Principles of Accounting - VYC1 - WGU

The review of financial statements to assess their fairness and adherence to GAAP is called?

Auditing

What is an independent accountant who provides accounting services to the public for a fee called?

CPA

What form of business organization are owners not personally responsible for the debts of the business?

Corporation

What is the Financial Accounting Standards Board responsible for?

Developing generally accepted accounting principles.

What is not part of the process of accounting for financial information?

Identifying

What is an area in which accountants usually do not practice

Industrial accounting

The relationship between business finances and owner finances should always be?

Kept separate

A form of partnerships business entity is

LLP

Which act was passed in response to the wave of corporate accounting scandals?

Sarbanes-Oxley Act

What is not a type of information communicated by the financial statements?

Types of products and services a business provides

An Example of an Economic Entity is

a business

Sarbanes-Oxley Act includes rules on

auditor rotation

What is not a type of information communicated by the financial statements

how long the business has been in operation

The area of accounting that involves the preparation of internal reports for a firm's executives and the analysis of the data in these reports to aid in decision making is known as

managerial accounting

Corporations whose stock can be bought and sold on stock exchanges and in over the counter markets are referred to as

publicly owned corporations

Tax planning includes

suggesting actions to reduce tax liability.

The group of accounting educators who offer their opinions about proposed FASB statements, after research has been done to determine the possible effects on financial reporting and the economy is?

the AAA