Exam 1: Introduction to Accounting and Business

Ramierez Company received its first electric bill in the amount of $60 which will be paid next month.How will this transaction affect the accounting equation?

The monetary unit assumption

Identify each of the following as either internal or external users of accounting information.

Profit is the difference between

The main objective for all business is to maximize unrealized profits.

All of the following are general-purpose financial statements except

Determine the total assets at the end of the current year for Scott Industries.

Receiving a bill or otherwise being notified that an amount is owed is not recorded until the amount is paid.

If net income for a company was $50,000,$20,000 in cash dividends were paid and the shareholders invested $10,000 in cash,the stockholders' equity increased by $40,000.

Transactions affecting stockholders' equity include

The Sarbanes-Oxley Act established standards for corporate responsibility and disclosure.

The following are examples of external users of accounting information except

Which of the following groups are considered to be internal users of accounting information?

On May 20,White Repair Service extended an offer of $108,000 for land that had been priced for sale at $140,000.On May 30,White Repair Service accepted the seller's counteroffer of $115,000.On June 20,the land was assessed at a value of $95,000 for property tax purposes.On July 4,White Repair Service was offered $150,000 for the land by a national retail chain.At what value should the land be recorded in White Repair Service's records?

About 90% of the businesses in the United States are organized as corporations.

Earning revenue