Question 1

Which the following organizations is primarily responsible for establishing GAAP today?

Accepted Answer

A) Financial Accounting Standards Board FAS
B)  
B) Securities and Exchange Commission SE
C)  
C) Internal Revenue Service IRS) 
D) Federal Government 
A) Financial Accounting Standards Board FAS
B)  
B) Securities and Exchange Commission SE
C)  
C) Internal Revenue Service IRS) 
D) Federal Government

Question 2

Sawaddee Enterprises began the year with total assets of $450,000 and total liabilities of $230,000.If Sawaddee's total assets doubled to $900,000 and its owners' equity remained the same during the year, what was the amount of its total liabilities at the end of the year?

Accepted Answer

A) $670,000 
B) $680,000 
C) $440,000 
D) $900,000 
A) $670,000 
B) $680,000 
C) $440,000 
D) $900,000

Question 3

Macon Enterprises purchased land for $2,000,000 in 2001.In 2015, an independent appraiser assessed the value at
$3,400,000.What amount should appear on the financial statements in 2015 with respect to the land?

Accepted Answer

A) $2,000,000 
B) $1,400,000 
C) $3,400,000 
D) Whatever amount the company believes is the best indicator of the true value of the land 
A) $2,000,000 
B) $1,400,000 
C) $3,400,000 
D) Whatever amount the company believes is the best indicator of the true value of the land

Question 4

A grocery store is an example of a wholesaler.

Accepted Answer

A) True 
 B)False

Question 5

Which of the following would be classified as external users of financial statements?

Accepted Answer

A) Stockholders and management of the company 
B) The controller of the company and a company's stockholders 
C) The company's marketing managers 
D) The creditors and stockholders of the company 
A) Stockholders and management of the company 
B) The controller of the company and a company's stockholders 
C) The company's marketing managers 
D) The creditors and stockholders of the company

Question 6

Marcos Inc.had net income for 2014 of $40,000.It declared and paid a $3,500 cash dividend in 2014.If the company's retained earnings for the end of the year was $38,200, what was the company's retained earnings balance at the beginning of 2014?

Accepted Answer

A) $81,700 
B) $74,700 
C) $5,300 
D) $1,700 
A) $81,700 
B) $74,700 
C) $5,300 
D) $1,700

Question 7

United Airlines is an example of a

Accepted Answer

A) producer 
B) supplier 
C) retailer 
D) service provider 
A) producer 
B) supplier 
C) retailer 
D) service provider

Question 8

Which of the following is an organization that lends funds to a business entity and expects repayment of the funds?

Accepted Answer

A) A partner 
B) A stockholder 
C) An owner 
D) A creditor 
A) A partner 
B) A stockholder 
C) An owner 
D) A creditor

Question 9

When an entity's revenues exceed its expenses for a period of time, the entity will report a net loss.

Accepted Answer

A) True 
 B)False

Question 10

Which one of the following is not an external user of financial statements?

Accepted Answer

A) Suppliers 
B) Creditors 
C) Investors 
D) The company's controller 
A) Suppliers 
B) Creditors 
C) Investors 
D) The company's controller

Question 11

Which of the following is a five-member body that has the authority from Congress to set standards for conducting audits?

Accepted Answer

A) FASB 
B) SEC 
C) PCAOB 
D) AICPA 
A) FASB 
B) SEC 
C) PCAOB 
D) AICPA

Question 12

Owners' equity is the residual interest that remains after deducting liabilities from stockholders' equity.

Accepted Answer

A) True 
 B)False

Question 13

Gyro's Shop reported a net loss of $15,000 and total expenses of $80,000.How much are total revenues?

Accepted Answer

A) $ 15,000 
B) $ 65,000 
C) $ 95,000 
D) The answer cannot be determined from the information given. 
A) $ 15,000 
B) $ 65,000 
C) $ 95,000 
D) The answer cannot be determined from the information given.

Question 14

Lakeland Corporation's end­of­year balance sheet consisted of the following amounts:   What is Lakeland's retained earnings balance at the end of the current year?

Accepted Answer

A) $13,000 
B) $34,000 
C) $76,000 
D) $173,000 
A) $13,000 
B) $34,000 
C) $76,000 
D) $173,000

Question 15

According to the accounting profession, the purpose of financial reporting is to provide information about a company that investors, lenders, and other creditors can use when deciding whether to provide resources to the entity.

Accepted Answer

A) True 
 B)False

Question 16

Read the information for Taryn Corporation.Determine the following amounts for Taryn Corp.

Accepted Answer

A) $110,000
$30,000 Cash + $14,000 Accou

Question 17

The private sector group with authority to set accounting standards is the
__________________________________________________.

Accepted Answer

Financial

Question 18

Lawton Corporation's end­of­year balance sheet consisted of the following amounts:   What amount should Lawton report on its balance sheet for total assets?

Accepted Answer

A) $100,000 
B) $161,000 
C) $194,000 
D) $195,000 
A) $100,000 
B) $161,000 
C) $194,000 
D) $195,000

Question 19

Good quality information should be both and present a .

