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What are the different bases of accounting?
There are 3 basis: Cash basis, Accrual basis and Tax basis Free information online at www.etcwa.com
What are the 3 broad areas of accounting?
It is normally divided into three broad areas: auditing, financial/tax and management accounting.
Different fields of accounting?
auditing acctg. budgetary acctg. management acctg.acctg.book payroll financial acctg. cost tax acctg gov.acctg
Is profit from the sale of a tax-free car - gifted originally for one dollar - taxable as income?
Well, your right in understanding that anything sold at a profit from your tax basis would create gain income, including a car or such. And I'm sure all of us are alert to, and report that faithfully. It's complicated by the fact most people may not track their basis (especially tax basis) on items of personal property. But, as your question acknowledges the acquisition was done as a qualified gift, (presumably by parents or such), virtually all of those transfers include the recipient getting a "stepped up basis", that is the basis at market value at time of transfer to you. That is presumably higher (as the car is worth lesds now) than the amount your selling it for. Hence, no income. (In fact a loss on sale of a personal asset, which cannot be used).
Why are financial accounting standards important?
These standards are important because external financial reporting can demonstrate financial accountability to the public. They are the basis for many legislative and regulatory decisions, as well as investment and credit policies.
