Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

true or false i 1) Accounting is an information system that identifies, measures, records and communicates relevant information that objectively and correctly represents an organization's

true or false image text in transcribed
i 1) Accounting is an information system that identifies, measures, records and communicates relevant information that objectively and correctly represents an organization's economic activities. l 2) The main objective of accounting is to help people to invest in new products and businesses. 3) A sole proprietorship is a business owned by one or more persons. 4) Unlimited liability is an advantage for both a proprietorship and a partnership. 5) A corporation is responsible for its actions and any debts incurred. It can enter into its own contracts, and it can buy, own, and sell property. 6) The purpose of an audit is to add credibility to the financial statements 7) Ethical practices are not necessary to build trust and long-term relationships with customers. 8) The primary purpose of Generally Accepted Accounting Principles is to ensure the usefulness of financial information. ||| 9) 9) According to the historical cost principle, it is acceptable for managers to use their own estimate of an asset's value when recording the purchase. 10) 10) The assumption that a business will continue to operate until it can sell its assets to pay its creditors underlies the going concern principle. 11) Expenses are costs incurred or the using up of assets from generating revenue. 12) 12) The balance sheet is also called the statement of financial position because it shows the financial position of the business on a particular date. 13) An account is a detailed record of increases and decreases in a specific asset, liability or equity item. 13)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Will You Be My Internal Audit Manager

Authors: Benito Gross

1st Edition

B09774C8CK, 979-8521636563

More Books

Students also viewed these Accounting questions

Question

Does Apple have fighter brands for the iPod and the iPad?

Answered: 1 week ago

Question

A 300N F 30% d 2 m Answered: 1 week ago

Answered: 1 week ago