Accepted Answer

relevant
f

Question 20

Meredith Corporation is in the business of providing dog and cat grooming services to customers within the city of New York.The following information concerning financial activities during 2014 is available at December 31, 2014:   
A.Calculate net income for 2014
B.Prepare a statement of retained earnings for the year ended December 31, 2014.
C.What information can you derive from the statement of retained earning concerning this company? Explain.

Accepted Answer

The answer of Meredith Corporation is in the business of...

Which the following organizations is primarily responsible for establishing GAAP today?

Sawaddee Enterprises began the year with total assets of $450,000 and total liabilities of $230,000.If Sawaddee's total assets doubled to $900,000 and its owners' equity remained the same during the year, what was the amount of its total liabilities at the end of the year?

Macon Enterprises purchased land for $2,000,000 in 2001.In 2015, an independent appraiser assessed the value at $3,400,000.What amount should appear on the financial statements in 2015 with respect to the land?

A grocery store is an example of a wholesaler.

Which of the following would be classified as external users of financial statements?

Marcos Inc.had net income for 2014 of $40,000.It declared and paid a $3,500 cash dividend in 2014.If the company's retained earnings for the end of the year was $38,200, what was the company's retained earnings balance at the beginning of 2014?

United Airlines is an example of a

Which of the following is an organization that lends funds to a business entity and expects repayment of the funds?

When an entity's revenues exceed its expenses for a period of time, the entity will report a net loss.

Which one of the following is not an external user of financial statements?

Which of the following is a five-member body that has the authority from Congress to set standards for conducting audits?

Owners' equity is the residual interest that remains after deducting liabilities from stockholders' equity.

Gyro's Shop reported a net loss of $15,000 and total expenses of $80,000.How much are total revenues?

Lakeland Corporation's endofyear balance sheet consisted of the following amounts: What is Lakeland's retained earnings balance at the end of the current year?

According to the accounting profession, the purpose of financial reporting is to provide information about a company that investors, lenders, and other creditors can use when deciding whether to provide resources to the entity.

Read the information for Taryn Corporation.Determine the following amounts for Taryn Corp.

The private sector group with authority to set accounting standards is the __________________________________________________.

Lawton Corporation's endofyear balance sheet consisted of the following amounts: What amount should Lawton report on its balance sheet for total assets?

Good quality information should be both and present a .

Financial Statements and the Annual Report

Processing Accounting Information

Income Measurement and Accrual Accounting

Inventories and Cost of Goods Sold

Cash and Internal Control

Receivables and Investments

Operating Assets: Property, Plant, and Equipment, and Intangibles

Current Liabilities, Contingencies, and the Time Value of Money

Long-Term Liabilities

Stockholders Equity

The Statement of Cash Flows

Financial Statement Analysis

International Financial Reporting Standards

Filters

Exam 1: Accounting As a Form of Communication

Which the following organizations is primarily responsible for establishing GAAP today?

Sawaddee Enterprises began the year with total assets of $450,000 and total liabilities of $230,000.If Sawaddee's total assets doubled to $900,000 and its owners' equity remained the same during the year, what was the amount of its total liabilities at the end of the year?

Macon Enterprises purchased land for $2,000,000 in 2001.In 2015, an independent appraiser assessed the value at $3,400,000.What amount should appear on the financial statements in 2015 with respect to the land?

A grocery store is an example of a wholesaler.

Which of the following would be classified as external users of financial statements?

Marcos Inc.had net income for 2014 of $40,000.It declared and paid a $3,500 cash dividend in 2014.If the company's retained earnings for the end of the year was $38,200, what was the company's retained earnings balance at the beginning of 2014?

United Airlines is an example of a

Which of the following is an organization that lends funds to a business entity and expects repayment of the funds?

When an entity's revenues exceed its expenses for a period of time, the entity will report a net loss.

Which one of the following is not an external user of financial statements?

Which of the following is a five-member body that has the authority from Congress to set standards for conducting audits?

Owners' equity is the residual interest that remains after deducting liabilities from stockholders' equity.

Gyro's Shop reported a net loss of $15,000 and total expenses of $80,000.How much are total revenues?

Lakeland Corporation's end­of­year balance sheet consisted of the following amounts: What is Lakeland's retained earnings balance at the end of the current year?

According to the accounting profession, the purpose of financial reporting is to provide information about a company that investors, lenders, and other creditors can use when deciding whether to provide resources to the entity.

Read the information for Taryn Corporation.Determine the following amounts for Taryn Corp.

The private sector group with authority to set accounting standards is the __________________________________________________.

Lawton Corporation's end­of­year balance sheet consisted of the following amounts: What amount should Lawton report on its balance sheet for total assets?

Good quality information should be both and present a .

Financial Statements and the Annual Report

Processing Accounting Information

Income Measurement and Accrual Accounting

Inventories and Cost of Goods Sold

Cash and Internal Control

Receivables and Investments

Operating Assets: Property, Plant, and Equipment, and Intangibles

Current Liabilities, Contingencies, and the Time Value of Money

Long-Term Liabilities

Stockholders Equity

The Statement of Cash Flows

Financial Statement Analysis

International Financial Reporting Standards

Filters

Lakeland Corporation's endofyear balance sheet consisted of the following amounts: What is Lakeland's retained earnings balance at the end of the current year?

Lawton Corporation's endofyear balance sheet consisted of the following amounts: What amount should Lawton report on its balance sheet for total assets?