Which of the Following Would You Expect to Find in the General

question 44

Multiple Choice

Which of the following would you expect to find in the general by-law of a corporation?

• A)a resolution issuing shares of the corporation
• B)the rules for calling shareholder meetings
• C)the characteristics of the shares of the corporation
• D)an employment contract
• E)the memorandum of association

Understand the primary objective of financial accounting and its importance to external users.

Know the requirements and qualifications for becoming a Certified Public Accountant (CPA).

Understand how transactions impact financial statements and the accounting equation.

Distinguish between different types of business activities: operating, investing, and financing.

---

Definitions:

Forward Contract

A financial contract between two parties to buy or sell an asset at a specified future time at a price agreed upon at the time of the contract.

Net Method

is an accounting method for recording purchases where the purchase is recorded at net of any trade discounts received.

Profit Test

A financial analysis conducted to determine the profitability or financial viability of a project, business, or product.

Reportable Segments

Identifiable business units within a corporation that are significantly engaging in business activities, generating revenues, and incurring expenses.