1. Be able to describe the primary objectives of financial accounting.

2. Explain operating, investing, and financing activities.

3. Understand some of the key aspects that distinguish a corporation from other forms of business ownership.

4. Know some of the key issues as they relate to accounting, such as What are the Rules (GAAP) of Accounting?, who creates them, and some key examples such as the matching principle, the cost concept, the time period assumption, etc.

5. Know the accounting equation and how it expands to include Revenue, Expenses, and Dividends.

6. Know the major account categories (Assets, Liabilities, etc.) and be able to identify the accounts that belong to each category.

7. Understand risk & return and be able to make investment choices accordingly.

8. Understand how and why a business transaction affects the accounting equation.

9. Be able to identify source documents to which journal entries they relate.

10. Know the four required financial statements, the order in which they are prepared, and why.

11. Be able to prepare an Income Statement, Statement of Retained Earnings, & Balance Sheet.

12. Know the two major accounting