Table of contents

1. Introduction to Accounting1h 21m
2. Transaction Analysis1h 13m
3. Accrual Accounting Concepts2h 38m
4. Merchandising Operations2h 30m
5. Inventory1h 55m
6. Internal Controls and Reporting Cash1h 16m
7. Receivables and Investments3h 8m
8. Long Lived Assets5h 1m
9. Current Liabilities2h 19m
10. Time Value of Money1h 23m
- Time Value of Money Equations
  35m
- Using Time Value of Money Tables
  47m
11. Long Term Liabilities2h 45m
12. Stockholders' Equity2h 15m
13. Statement of Cash Flows2h 24m
14. Financial Statement Analysis5h 25m
15. GAAP vs IFRS56m

1. Introduction to Accounting

Business Organization

Financial Accounting

1. Introduction to Accounting

Business Organization

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Multiple Choice

Which of the following is a potential advantage of being a privately-held company?

Shares are traded on a stock exchange

Greater control over decision-making by owners

Mandatory disclosure of financial information to the public

Easier access to public capital markets

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Understand the key differences between privately-held companies and publicly-held companies. Privately-held companies are owned by a small group of individuals or entities, whereas publicly-held companies have shares traded on public stock exchanges.

Analyze the advantages of being a privately-held company. One major advantage is that owners have greater control over decision-making since they are not accountable to a large number of shareholders or subject to the same regulatory requirements as public companies.

Consider the implications of mandatory disclosure of financial information. Public companies are required to disclose detailed financial information to the public, which can limit privacy and strategic flexibility. Privately-held companies are not subject to these requirements, allowing them to maintain confidentiality.

Evaluate the access to capital markets. Public companies can raise funds more easily through stock issuance, but privately-held companies may rely on private funding sources, which can be more restrictive but also allow for greater control.

Conclude that the correct answer is 'Greater control over decision-making by owners,' as this is a key advantage of being a privately-held company compared to the other options listed.