Match the Terms with the Definitions

question 15

Multiple Choice

Match the terms with the definitions.

-An economic event that has a direct impact on the business.

• A) account
• B) accounts payable
• C) accounts receivable
• D) accounting equation
• E) assets
• F) balance sheet
• G) business entity
• H) business entity concept
• I) business transaction
• J) drawing
• K) expenses
• L) income statement
• M) liability
• N) net income
• O) net loss
• P) notes payable
• Q) owner's equity
• R) revenues
• S) statement of owner's equity

Appreciate the significance of the cost-flow assumption in inventory management.

Understand how the retail inventory method estimates ending inventory.

Grasp the necessity of disclosing changes in inventory valuation methods.

Interpret how inventory valuation affects financial statements and business decisions.

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Definitions:

Glass-Steagall Act

A law enacted in 1933 to separate commercial banking from investment banking, aimed at reducing conflicts of interest and preventing future financial crises.

Credentialed Public Accountant

A licensed accounting professional who has met certain education and experience requirements and passed a qualifying exam.