ARBUS102 Study Guide - International Financial Reporting Standards, Cash Flow Statement, Canada Business Corporations Act

• School: University of Waterloo
• Department: Arts and Business
• Course: ARBUS102
• Professor: Seth Brouwers

Document Summary

Chapter 1: reporting and interpreting the financial results of. Process of capturing and reporting the results of a business"s operating, financing and investing activities. Operating activities: day-to-day events that occur when running a business, ex. Exchange of money between a business and its lenders or owners. Borrowing money from external lenders to help operate business. Buying manufacturing equipment that will help the company earn future revenues: ex, ex. Owner often is personally liable for business debts that cannot be paid. Business organizations owed by two or more people. Each partner often is personally liable for partnership debts that cannot be paid: partnership, corporations. Operate a business separate from their owners. Owners of corporations (shareholders) are nor personally responsible for. Public companies: stocks are bought and sold on stock exchange. Private companies: stocks are bought and sold privately debts of the corporations. Financial results of a companies business activities are presented in accounting reports called financial statements.