chapter 1

Question 1

Internal users

Answer 1

people who have the responsibilty of being manager, ceo, supervisor, investors.

Question 2

External users

Answer 2

People who consume the service or product of the company.

Question 3

Financing

Answer 3

1) borrowing money (financing debt)

2) issuing shares/ equity financing ) for cash

Question 4

4abilities

Answer 4

are obligations such loan payable and long term debt

Question 5

Share Capital

Answer 5

amount paid by investors for shares of ownership of the company.

Question 6

Assets

Answer 6

resources that the company owns or controls.

Question 7

Intangible assets

Answer 7

They don’t have any physical substance.

Question 8

Cash

Answer 8

can be invested into debt securitiies and equity securities.

Question 9

Acc recievable

Answer 9

are assets because they result in future benifits.

Question 10

Supplies

Answer 10

Shortterm assets used i day to day operations

Question 11

Pkrofit equals

Answer 11

revenue minus expences.

Question 12

shareholders equity

Answer 12

share capitall& retained earnings

Question 13

share capital

Answer 13

amounts contributed by the shareholder in exchange for share in ownership

Question 14

Retained Earnings

Answer 14

cummalative profit that has been retained in the corporation

Question 15

Loss

Answer 15

if the retained earnings are negative

Question 16

Retained end equals

Answer 16

retained begining + profit - dividends