Which of the following organizations is responsible for the creation and governance of accounting standards in the United States? A) Financial Accounting Standards Board B) Institute of Management Accountants C) American Institute of Certified Public Accountants D) Securities and Exchange Commission ANSWER A
Date: September 2nd, 2020
The guidelines for accounting information are called Generally Accepted Accounting Principles (GAAP). Indicate whether the statement is true or false ANSWER TRUE
Date: September 2nd, 2020
What are Generally Accepted Accounting Principles (GAAP)? Which entity is currently responsible for determining GAAP? What will be an ideal response ANSWER Generally Accepted Accounting Principles are the guidelines for accounting information, currently formulated by the Financial Accounting Standards Board (FASB). GAAP is the main U.S. accounting rule book.
Date: September 2nd, 2020
GAAP refer to guidelines for accounting information in the United States. The acronym GAAP in this statement refers to ________. A) Globally Accepted and Accurate Policies B) Global Accommodation Accounting Principles C) Generally Accredited Accounting Policies D) Generally Accepted Accounting Principles ANSWER D
Date: September 2nd, 2020
As per the economic entity assumption, an organization and its owners should be seen as the same entity. Indicate whether the statement is true or false ANSWER FALSE
Date: September 2nd, 2020
In a sole proprietorship, the owner is personally liable for the debts of the business. Indicate whether the statement is true or false ANSWER TRUE
Date: September 2nd, 2020
The most that the owner of a sole proprietorship can lose, as a result of business debts or lawsuits, is the amount he/she has invested in the business. Indicate whether the statement is true or false ANSWER FALSE
Date: September 2nd, 2020
Members of a limited-liability company (LLC) are not personally liable for the debts of the business. Indicate whether the statement is true or false ANSWER TRUE
Date: September 2nd, 2020
In a limited-liability company (LLC), the members are personally liable for the debts of the business. Indicate whether the statement is true or false ANSWER FALSE
Date: September 2nd, 2020
A business can be organized as a sole proprietorship, partnership, corporation, or limited-liability company (LLC). Indicate whether the statement is true or false ANSWER TRUE
Date: September 2nd, 2020
