BSNS115 EXAM QUESTIONS AND ANSWERS WITH
COMPLETE SOLUTIONS VERIFIED LATEST UPDATE
Internal users
those within an organization who use financial information to make day-to-day decisions
External users
people outside the business entity (organization) who use accounting information.
Management accounting
all about decision making and helps you make an informed decision
Financial Accounting
The preparation of financial statements
Conceptual framework
Cost constraint in financial information
Limitations of financial reports
Time lag, Historical figures, Creative accounting
Assets
anything that has current or future economic value to a business
Liabilities
Something a company owes
Equity
Residual interest in the assets of an entity that remains after deducting its liabilities. In a
business enterprise, the equity is the ownership interest.
, Income
Earnings from work or investment
current assets
assets held for no longer than one accounting period (1 year)
Non-current assets
Items owned by the business for more than one year
Current Liabilities
liabilities due within a short time, usually within a year
Non-current liabilities
not expected to be met within the next accounting period (1 year)
Drawings
withdrawal of goods or cash from the business for the owners personal use.
Dividends
Distributions of earnings to the company
Expenses
The cost of assets consumed or services used in the process of generating revenues.
Cash Accounting
A system in which revenue and expenses are counted as they are actually received.
Depreciation
The systematic allocation of the cost of a tangible asset over its useful life.
Accumulated Depreciation
The total depreciation that has been charged to statements of profit or loss
Straight line depreciation method
COMPLETE SOLUTIONS VERIFIED LATEST UPDATE
Internal users
those within an organization who use financial information to make day-to-day decisions
External users
people outside the business entity (organization) who use accounting information.
Management accounting
all about decision making and helps you make an informed decision
Financial Accounting
The preparation of financial statements
Conceptual framework
Cost constraint in financial information
Limitations of financial reports
Time lag, Historical figures, Creative accounting
Assets
anything that has current or future economic value to a business
Liabilities
Something a company owes
Equity
Residual interest in the assets of an entity that remains after deducting its liabilities. In a
business enterprise, the equity is the ownership interest.
, Income
Earnings from work or investment
current assets
assets held for no longer than one accounting period (1 year)
Non-current assets
Items owned by the business for more than one year
Current Liabilities
liabilities due within a short time, usually within a year
Non-current liabilities
not expected to be met within the next accounting period (1 year)
Drawings
withdrawal of goods or cash from the business for the owners personal use.
Dividends
Distributions of earnings to the company
Expenses
The cost of assets consumed or services used in the process of generating revenues.
Cash Accounting
A system in which revenue and expenses are counted as they are actually received.
Depreciation
The systematic allocation of the cost of a tangible asset over its useful life.
Accumulated Depreciation
The total depreciation that has been charged to statements of profit or loss
Straight line depreciation method
