Question

Match the following statements to Involves acquiring the resources necessary to run the business. appropriate terms. Distributions of cash from a corporation to its stock holders. select an appropriate term Consumed assets or services. select an appropriate term Ownership is limited to one person. select an appropriate term Officers and others who manage the business. select an appropriate term Creditor claims against the assets of the business. select an appropriate term A separate legal entity under state laws. select an appropriate term A report prepared by management that presents financial information. select an appropriate term A section of the annual report that presents management’s views. select an appropriate term Future economic benefits. select an appropriate term Involves acquiring the resources necessary to run the business

Answer 1

Distributions of cash from a corporation to its stock holders - Dividends

Consumed assets or services - Expenses

Ownership is limited to one person - Sole Proprietorship

Officers and others who manage the business - Internal users

Creditor claims against the assets of the business - Liabilities

A separate legal entity under state laws - Corporation

A report prepared by management that presents financial information - Annual Report

A section of the annual report that presents management’s views - Management discussion and analysis

Future economic benefits - Investing activities