BUSI 301 DISCUSSION BOARD FORUM 1
THREAD FREDERICK COMPLETE ANSWERS
PACKAGE LIBERTY UNIVERSITY 2026
◉ Sec. Answer: 1934 - holds authority over GAAP w/FASB
◉ Capital structure. Answer: Debt and equity
◉ Providers of financial information. Answer: profit-oriented
companies, not-for-profit entities, households
◉ Investors. Answer: Shareholders and owners of the corp.
◉ Shareholders receive cash from. Answer: sale of the ownership
shares of stock and periodic dividends
◉ Key variables in investment decision. Answer: rate of return and
uncertainty/risk
◉ Rate of return. Answer: (dividend + share price appreciation) / initial
inv.
◉ What are the characteristics of financial statements. Answer:
Amounts. timing, and uncertainty
,◉ Cash basis accounting in Cf statement. Answer: The difference is net
operating cash flow - more predictable
◉ Accrual basis accounting. Answer: The difference is net income or
loss - more accurate cash flow
◉ 1933 Securities Act. Answer: Primary market
◉ 1934 Securities Exchange Act. Answer: Secondary market
◉ FASB was created in. Answer: 1973
◉ FASB Accounting Standards Codification. Answer: 90 accounting
topics org. Into subtopics
◉ Sarbanes-Oxley Act of 2002. Answer: established requirements for
proper financial record keeping
◉ Moving from principles based to. Answer: Objectives oriented
,◉ The conceptual framework. Answer: Underlying foundation for U.S.
Accounting standards -doesnt prescribe GAAP but it provides a common
standing point
◉ Underlying assumptions. Answer: economic entity, going concern,
periodicity, monetary unit
◉ General recognition criteria. Answer: definition, measurability,
relevance, reliability
◉ Net realizable value. Answer: The amount of cash into which an asset
is expected to be converted into over the course of the busi
◉ NRV. Answer: estimated selling price - costs of completion, disposal,
and transportation
◉ Present value. Answer: A framework for using future cash flows as
the basis for accounting measurement and approx assets and liabilities
fair value
◉ Disclosure. Answer: Parenthetical comments, disclosure notes,
supplemental schedules and tables
◉ Assets. Answer: Resources,
, ◉ Liabilities and shareholders' equity. Answer: Claims to resources,
◉ General ledger. Answer: Collection all accounts
◉ Perpetual Inventory system. Answer: Inventory and COGS are
continuously updated fo r purchase, sale and return of merch.
◉ Accrual entries (do or do not) affect the cash acct. Answer: Do not
◉ Alternative Approach to journal entries. Answer: Expense completely
then adjust by decreasing it by the amount not yet used
◉ Accrued receivables. Answer: Revenue recognized before cash is
received.
◉ Estimates example. Answer: Depreciation expense and bad debt
expense
◉ Income statement. Answer: Statement of operations or earnings
A change statement that reports the change in re or shareholders equity
during the Pd as a result of revs and gains and exp. and losses
THREAD FREDERICK COMPLETE ANSWERS
PACKAGE LIBERTY UNIVERSITY 2026
◉ Sec. Answer: 1934 - holds authority over GAAP w/FASB
◉ Capital structure. Answer: Debt and equity
◉ Providers of financial information. Answer: profit-oriented
companies, not-for-profit entities, households
◉ Investors. Answer: Shareholders and owners of the corp.
◉ Shareholders receive cash from. Answer: sale of the ownership
shares of stock and periodic dividends
◉ Key variables in investment decision. Answer: rate of return and
uncertainty/risk
◉ Rate of return. Answer: (dividend + share price appreciation) / initial
inv.
◉ What are the characteristics of financial statements. Answer:
Amounts. timing, and uncertainty
,◉ Cash basis accounting in Cf statement. Answer: The difference is net
operating cash flow - more predictable
◉ Accrual basis accounting. Answer: The difference is net income or
loss - more accurate cash flow
◉ 1933 Securities Act. Answer: Primary market
◉ 1934 Securities Exchange Act. Answer: Secondary market
◉ FASB was created in. Answer: 1973
◉ FASB Accounting Standards Codification. Answer: 90 accounting
topics org. Into subtopics
◉ Sarbanes-Oxley Act of 2002. Answer: established requirements for
proper financial record keeping
◉ Moving from principles based to. Answer: Objectives oriented
,◉ The conceptual framework. Answer: Underlying foundation for U.S.
Accounting standards -doesnt prescribe GAAP but it provides a common
standing point
◉ Underlying assumptions. Answer: economic entity, going concern,
periodicity, monetary unit
◉ General recognition criteria. Answer: definition, measurability,
relevance, reliability
◉ Net realizable value. Answer: The amount of cash into which an asset
is expected to be converted into over the course of the busi
◉ NRV. Answer: estimated selling price - costs of completion, disposal,
and transportation
◉ Present value. Answer: A framework for using future cash flows as
the basis for accounting measurement and approx assets and liabilities
fair value
◉ Disclosure. Answer: Parenthetical comments, disclosure notes,
supplemental schedules and tables
◉ Assets. Answer: Resources,
, ◉ Liabilities and shareholders' equity. Answer: Claims to resources,
◉ General ledger. Answer: Collection all accounts
◉ Perpetual Inventory system. Answer: Inventory and COGS are
continuously updated fo r purchase, sale and return of merch.
◉ Accrual entries (do or do not) affect the cash acct. Answer: Do not
◉ Alternative Approach to journal entries. Answer: Expense completely
then adjust by decreasing it by the amount not yet used
◉ Accrued receivables. Answer: Revenue recognized before cash is
received.
◉ Estimates example. Answer: Depreciation expense and bad debt
expense
◉ Income statement. Answer: Statement of operations or earnings
A change statement that reports the change in re or shareholders equity
during the Pd as a result of revs and gains and exp. and losses
