Financial Statements
This statement provides a snapshot of a company’s assets, liabilities, and equity at a specific point in time.
Balance Sheet
This type of costing assigns overhead based on specific activities.
What is activity-based costing?
This tax is charged on the consumption of goods and services in Canada.
GST/HST
This term describes an ownership stake in a company.
Equity
The accounting framework used in Canada for publicly accountable enterprises
IFRS (International Financial Reporting Standards)
This statement shows a company’s revenues and expenses over a period of time.
Income Statement
A budget that changes depending on levels of activity is called this.
Flexible Budget
The deadline for individuals in Canada to file personal tax returns is this date.
April 30th
The stock market index that tracks 500 large U.S. companies.
S&P 500
Revenue should be recognized when it is earned and realizable, according to this principle.
Revenue Recognition Principle
The Retained Earnings account is reported on this section of the balance sheet.
The Equity Section
This tool is used to break down the profitability of multiple product lines.
Contribution Margin
Capital gains in Canada are taxed at this percentage of their value.
50%
This type of bond is issued by corporations to fund business operations
Corporate Bonds
This principle requires expenses to be recorded in the same period as the revenues they help generate.
The Matching Principle
Depreciation appears as an expense on this part of the income statement
A break-even point is where this equals total costs.
Total Revenues
This type of tax applies to the estate of a deceased individual.
Estate Tax
The formula for calculating return on investment (ROI).
(Net Profit / Cost of Investment) * 100
This U.S. accounting standard framework is often compared to IFRS.
The cash flow statement is divided into these three main sections
Operating, Investing, and Financing Activities
This ratio measures how much profit a company generates with its available assets.
Return on Assets
A company pays taxes based on this type of income.
Taxable Income
This term describes the risk that cannot be diversified away.
Systematic Risk
This principle requires that all significant financial information is reported in financial statements
Full Disclosure Principle