Question 1

Match between columns
                        Premises: Managerial accounting
Events
Risk
Planning
Liabilities
Expenses
Revenues
Return on Assets
Net income
Financial accounting

Accepted Answer

The Answer of  Defining the idea, goals and actions is...

Question 2

Match between columns
                        Premises:  Monitor costs and ensure quality
 Judge the soundness of a customer before making sales on credit
 Measuring risk and return of loans
 Assessing employment opportunities
 Assessing the risk and return of acquiring shares

Accepted Answer

The Answer of Production Managers and Suppliers and Employees and is...

Question 3

How does the going-concern principle affect the reported asset values of a business?

Accepted Answer

The going-concern principle means that f...

Question 4

The internal operating functions of businesses include research and development,distribution and human resources.

Accepted Answer

A) True 
 B)False

Question 5

Bookkeeping is the sole purpose of accounting.

Accepted Answer

A) True 
 B)False

Question 6

The purchase of supplies must appear on the statement of cash flows as an investing activity because it involves the purchase of assets.

Accepted Answer

A) True 
 B)False

Question 7

The distribution of assets to stockholders is called a(n) :

Accepted Answer

A)  Liability
B)  Dividend
C)  Expense
D)  Contribution
E)  InvestmentF) None of the above
G) A) and D)

Question 8

Understanding generally accepted accounting principles is not necessary when using and interpreting financial statements.

Accepted Answer

A) True 
 B)False

Question 9

Which of the following accounting principles would prescribe that all goods and services purchased is recorded at cost?

Accepted Answer

A)  Going-concern principle
B)  Continuing-concern principle
C)  Cost principle
D)  Business entity principle
E)  Consideration principleF) A) and B)
G) C) and E)

Question 10

Ethical behavior requires:

Accepted Answer

A)  That an auditors' pay not depend on the figures in the client's reports
B)  Auditors to invest in businesses they audit
C)  Analysts to report information favorable to their companies
D)  Managers to use accounting information to benefit themselves
E)  That an auditor provides a favorable opinionF) All of the above
G) C) and E)

Question 11

The financing functions of a business include:

Accepted Answer

A)  Research and development
B)  Purchasing
C)  Marketing
D)  Distribution
E)  Selling common stockF) B) and D)
G) A) and C)

Question 12

Which of the following is the primary purpose of accounting?

Accepted Answer

A)  To establish a business
B)  To identify,record and communicate business transactions
C)  To deceive stockholders
D)  To keep from paying taxes
E)  To establish credit for a companyF) C) and D)
G) A) and B)

Question 13

A balance sheet lists:

Accepted Answer

A)  The types and amounts of the revenues and expenses of a business
B)  Only the information about what happened to retained earnings during a time period
C)  The types and amounts of assets,liabilities and equity of a business as of a specific date
D)  The cash inflows and outflows during the period
E)  The assets and liabilities of a company,but not the equityF) None of the above
G) C) and D)

Question 14

If Beginning Retained Earnings was $184,300,net income for the period was $200,000 and Ending Retained Earnings was $322,000,what was the total amount of dividend distributed for the period?

Accepted Answer

A)  $62,300
B)  $306,300
C)  $337,700
D)  $706,300
E)  $137,700F) C) and D)
G) B) and D)

Question 15

To include the personal assets and transactions of a business's owner in the records and reports of the business would be in conflict with the:

Accepted Answer

A)  Objectivity principle
B)  Realization principle
C)  Business entity principle
D)  Going-concern principle
E)  Revenue recognition principleF) C) and E)
G) C) and D)

Question 16

Social responsibility:

Accepted Answer

A)  Is a concern for the impact of one's actions on society as a whole
B)  Is a code that helps in dealing with confidential information
C)  Is required by the SEC
D)  Requires that all businesses conduct social audits
E)  Is mandated by the federal governmentF) A) and C)
G) None of the above

Question 17

Expenses decrease retained earnings and are the costs acquired to earn revenues.

Accepted Answer

A) True 
 B)False

Question 18

A financial statement providing information that helps users understand a company's financial status and which lists the types and amounts of assets,liabilities and equity as of a specific date is called a(n) :

Accepted Answer

A)  Balance sheet
B)  Income statement
C)  Statement of cash flows
D)  Statement of retained earnings
E)  Financial status statementF) A) and D)
G) None of the above

Question 19

Identify the risk and the return in each of the following examples.
A.Investing $500 in a CD at 4.5% interest
B.Placing a $100 bet on an NBA game
C.Investing $10,000 in Microsoft stock
D.Borrowing $20,000 in student loans

Accepted Answer

A.The risk involved is that the investor...

Question 20

A company has twice as much owner's equity as it does liabilities.If total liabilities are $50,000,what amounts of assets are owned by the company?

