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

Types of Accounting

Financial Accounting

1. Introduction to Accounting

Types of Accounting

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Multiple Choice

An individual who is authorized and consents to represent the interests of another person is called a:

Trustee

Agent

Auditor

Principal

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Verified step by step guidance

Understand the key terms in the question: A 'Trustee' is someone who holds and manages assets for the benefit of another. An 'Auditor' is responsible for examining financial records to ensure accuracy. A 'Principal' is the person who authorizes another to act on their behalf. An 'Agent' is the individual who is authorized to act on behalf of the Principal.

Focus on the phrase 'authorized and consents to represent the interests of another person.' This indicates a relationship where one party (the Agent) acts on behalf of another party (the Principal).

Eliminate options that do not fit the description. A 'Trustee' manages assets but does not necessarily represent another person in a broader sense. An 'Auditor' does not represent interests but rather ensures compliance and accuracy. A 'Principal' is the one being represented, not the one representing.

Identify that the correct term for someone who is authorized to represent another person is 'Agent.' This is a fundamental concept in agency relationships in financial accounting and business law.

Conclude that the correct answer is 'Agent,' as it aligns with the definition provided in the question.