1
Q
methods an organization uses obtain financial resources from financial markets and how they manage them
A
financing activities
2
Q
how managers use capital from financing activities to acquire other resources used in the transformation process
A
investing activities
3
Q
transform resources from one form to a different form which is more valuable to meet the needs of the people
A
transformation process (investing activities)
4
Q
one that provides goods and services at low costs relative to their selling prices
A
efficient business
5
Q
one that is successful in providing goods and services demanded by the customers
A
effective business
6
Q
involves the use of resources to edsign, produce, distribute, and market goods and servicse
A
operaitng activities
7
Q
economic activities of a business
A
business tansactions
8
Q
book where all transactions are recorded in the currency in which they are conduced at the time they are conduced
A
memorandum
9
Q
merchants private book, the entries made here are in one currenc, in chronologicla order and in narraive form
A
journal
10
Q
alphabetical listing of all the business’s accounts along with the running balance of each particular account
A
ledger
11
Q
transactions of different entities should not be accounted for together. each entity must be evaluated separately
A
entity concept
12
Q
na entity’s life can be meaningfully subdivided into equal time periods for reporting purposes
A
periodicity concept
13
Q
allows users to obtain timely information to serve as a basis on making decisions about future activities
A
periodicity conceptq
14
Q
concerned with the supply of information to the owners of the entity
A
financial accounting
15
Q
concerned with the supply of information to the managers of the entity
A
management accouning
16
Q
who want to know from time to time how the business is doing
A
owners
17
Q
who need information in order to help plan and control the business
A
managers
18
Q
the philppine peso is a reasonable unit of measure and that its purchasing power is relatively stable
A
stable monetary unit concept
19
Q
the basis for ignoring the effects of inflation in the accounting records
A
stable monetary unit
20
Q
allows accountants to add and subtract peso amounts as though each peso has the same purchasing power as any other peso at any time
A
stable monetary unit concept
21
Q
financial statements are normally prepared under the assumption tha the reporting entity will continue operating for the foreseeable future
A
going concern
22
Q
it is assumed that the entity has neither the intention nor the need to enter liquidtaion or cease trading
A
going concern
23
Q
GAAP
A
generally accepted accounting principles
24
Q
principle has ___ to the extent that it results in information that ismeaningful and useful to those who need to know something about a certain organization
A
relevance
25
a principle has ____ to the extent that the resulting information is not influenced by the personal bias or judgement of those who furnish it.
objectivity
26
connotes reliability and trustworthiness; connotes verifiability
objectivity
27
means there is some way of finding out whether the iformation is correct
verifiability
28
a principle has ___ tohte extent that it can be implemented without undue complexity or cost
feasibility
29
accounting recordsand statements are based on the most reliable data available so that they will be as accurate and as useful as possible
objectvity principle
30
reliable data are verifiable when they can be
confrimed by independent observers
31
accounting records are basedon informaton that flows from activities documented by objective evidence
objectivity priciple
32
states that acquired assets should be recorded at their actual cost and not what management thins they rae worth as at reporting date
historical cost
33
revneue is to be recognized n the accounting period when goods are delivered or services are rendered or performed
revenue recognition principle
34
expenses should be recognized in the accounting period in which goods and services are used up to produce revenue and not when the entity pays for those goods and services
expense recognition principle
35
requires that all relevant information that would affect the users understanding and assessment of the accounting entity be disclosed in the financial staements
adequate disclosure
36
only concerned with information that is significant enough to affect evaluations and decisions
financial reporting
37
depends on the size and nature of the item judged in a particular circumstances of its omission
materiality
38
in deciding whether an item or an aggregate of items is material, the nature and size of the item are evaluated together
materiality
39
firms should use the same accounting method from period to period to achieve comparability over time with a single enterprise
consistency
40
T/F: changes in accounting method are permitted if justifiable and disclosed in the financial statemts
true
41
shall constitute a person be t his/her individual capacity, or a a partner or as a staff member in an accounting or auditing firm, holding out himself/herself as one skled in knowledge, science, ad practice of accounting, as a qualified person to ender professional services as a certified public accounting (CPA); or offering or rendering, or both, to more than one client on a fee basis or otherwise
practice of public accountancy
42
shall constitute a person involved in decision making requiring professional knowledge in the science of accounting, or when such employment or position requires that the holder thereof must be a certified public accounting
practice in commerce and industry
43
shall constitue in a person in an educational institute which involves teaching of accounting, auditing, managmeent advisory services, finance, business law, taxation, and other technically related subjects; provided that the members of the integratedbar of the philippines may be allowed to teach business law and taxation subjects
