All Federally Chartered Credit Unions Are Required to Obtain Insurance

question 38

True/False

All federally chartered credit unions are required to obtain insurance from the National Credit Union Share Insurance Fund (NCUSIF).

Understand the role of source documents in the accounting process.

Master the process of transferring journal entries to ledger accounts.

Know how to prepare and interpret financial statements from ledger accounts.

Understand the process and importance of posting journal entries to ledger accounts.

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Definitions:

U.S. GAAP

United States Generally Accepted Accounting Principles - a framework of accounting standards, principles, and procedures used in the U.S. for financial reporting.

Revaluation

The process of reviewing and adjusting the carrying value of an asset or currency to reflect its current market value.

Commercial Substance

A concept in accounting that signifies a transaction causes a change in the future cash flows that is significant to a business.

Asset Turnover

A financial ratio that measures the efficiency of a company in using its assets to generate sales or revenue.