chapters 1 - 2\nwhat is gaap\na. generally applied accounting principles\nb. generally advertised accepted…

chapters 1 - 2\nwhat is gaap\na. generally applied accounting principles\nb. generally advertised accepted principles\nc. governing accepted accounting principles\nd. generally accepted accounting principles\nwhat are the 3 types of economic activity\n1.\n2.\n3.\neconomic activity applied\nwhich type of activity are these transactions.\npaying employee wages: \nissuing 500 shares of stock: \nbuying factory equipment: \npaying off notes payable: \nthe 4 financial statements\n1\n2\n3\n4\nwhat is the bottom line of the income statement? \nwhat is the first line of the statement of retained earnings? \nwhat is the bottom line of the statement of retained earnings? \nwhat are the two main numbers of the balance sheet?

chapters 1 - 2\nwhat is gaap\na. generally applied accounting principles\nb. generally advertised accepted principles\nc. governing accepted accounting principles\nd. generally accepted accounting principles\nwhat are the 3 types of economic activity\n1.\n2.\n3.\neconomic activity applied\nwhich type of activity are these transactions.\npaying employee wages: \nissuing 500 shares of stock: \nbuying factory equipment: \npaying off notes payable: \nthe 4 financial statements\n1\n2\n3\n4\nwhat is the bottom line of the income statement? \nwhat is the first line of the statement of retained earnings? \nwhat is the bottom line of the statement of retained earnings? \nwhat are the two main numbers of the balance sheet?

Answer

Brief Explanations:

GAAP stands for Generally Accepted Accounting Principles. The three types of economic activity are operating, investing, and financing. Paying employee - wages is an operating activity as it relates to day - to - day business operations. Issuing stock is a financing activity as it involves raising capital. Buying factory equipment is an investing activity as it pertains to long - term asset acquisition. Paying off notes payable is a financing activity as it deals with debt settlement. The four financial statements are the income statement, statement of retained earnings, balance sheet, and cash - flow statement. The bottom line of the income statement is net income. The first line of the statement of retained earnings is beginning retained earnings. The bottom line of the statement of retained earnings is ending retained earnings. The two main numbers of the balance sheet are total assets and total liabilities and equity.

Answer:

  1. D. Generally Accepted Accounting Principles
  2. Operating, Investing, Financing
  3. Paying employee wages: Operating Activity Issuing 500 shares of Stock: Financing Activity Buying factory equipment: Investing Activity Paying off Notes Payable: Financing Activity
  4. Income Statement, Statement of Retained Earnings, Balance Sheet, Cash - Flow Statement
  5. Net Income
  6. Beginning Retained Earnings
  7. Ending Retained Earnings
  8. Total Assets, Total Liabilities and Equity