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

Buying an existing business _____.

eliminates the need for due diligence

can provide immediate cash flow and an established customer base

always guarantees higher profits than starting a new business

means there is no risk of business failure

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Verified step by step guidance

Understand the concept of buying an existing business: Buying an existing business involves acquiring a company that is already operational, with established processes, customers, and revenue streams.

Evaluate the advantages: Buying an existing business can provide immediate cash flow due to its ongoing operations and an established customer base, which reduces the time needed to build a customer network from scratch.

Consider the risks: While buying an existing business can be advantageous, it does not eliminate the need for due diligence. Thoroughly investigate the financial health, legal standing, and operational efficiency of the business to identify potential risks.

Clarify misconceptions: Buying an existing business does not guarantee higher profits compared to starting a new business. Profitability depends on various factors such as market conditions, management, and competition.

Understand the risk of failure: Purchasing an existing business does not mean there is no risk of business failure. External factors like market changes, economic downturns, or internal issues like poor management can still lead to failure.