[COB 241] - Midterm Exam Guide - Everything you need to know! (30 pages long)

• School: JMU
• Department: College of Business
• Course: COB 241
• Professor: James Irving

Document Summary

Assets: resources a business uses to generate revenues and make money. Liabilities: obligations that the business has to pay its creditors, such as vendors, its bank, and its credit card company. Equity: the business"s commitment to its stockholder after all of your liabilities are paid. Equity: contributed capital (common stock) + retained earnings. Investors: someone who has ownership in a company: creditors, credit card companies, banks, government: a. Irs (tax: sec (a market watch dog, pcaob (oversees and audits, financial account standards board (fasb) (writes accounting rules, auditors: checks reports, pwc, ey, kpm, deloitte, analyst: information intermediaries, employees, customers, vendors/ suppliers, competitors, media. What"s happened throughout the course of a time period. Captures events for a discrete period of time: income statement, statement of changes in equity, statement of cash flows. Update of your resources and obligations at a point in time: balance sheet. Revenues, sales, expenses: = net income/ net loss.