Chapter 3, Problem 1QS

Question:

QUICK STUDY

Periodic reporting

C1

Choose from the following list of terms and phrases to best complete the statements below.

a. Fiscal year

b. Timeliness

c. Accrual basis accounting

d. Annual financial statements

e. Cash basis accounting

f. Time period assumption

1. ___ presumes that an organization's activities can be divided into specific time periods.

2. Financial reports covering a one-year period are known as ___·

3. A(n) ___ consists of any 12 consecutive months.

4. ___ records revenues when services are provided and records expenses when incurred.

5. The value of information is often linked to its ___·