Q

Q 1-1

Discuss the role of each of the following in the formulation of accounting principles:

· a.American Institute of Certified Public Accountants

· b.Financial Accounting Standards Board

· c.Securities and Exchange Commission

Q 1-2

How does the concept of consistency aid in the analysis of financial statements? What type of accounting disclosure is required if this concept is not applied?

Q 2-9

What are the three principal financial statements of a corporation? Briefly describe the purpose of each statement.

Q 2-10

Why are notes to statements necessary?