Generally Accepted Accounting Principles Are the Rules for Preparing Financial

question 26

True/False

Generally accepted accounting principles are the rules for preparing financial statements.

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Definitions:

Sold Bonds

The action of issuing bonds to investors, raising capital by incurring long-term debt.

Long-Term Investment

A long-term investment is an account on the asset side of a company's balance sheet that represents the company's investments, including stocks, bonds, real estate, and cash, held for more than one year.

Net Income

The total profit or loss of a company after all revenues, expenses, taxes, and costs have been subtracted from total revenue.

Dividends

Profit distributions by a corporation to its shareholders, usually as an earnings sharing.