Understanding Accounting Principles and Board Replacements: Quiz

School: American River College - Course: ACCT ACCT 103 - Subject: Accounting

Chapter 1 and 2 Quiz ACCT 103 1. How many Accounting Research Bulletins were issued?17 2. What was the time period the above bulletins were issued?1938 to 1959 3. What was the name of the organization that issued the bulletins?The Committee on Accounting Procedure 4. What was the main purpose of the Accounting Principles Board?To issue authoritative pronouncements about accounting theories and practical accounting application 5. How many members were on this board?Between 18 and 21 6. What were the reports they issued?Income tax, lease, intangibles, extinguishment of debt, business combination. 7. What lead to the replacement of the Accounting Principles Board?There output was small and an independent organization was what was needed

8. What organization replaced the Accounting Principles Board?The Financial Accounting Standards Board 9. When and why was the "SEC" Securities and Exchange Commission established?Established in 1934 to help restore investor confidence after the 1929 stock market crash 10. Briefly explain the following principles: a. Revenue Recognitionis a GAAP process that identifies specific conditions in which revenue is recognized and how to account for it. b. Expense Recognitionis a principal concept that outlineswhen a business's expenses are recognized in the company financials c. Full Disclosureis reporting existing accounting policies and any changes to those policies from the previous financial period.