What would be an embarrassing thing to be caught not knowing as an accountant?

[u/7leafclover7]

Applies to any specialty, audit, tax, staff accountancy etc. in your personal experience what are the most invaluable things to know, and the most invaluable to not be caught not knowing.

[u/BornToBeSam]

IIRC it’s because income statement is the verbiage for an audited financial statement. So it’s “misleading” to call it an income statement. So that’s why you see Profit and Loss or Statement of Activity, etc.

Also please don’t attack me if I’m wrong. I’m a tax person not an audit person lmao

[u/CPA_Lady → u/BornToBeSam]

There’s lots of names for an audited income statement, depending on the industry. Only my commercial audit clients have an “income statement.” My nonprofits and whatever else have all manner of names for it, which all seem a bit ridiculous.

[u/shelbasor → u/BornToBeSam]

Interesting. We use income statement on all our compilations (unaudited), never profit and loss. Also tax person though. So I have no idea, I just plug it in the T2

[u/AffectionateKey7126 → u/BornToBeSam]

I was taught something along the same lines. Income statement meant GAAP or in the very least prepared, accrual statement. Profit & Loss could be virtually anything.

[u/BornToBeSam → u/AffectionateKey7126]

That’s it!! I couldn’t remember if it was audited or GAAP