Accounting Basics Quiz

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What is accounting?

Accounting, also known as accountancy, is the processing of information about economic entities, such as businesses and corporations.

Who are the stakeholders that accounting conveys information to?

Stakeholders include investors, creditors, management, and regulators.

What are the fields into which accounting can be divided?

Accounting can be divided into several fields including financial accounting, management accounting, tax accounting, and cost accounting.

What does financial accounting focus on?

<p>Financial accounting focuses on the reporting of an organization's financial information, including the preparation of financial statements, to the external users of the information, such as investors, regulators, and suppliers.</p> Signup and view all the answers

What is bookkeeping and what is the most common system used?

<p>Bookkeeping is the recording of financial transactions, and double-entry bookkeeping is the most common system.</p> Signup and view all the answers