Asked by Francies Guzman on Jul 18, 2024
Verified
Generally accepted accounting principles are
A) income tax regulations of the Internal Revenue Service.
B) standards that indicate how to report economic events.
C) theories that are based on physical laws of the universe.
D) principles that have been proven correct by academic researchers.
Generally Accepted Accounting Principles
A framework of accounting standards, principles, and procedures that companies follow to compile their financial statements.
Economic Events
Any occurrences or transactions that affect the financial position of a company, including sales, purchases, and investments.
Income Tax Regulations
The rules and laws that govern how income taxes are calculated, collected, and enforced by the tax authorities.
- Understand the basic concepts of Generally Accepted Accounting Principles (GAAP) and their utilization in financial statements.
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Learning Objectives
- Understand the basic concepts of Generally Accepted Accounting Principles (GAAP) and their utilization in financial statements.
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