does not adjust amounts in its financial statements for the effects of inflation. |
Monetary unit |
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Identify which basic assumption of accounting is being described: Walgreen Co. reports current and noncurrent classifications in its balance sheet. |
Going concern |
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Identify which basic assumption of accounting is being described: The economic activities of General Electric and its subsidiaries are merged for accounting and reporting purposes |
Economic entity |
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Identify which basic assumption of accounting is being described: KFC Corporation reports revenue in its income statement when it is earned instead of when the cash is collected |
Revenue recognition |
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Identify which basic assumption of accounting is being described: Yahoo, Inc. recognizes depreciation expense for a machine over the 2-year period during which that machine helps the company earn revenue |
Expense recognition |
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Identify which basic assumption of accounting is being described: Oracle Corporation reports information about pending lawsuits in the notes to its financial statements |
Full disclosure |
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Identify which basic assumption of accounting is being described: Eastman Kodak Company reports land on its balance sheet at the amount paid to acquire it, even though the estimated fair market value is greater |
Measurement |
