ACC 406 Lecture Notes - Lecture 5: Accrual, Revenue Recognition, Matching Principle
Document Summary
Organization a collection of individuals pursuing the same goal or objective. Sole proprietorship a business with a single owner. Economic entity concept the assumption that a single identifiable unit must be accounted for in all situations. Partnership a business owned by two or more individuals and with the characteristic of unlimited liability. Corporation a form of entity organized under the laws of a particular province or the federal government; ownership evidenced by shares. Share a certificate that acts as evidence of ownership in a corporation. Bond a certificate that represents a corporation"s promise to repay a certain amount of money and interest in the future. Non-business entity organization operated for some purpose other than to earn a profit. Capital stock indicates the owners contributions to a corporation. Shareholder someone who buys shares in a company. Creditor someone to whom a company or person has a debt. Asset a future economic benefit to an organization.