Ford Business Solutions Interview Questions, Process, and Tips

Assets and liabilities are financial resources and obligations of an individual or organization.

• Assets are resources owned by an individual or organization that have economic value, such as cash, property, investments, and inventory.

• Liabilities are obligations or debts that an individual or organization owes to others, such as loans, mortgages, and accounts payable.

• Assets can be categorized into current assets (easily ...read more

Assumption and concepts of accounting

• Accounting assumes that the business entity is separate from its owners

• Accounting assumes that the business will continue to operate indefinitely

• Accounting concepts include the accrual basis, matching principle, and materiality

• The going concern concept assumes that the business will continue to operate in the foreseeable future

• The monetary unit concept assumes that transactions are ...read more

The golden rules of accounting are fundamental principles that guide the recording of financial transactions.

• The first golden rule is the Debit-What-Comes-In and Credit-What-Goes-Out rule, which states that all incoming assets are debited and all outgoing assets are credited.

• The second golden rule is the Debit-All-Expenses-and-Losses and Credit-All-Incomes-and-Gains rule, which states that all expenses and losses are d...read more