BU127 Chapter Notes - Chapter 1: Chartered Professional Accountant, Legal Personality, Net Income
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BU127 Full Course Notes
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Document Summary
Describe the various organizational forms and business decision makers. Describe the purpose, content, and structure of the four basic nancial statements. Explain how nancial statements are used by decision makers. Describe factors that contribute to useful nancial information. A business organization owned by one person. The owner is personally liable for all business debts. A business organization owned by more than one person. The owners (shareholder) are not personally liable for any debts. Accounting: a system of : analyzing, recording, summarizing. Business activities and then : reporting the results to decision makers. Currently all accounting designations (ca, cma, & cga) are merging to the cpa designation. Include detailed nancial plans and reports about the operating performance of the company. Are expected to provide future bene ts to the company. Amounts owed by the business to creditors. Trade payables, short-term borrowings, amounts owed to the bank and creditors, long-term borrowings. Amount owners directly contributed to the company in exchange for shares.
