ACCTG 211 Lecture Notes - Lecture 2: Financial Statement, Regional Policy Of The European Union, Income Statement
Document Summary
Acctg 211 - lecture 2 - unit 1: chapter 1. Describe what a business does and the various ways a business can be organized. Classify business transactions as operating, investing, or financing activities. Describe who uses accounting information and why accounting information is important to them. Identify the elements of the four basic financial statements, explain the purpose of each financial statement, and be able to use basic transaction analysis to prepare each statement. Learning objective 1: purpose of a business. Provide goods and services to make a profit. Obtain the resources needed to start and run a business. Business transactions are economic exchanges classified as: Operating activities - transactions related to the general operations of the firm. Investing activities - transactions related to buying and selling items the firm will use for a year or more. Financing activities - transactions related to how a business gets funding. Learning objective 4: four basic financial statements.