Interactive workbook: Go back over this again - Exercise 1.7 – Accounting definition

Introduction

These true or false questions will test your understanding of the accounting definition and should be completed after reading up to page 12 of Chapter 1.

. Accounting is a descriptive summary in words.

. While accounting summarizes numerical data relating to the past, these summaries are used to make decisions for the future.

. In a retail business, only managers would be interested in accounting summaries of sales information.