Chap 2

Question 1

The main activity of this area is bookkeeping, where it prepares interim or annual financial statements of the business.

Answer 1

Financial Accounting and Reporting (FAR)

Question 2

This area involves deeper analysis of the financial elements in the business. Compliance with legal and regulatory
requirements are needed here.

Answer 2

Intermediate Accounting

Question 3

The domain where accountants use accounting for all the costs necessary to produce and sell a product.
Details acquired here are used for making sound economic decisions for the business.

Answer 3

Cost Accounting

Question 4

This sector focuses on the financial and non-financial information needed for managing the business.

Answer 4

Management Accounting

Question 5

The field where independent verification and examination of accounting records are done to check the reliability of the financial statements.

Answer 5

Auditing

Question 6

It deals with the administration or use of public or community funds for the people.
All transactions involving the receipts and
disposition of government funds.

Answer 6

Government and Non-Profit Accounting

Question 7

The sector of accounting that deals with tax matters affecting the firm.
It ensures compliance with rules and regulations and minimizes a company’s tax liability.

Answer 7

Tax Accounting

Question 8

It focuses on examining the reliability of the business by checking for fraudulent financial activities.
The purpose is to check for illegal transactions.

Answer 8

Forensic Accounting

Question 9

The domain where it involves formal teaching
in an educational institution.

Answer 9

Accounting Education

Question 10

The area is dedicated for the continuous improvement of the field through filling the current gaps and discovering new accounting knowledge.

Answer 10

Accounting Research

Question 11

Career Opportunities in Accounting

Answer 11

Public Accounting
Industry
Government
Research and Education

Question 12

Many accountancy graduates work here because of the immense number of businesses in different areas.
They render services as financial accountant, controller, budget officer, etc.

Answer 12

Industry Accounting

Question 13

Career open for firms and individual accounting professionals who offer expert services like auditing, accounting, tax, managerial, and financial services.

Answer 13

Public Accounting

Question 14

The field where accountants work as treasurer, accountant, and auditor of government agencies.

Answer 14

Government Accounting

Question 15

A professional field where accountants assume the roles of a researcher and instructor

Answer 15

Research and Education Accounting