The FASB Codification Requires the Following Financial Statements for All

question 36

Multiple Choice

The FASB Codification requires the following financial statements for all nongovernmental,not-for- profit organizations

• A) Statement of financial position,statement of activities,statement of cash flows,and statement of functional expenses.
• B) Statement of financial position,statement of operations,statement of cash flows,and statement of functional expenses.
• C) Statement of financial position,statement of activities,and statement of cash flows.
• D) Statement of financial position,statement of revenues and expenses,statement of cash flows,and statement of functional expenses.

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Definitions:

Credits

Entries in accounting that increase liabilities or equity accounts, or decrease asset or expense accounts, reflecting transactions.

Debits

Entries in accounting that are used to record increases in assets or expenses and decreases in liabilities, equity, and revenue.

Capital Balance

The amount of money that a business or individual has invested in an entity, not including profits or losses from operations.

Net Income

The residual profit of an enterprise after deducting all expenditures and tax payments from its overall revenue.