Accounting Ch1

What is the process of planning, recording, analyzing, and interpreting financial information?

Which term refers to financial reports that summarize the financial condition and operations of a business?

What is the term for anything of value that is owned?

What is the difference between personal assets and personal liabilities called?

What is the formal written document that describes the nature of a business and how it will operate?

Accounting is the language of business.

A creditor would favor a positive net worth.

The principles of right and wrong that guide an individual in making personal decisions is called business ethics.

Keeping personal and business records separate is an application of the business entity concept.

Generally Accepted Accounting Principles, GAAP, allows for flexibility in reporting.