ACCT 2000- Exam 1 Lowe-Ardoin Ques ons and answers
| Updated RATED A+ | NEW 2026
Sole Proprietorship
- Generally owned by one person
- Simple to establish
- Owner controlled
- Tax advantages
- Personal Liability
Partnership
- Owned by 2 or more people
- Simple to establish
- Shared control
- Broader skills & resources
- Tax advantages
- Personal Liability
Corpora#on
- Easy to transfer ownership
- Easy to raise capital (selling shares of stock)
- No personal liability (BIGGEST ADVANTAGE)
- Pay taxes twice (corpora#on & stockholders)
Accoun#ng is the informa#on system that ____________, ___________, and
________________ the economic events of an organiza#on to interested users.
IDENTIFIES
RECORDS
COMMUNICATES
Internal Users
Managers, Supervisors, Company officials
External Users
Investors, Creditors, Regulators
Financial Scandal led to this Act
| Updated RATED A+ | NEW 2026
Sole Proprietorship
- Generally owned by one person
- Simple to establish
- Owner controlled
- Tax advantages
- Personal Liability
Partnership
- Owned by 2 or more people
- Simple to establish
- Shared control
- Broader skills & resources
- Tax advantages
- Personal Liability
Corpora#on
- Easy to transfer ownership
- Easy to raise capital (selling shares of stock)
- No personal liability (BIGGEST ADVANTAGE)
- Pay taxes twice (corpora#on & stockholders)
Accoun#ng is the informa#on system that ____________, ___________, and
________________ the economic events of an organiza#on to interested users.
IDENTIFIES
RECORDS
COMMUNICATES
Internal Users
Managers, Supervisors, Company officials
External Users
Investors, Creditors, Regulators
Financial Scandal led to this Act