Accepted Answer

A)  $50,000
B)  $100,000
C)  $150,000
D)  $200,000
E)  Cannot be determined from the given informationF) B) and E)
G) A) and B)

Exam 1: Introducing Accounting in Business

Expenses decrease retained earnings and are the costs acquired to earn revenues.

Correct Answer
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The financing functions of a business include:

Correct Answer
verified

Ethical behavior requires:

Correct Answer
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A financial statement providing information that helps users understand a company's financial status and which lists the types and amounts of assets,liabilities and equity as of a specific date is called a(n) :

Correct Answer
verified

Identify the risk and the return in each of the following examples. A.Investing $500 in a CD at 4.5% interest B.Placing a $100 bet on an NBA game C.Investing $10,000 in Microsoft stock D.Borrowing $20,000 in student loans

Correct Answer
verified
A.The risk involved is that the investor...
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The internal operating functions of businesses include research and development,distribution and human resources.

Correct Answer
verified

To include the personal assets and transactions of a business's owner in the records and reports of the business would be in conflict with the:

Correct Answer
verified

The distribution of assets to stockholders is called a(n) :

Correct Answer
verified

Understanding generally accepted accounting principles is not necessary when using and interpreting financial statements.

Correct Answer
verified

A balance sheet lists:

Correct Answer
verified

Match each of the following terms with the most appropriate definition.

Which of the following is the primary purpose of accounting?

Correct Answer
verified

Match each accounting information to the appropriate user

Bookkeeping is the sole purpose of accounting.

Correct Answer
verified

A company has twice as much owner's equity as it does liabilities.If total liabilities are $50,000,what amounts of assets are owned by the company?

Correct Answer
verified

Which of the following accounting principles would prescribe that all goods and services purchased is recorded at cost?

Correct Answer
verified

Social responsibility:

Correct Answer
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If Beginning Retained Earnings was $184,300,net income for the period was $200,000 and Ending Retained Earnings was $322,000,what was the total amount of dividend distributed for the period?

Correct Answer
verified

The purchase of supplies must appear on the statement of cash flows as an investing activity because it involves the purchase of assets.

Correct Answer
verified

How does the going-concern principle affect the reported asset values of a business?

Correct Answer
verified
The going-concern principle means that f...
View Answer

Exam 1: Introducing Accounting in Business

Expenses decrease retained earnings and are the costs acquired to earn revenues.

Correct AnswerverifiedShow Answer

The financing functions of a business include:

Correct AnswerverifiedShow Answer

Ethical behavior requires:

Correct AnswerverifiedShow Answer

A financial statement providing information that helps users understand a company's financial status and which lists the types and amounts of assets,liabilities and equity as of a specific date is called a(n) :

Correct AnswerverifiedShow Answer

Identify the risk and the return in each of the following examples. A.Investing $500 in a CD at 4.5% interest B.Placing a $100 bet on an NBA game C.Investing $10,000 in Microsoft stock D.Borrowing $20,000 in student loans

Correct AnswerverifiedA.The risk involved is that the investor...View AnswerShow Answer

The internal operating functions of businesses include research and development,distribution and human resources.

Correct AnswerverifiedShow Answer

To include the personal assets and transactions of a business's owner in the records and reports of the business would be in conflict with the:

Correct AnswerverifiedShow Answer

The distribution of assets to stockholders is called a(n) :

Correct AnswerverifiedShow Answer

Understanding generally accepted accounting principles is not necessary when using and interpreting financial statements.

Correct AnswerverifiedShow Answer

A balance sheet lists:

Correct AnswerverifiedShow Answer

Match each of the following terms with the most appropriate definition.

Which of the following is the primary purpose of accounting?

Correct AnswerverifiedShow Answer

Match each accounting information to the appropriate user

Bookkeeping is the sole purpose of accounting.

Correct AnswerverifiedShow Answer

A company has twice as much owner's equity as it does liabilities.If total liabilities are $50,000,what amounts of assets are owned by the company?

Correct AnswerverifiedShow Answer

Which of the following accounting principles would prescribe that all goods and services purchased is recorded at cost?

Correct AnswerverifiedShow Answer

Social responsibility:

Correct AnswerverifiedShow Answer

If Beginning Retained Earnings was $184,300,net income for the period was $200,000 and Ending Retained Earnings was $322,000,what was the total amount of dividend distributed for the period?

Correct AnswerverifiedShow Answer

The purchase of supplies must appear on the statement of cash flows as an investing activity because it involves the purchase of assets.

Correct AnswerverifiedShow Answer

How does the going-concern principle affect the reported asset values of a business?

Correct AnswerverifiedThe going-concern principle means that f...View AnswerShow Answer

Correct Answer
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A.The risk involved is that the investor...
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The going-concern principle means that f...
View Answer