b) c) d) Define 'accounting' (3 marks) Explain TWO (2) internal users and TWO (2) external users of financial statement. (4 marks) Differentiate between sole proprietorship and company. (6 marks) For each of the following, identify and state the relevant accounting concepts. i. The proprietor has no intention to close it in the near future and would be able to meet its obligations according to plan. ii. Transactions and events which cannot be expressed in terms of money, even if they affect the business iii. The value at which the various assets shall be recorded in the books shall be the historical cost or acquisition cost. iv. Any private and personal incomes and expenses of the owner(s) should not be treated as the incomes and expenses of the business v. According to this concept, every transaction has two aspects a debit aspect and a credit aspect. vi.A transaction should be recorded at the time when it takes place and not when the cash is realised. vii. According to this convention, accounting practices once selected and adopted should be applied consistently year after year. (7 Marks) [Total: 20 marks]