Flashcards · Finance & Accounting
CPA Flashcards
Free flashcards for US CPA Exam: flip each card to reveal the definition. Built from the US CPA Exam glossary as a study aid, these are concept checks, not real exam questions.
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All 20 terms
- GAAP
- Generally Accepted Accounting Principles (US).
- Accrual accounting
- Recording revenue/expense when earned/incurred, not when cash moves.
- Deferral
- Postponing recognition of revenue or expense.
- Balance sheet
- A statement of assets, liabilities and equity at a point in time.
- Income statement
- A statement of revenue and expenses over a period.
- Cash flow statement
- Cash movements from operating, investing and financing.
- Attestation
- An engagement providing assurance on subject matter.
- Audit
- An independent examination of financial statements.
- Independence
- The auditor's freedom from conflicts that impair objectivity.
- Materiality
- The threshold at which an item could influence decisions.
- Internal control
- Processes that safeguard assets and ensure reliable reporting.
- Deferred tax
- Tax effects of timing differences between books and tax.
- Depreciation
- Allocating an asset's cost over its useful life.
- Task-based simulation
- A realistic exam task beyond multiple choice.
- Core section
- A required CPA section (AUD, FAR, REG).
- Discipline
- The chosen CPA specialism (BAR, ISC, TCP).
- State board
- The body that licenses CPAs in a US state.
- 150-hour rule
- The common education requirement for licensure.
- Ethics
- Professional conduct rules for accountants.
- Assurance
- Confidence provided about information's reliability.