ACC 110 Chapter Notes - Chapter 1: International Financial Reporting Standards, Bookkeeping, Canadian Business

38 views4 pages

Document Summary

The accounting environment: what is accounting and why is it. 2 subfields: financial accounting provides information to people external to entity, managerial accounting addresses the information needs & decisions of the managers of the entity. Entity an economic unit, such as an individual, proprietorship, government, not-forprofit organization etc. In an accounting environment, an entity is an economic unit that a stakeholder wants accounting information about: provide accounting information stakeholder need, reports must be tailored to suit entity"s accounting environment. Data v information: data raw, unprocessed facts about an entity"s economic activity, entered in accounting system, information results from organizing & presenting data. Has economic consequences (for stakeholders) the effect of actions and decisions on people"s wealth. Cost-benefit trade off the concept of comparing the benefits of an action with the costs of the action, and taking action only if the benefits exceed the costs: relates to information collection.

Get access

Grade+20% off
$8 USD/m$10 USD/m
Billed $96 USD annually
Grade+
Homework Help
Study Guides
Textbook Solutions
Class Notes
Textbook Notes
Booster Class
40 Verified Answers
Class+
$8 USD/m
Billed $96 USD annually
Class+
Homework Help
Study Guides
Textbook Solutions
Class Notes
Textbook Notes
Booster Class
30 Verified Answers

Related Documents

Related Questions