Curriculum
Course: ACCT 301 Intro to Accounting
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ACCT 301 Intro to Accounting

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Chapter 1: Forms of business that use accounting

Forms of business that use accounting

Corporate Form of Business: The board of directors sets policy for the corporation and appoints the officers.

Sole Proprietorship: The owner is personally liable for the liabilities of the business.

LLC (Limited-Liability Company): Each member is liable only for his or her actions.

What Is an Account?

Assets = Liabilities + Equity

• Each element of the Accounting Equation contains smaller elements called accounts.

Account—the detailed record of all increases and decreases that have occurred in an individual asset, liability, equity, revenue or expense during a specified period.