pratice in education/academe
44
shall constitute a person who holds, or is appointed to, a position in an accounting professional group in government or in a government-owned and/or controlled corporaton including those performing proprietary functions where decision making requires professional knowledge in the science of accounting or where a civil service eligibility as a certified public accounting is a prerequisite
practice in governmnet
45
RA 9298
philippine accoutnancy act of 2004
46
RA 9298 (prez)
gloria arroyo
47
PD 692
revised accountancy law
48
PRC
professional regulatory board
49
PICPA
philippine institute of certified public accountants
50
ASC
accounting standards council
51
FSFRC
financial and sustainability reporting standards council
52
IFAC
international federation of accountnats
53
SEC
securitiesand exchage commission
54
CB
central bank of the philippines
55
FINEX
financial executivse institute of the philippines
56
BOA
board of accountancy
57
BSP
bangko sentral ng pilipinas
58
sets of skill that include the ability to carry out abstract logical thinking and understand critical thinking
intellectual
59
includescreative thikning for the generation of new ideas; visualization or seeing things in hte minds eye; and reasoning skills or the discovery of a rule or principle nderlying hte relationship between two ormore objects and applying it whne solving a problem
intellectual
60
involves developing the ability of cpas to work in groups and being a team player
interpersonal
61
this refers to active listening skills and the ability to communicate effectively ones points or view both orally and iin writing to all organizatinal levels; being able to justify ones position and deliver powerful presentations and to persuade and convince others
communication
62
leads strategically, facilitates change, and influences people and decisions. actively ivolved in all significant business decisions and major initiatives to drive change and growth
co-pilot
63
steers the organization toward value creation and sustaed profitabiliyt by providing deciison-relevant and actionable insights
navigator
64
protects an organization and its reputation through stewardship of tangible and intangible assets, and financialand non-fin performance
brand protector
65
enlightens internaland external stakeholders on the organizations narrative, how it creates value over time and the opportunities and challenges it faces
storyteller
66
enables a cognitive and data driven business that utilizes digitalizaiton, including automation, artificial intelligence of data, andin ways that drive decisions nad growth
digitaland technology enabler
67
ensures efficient and effective end-to-end processes and workflows within and across finance and the organiztaion
process and control expert
68
challenges the organization, and themselves, when needed within professional objectivity
trustedprofessional
69
concerned with right and wrong and how conduct should be judged to be good or bad
ethics
70
a situation in which no obvious right or wrong decision but rather a right or right answer
ethical dilemma
71
big sums of money lost annually to fraud, embezzlement, theft of equipment and supplies, false nsurance claims, bribery, kickbacks, and other schemes
white collar crime
72
going to the authorities or the media with proof that a company is engaged in wrong doing
whistleblowing
73
whistblowers are called
squealers
74
when a person must play two conflicting roles in a situation
conflicts of interest
75
based on race, religion, ethnicity, gender, age, marital status, or sexual preference
discrimination
76
typically those that an attorynye, cpa, financial advisor, or executor of an estate have toward a client
fiduciary responsibilities
77
professional must put the clients interest ahead of his own ecause the client has placed significant trust in him and his professional abilities
fiduciary relationhsip
78
unwanted repeate or aggressive sexual commentary or advances of a sexual nature towrad another person
sexual harassment
79
a professional accountant should be straightfoward and honest in all professional and business relaionships.
integrity
80
implies fair dealings and truthfulness aprofessional accountant shold not be associated wiht reports,reurns, communication, or otehr information that they believe is materially falseor misleading, furnished recklessly, or omits or obscures information
integrity
81
a professinal acountant sohuld not allow bias, conflict of interest, or undue influence of otheers to override professional or business judgments
objectiviyt
82
a professional accountant has a continuing duty to maintain professonal knowledge and skill at the level requiredto ensure that the client or employer receives competent professional serviec bsaed on current developments in practice, legislation, and techniques
professinal competence and due care
83
a professional accountant should act diligently and in accordance with applicable technical ad professional standards whe prividing professional services
professional competence and due care
84
professional accountants should confirm with the technical andprofessional standards of the SEC, PRC, FSRSC, AASC, and relevant legislation
professional competence and due care
85
AASC stands for
auditing and assurance standards council
86
hte normal pattern starts initially with a high standardof general educaiton followed by specific education, training, and examintaion in profesionally relevant subjects and whether perscribed or not, a period of work experience
attainment of professional competence
87
continuing awareness and an understanding of relevat technical professional and business developments.
