Which of the following statements is true regarding the regulation of ethics in accounting?

• a.)
• Unethical behavior by major companies prompted the government to create the Sarbanes-Oxley Act.
• b.)
• The IRS created the Sarbanes-Oxley Act in order to prosecute companies who did not pay taxes.
• c.)
• The private sector proposed the Sarbanes-Oxley Act as a way to regulate competition within industries.
• d.)
• The Sarbanes-Oxley Act determines the standards of financial reporting for state and local government.

Differentiate betweengoverning principles, bodies, and agenciesinvolved in regulating accounting practices.

The __________ is the governing body which investigates and reports on the use of public funds while the __________ is the governing body responsible for collecting taxes.

• a.)
• AICPA;GAAP
• b.)
• SEC;GASB
• c.)
• GAO;IRS
• d.)
• IFRS;FASB

Identify the major roles and responsibilitiesin the field of accounting.

Janice works part-time and her sole responsibility is to document all of the accounting events that take place.

Janice's role is that of a(n) __________.

• a.)
• bookkeeper
• b.)
• controller
• c.)
• auditor
• d.)
• accountant

Determine the basic structure and tax forms oflegal entities.

Which of the following scenarios correctly describes a non-profit organization?

• a.)
• Lonnie uses the profits of his organization to advance its mission.
• b.)
• Sally and her salon are treated the same from a legal perspective.
• c.)
• Mike's shoe store does not sell stocks that are publicly traded.
• d.)
• Bernie is protected from liability for anything beyond his $5,000 investment.

Compare the types of permanent accounts with the types of temporary accounts.

Which of the following statements describes assets?

• a.)
• The financial output incurred by a company to create profits
• b.)
• Business resources that are owned or can be claimed by others
• c.)
• The net worth of the business, including profits and investments
• d.)
• Business resources that are owned or that can be claimed by the owner

Identify the steps associated with the accounting cycle.

Preparing financial statements is which phase of the accounting cycle?

• a.)
• Analyzing
• b.)
• Posting
• c.)
• Closing
• d.)
• Reporting

Identify the steps associated with the accounting cycle.

Preparing financial statements is which phase of the accounting cycle?

• a.)
• Analyzing
• b.)
• Posting
• c.)
• Closing
• d.)
• Reporting