D196.pdf

lOMoARcPSD|22208385 D0196 Study Guide managerial and financial accounting (Western Governors University) Scan to open on Studocu Studocu is not sponsored or endorsed by any college o...

lOMoARcPSD|22208385 D0196 Study Guide managerial and financial accounting (Western Governors University) Scan to open on Studocu Studocu is not sponsored or endorsed by any college or university Downloaded by Kluck Fabrication ([email protected])  lOMoARcPSD|22208385 D196: Principals of Managerial and Financial Accounting Study Guide Notes: highlighted items were part of PA – these are highlighted for my personal studying to help prepare for OA. Some PA questions/answers will be typed directly into guide near appropriate content, but some might just be highlighted. Highlight Color has no meaning – just a way for my ADHD brain to break up content that9s close to one another. There is an Excel part of the PA/OA not covered in this study guide. Unit 2: The Role and Purpose of Accounting Module 1: Accounting Information ❑ What is the role and purpose of accounting? o Accumulate & report on financial information about performance, financial positions and cash flow of a business. Used to reach decisions about how to manage the business, invest in it, or lend money to it ❑ Who uses accounting information and why? o Businesses use accounting to: analyze transactions, handle routine bookkeeping tasks, and structure info so it can be used to evaluate the performance and health of the business. Used by creditors, investors, and both decisions makers inside AND outside of organizations to: allocate resources, evaluate performance, and determine a company’s profitability. ❑ What are the important influences on accounting? o Three important factors that influence the environment in which accounting operates are: