Financial accounting uses money measures to gauge the impact of business transactions on a separate business entity.

Question:

Financial accounting uses money measures to gauge the impact of business transactions on a separate business entity. Tell whether each of the following words or phrases relates most closely to

(a) a business transaction,

(b) a separate entity, or

(c) a money measure:

1. Corporation 2. Euro 3. Sales of products 4. Receipt of cash 5. Sole proprietorship 6. U.S. dollar 7. Partnership 8. Stockholders’ investments 9. Japanese yen 10. Purchase of supplies

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