maintenance of professional competence
88
encompasses the responsibility to act in accordance with the requirements of an assignment carefully, thoroughly, and on a timely basis
diligence
89
a professional accountant should respect the confidentiality of information acquired as a result of professional and business relationships and should not disclose any such information to third parties without proper and specific authority unless there is a legal or professional right or duty to disclose
confidentiality
90
a professional accoutnant hsould comply with releavnt laws and regulations and should avoid any action that discredits the profession
professional behavior
91
supplied to external users still has a dominant influence on internal management information
financial information
92
independent examination that ensures the fairness and reliability of the reports tha tmanagement submits to users outsied the business entity
external audit
93
accountancy professions most significant service to the public
auditing
94
employees of the compan yappointed by and to answer to the company's management though they work independently of accounting and otehr departments
internal auditors
95
ensure accuracy of business records, uncover internal control problems, and identify operational difficulties
internal auditing
96
perform routie tasks and undertake detailed checking of the company's accounting procedures
internal auditors
97
are likely to go in for much more selective testing
external auditors
98
mechanical task involving the colection of basic fiancial data
bookkeeping
99
focused on the recordig of business transactions and the periodic preparation of reports on financial position and results ofoperations
financial accounting
100
process that involves the recording of cost data in books of accounts
cost bookeeping
101
deals with the collection, allocation, and control of the cost of producing goods and services
cost bookkeeping
102
responsible for setting financial objectives, making plans base don those objectives, and obtaining finance needed to achieve the plans, ad generally safeguarding all the financial resorces of hte entity
financial management
103
a relatively new brach of accounting that has grown rapidly
financial management
104
incorporates costaccounting data and adapts them for specific decisions which management may be called upon to make
management accounting
105
preparation of tax returns and considerations of the taxa consequences of proposed business transacitins or alternative courses of action
taxation
106
comply with existing tax statutes
taxation
107
concerned with the identification of the sources and uses of resources consistent with the provisions of the city, municipal, provincial, and national laws
government accounting
108
ASEAN Inc
academicians, students, and educators alliance Inc
109
present economic resource controlled by the entity as a result of past events.
asset
110
is a right that has the potential to produce economic benefts
ecnomic resourec
111
a present obligation of an entity to transfer an economic resource as a result of past events
liability
112
the residual interest in the asses of an entity after deducting all its liabilities
equity
113
increases assets, or decreases liabilities, that result in increases in equity, other than those relating to contributions from holders of equity claims
income
114
decreases assets, or increases liabilities, that result in decreases in equity other than those relating to distributions to holders of equity claims
expenses
115
basic summary edvice of accounting
account
116
increases A, increase L
SA
117
inc A, inc OE
SA
118
dec A, dec L
UA
119
inc A, dec A
EA
120
dec A, dec OE
UA
121
inc L, dec OE
EC
122
dec L, inc OE
EC
123
inc L, dec L
EC
124
inc OE, dec OE
EC
125
economic occurence that causes changes in an enterprises assets, liabilities, and/or equity
accounting event
126
particular kind of evnet that involves the transfer of something of value betweentwo entities
transaction
127
book of original entry
general journal
128
shows all the effects of a transaction in termsof debits and credits
general journal
129
transferring the amounts from hte general jounral to appropritae accouts in the ledger
posting
130
reference book
ledger
131
how each account balance in the ledger is determined by adding all debits nad credits
footing
FAR
flashcards
Decks in class (13)
# Cards
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CHAPTER 7-8121
-
CHAPTER 7: QUESTIONS84
-
CHAPTER 7: Transportation In4
-
CHAPTER 7: Transportation Out4
-
CHAPTER 8: COMPLETING THE CYCLE (MERCHANDISING)80
-
CHAPTER 9: SPECIAL JOURNALS54
-
CHAPTER 1-6131
-
CHAPTER 4: ADJUSTMENTS12
-
CHAPTER 12: Partnership Considerations and Formation126
-
CHAPTER 12: Partnerships Considerations and Formation (QUESTIONS)46
-
CHAPTER 13: PARTNERSHIP OPERATIONS AND FINANCIAL REPORTING89
-
CHAPTER 13: PARTNERSHIP OPERATIONS AND FINANCIAL REPORTING (QUESTIONS)22
-
CHAPTER 14: CORPORATION79
