[ACC 201] - Final Exam Guide - Everything you need to know! (158 pages long)
Document Summary
Forms of business organization: sole proprietorship simple to establish owner controlled (1 owner) tax advantages. Nancial reporting recent nancial scandals include: enron, worldcom, healthsouth, aig and others, congress passed sarbanes-oxley act (sox) effective nancial reporting depends on sound ethical behavior. 3 principal types of business activities: financing activities two primary sources of outside funds for corporations are: borrowing money (debt nancing) issuing (selling) shares of stock in exchange for cash (equity. 4 financial statements: income statement (period) heading identi es the company, type of statement, and time period includes the date (period of time the statement covered, for the month ended. Receivable means it is an asset, supplies is an asset, insurance is an asset. Payable means it is a liability, unearned accounts are liabilities: begins with assets: cash, accounts receivable, supplies, prepaid insurance, equipment (net) total assets. Then liabilities: notes payable, accounts payable, unearned service revenue, salaries and wages payable, interest payable total liabilities.
