Identify and Briefly Define Each of the Three Stages of the Perception-Making

question 39

Essay

Identify and briefly define each of the three stages of the perception-making process.

Distinguish between the different effects that omitting adjustments can have on financial statements.

Explain the reasons for updating accounts at the end of an accounting period under accrual accounting.

Understand the concepts of depreciation and amortization and how they affect financial statements.

Calculate and record adjustments for prepaid and accrued expenses.