Exam 1: Accounting in Business

If the liabilities of a business increased $65,000 during a period of time andequity in the business decreased $21,000 during the same period, would the assets of the business have increased or decreased? By what amount?

(Essay)

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Question 61

Liabilities represent non-owner financing

(True/False)

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Question 62

The business entity principle requires that an owner keep accounting records separate from personal records or records of any other businesses owned.

(True/False)

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Question 63

Information that is representationally faithful is

(Multiple Choice)

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Question 64

A financial statement providing information that helps users understand a company's financial status at a specific date, is called a(n):

(Multiple Choice)

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Question 65

The excess of expenses over revenues for a period is

(Multiple Choice)

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Question 66

Which of the following is not reported on the income statement?

(Multiple Choice)

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Question 67

Payment of accounts payable decreases both liabilities and assets

(True/False)

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Question 68

Sole proprietorships and partnerships are not subject to income tax in Canada

(True/False)

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Question 69

Joe Bob has prepared the following analysis of September transactions for his business, Joe Bob's Spareribs. Unfortunately, he has lost some information. Calculate the missing information.

(Multiple Choice)

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Question 70

External users include creditors, shareholders, suppliers, and lawyers

(True/False)

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Question 71

The purpose of an audit is to add credibility to the financial statements

(True/False)

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Question 72

Equity is increased when cash is received from customers in payment of a previously recorded accounts receivable.

(True/False)

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Question 73

The financial statement that shows the beginning balance of equity, the changes in equity that resulted from new investments by the owner, net income (or net loss), withdrawals, and the ending balance of equity is the:

(Multiple Choice)

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Question 74

The Accounting Standards Board (AcSB), is the body that developed accounting standards for private enterprises (ASPE).

(True/False)

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Question 75

A company that is currently in the process of liquidating is considered to be a going concern.

(True/False)

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Question 76

Non-business organizations often operate educational and religious services for profit

(True/False)

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Question 77

The adoption of international accounting standards is an application of which of thefollowing quality enhancing characteristics of financial information:

(Multiple Choice)

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Question 78

Ethical behaviour requires

(Multiple Choice)

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Question 79

A loss arises when revenues are higher than expenses

(True/False)

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Question 80

Showing 61 - 80 of 219

If the liabilities of a business increased $65,000 during a period of time andequity in the business decreased $21,000 during the same period, would the assets of the business have increased or decreased? By what amount?

Liabilities represent non-owner financing

The business entity principle requires that an owner keep accounting records separate from personal records or records of any other businesses owned.

Information that is representationally faithful is

A financial statement providing information that helps users understand a company's financial status at a specific date, is called a(n):

The excess of expenses over revenues for a period is

Which of the following is not reported on the income statement?

Payment of accounts payable decreases both liabilities and assets

Sole proprietorships and partnerships are not subject to income tax in Canada

Joe Bob has prepared the following analysis of September transactions for his business, Joe Bob's Spareribs. Unfortunately, he has lost some information. Calculate the missing information.

External users include creditors, shareholders, suppliers, and lawyers

The purpose of an audit is to add credibility to the financial statements

Equity is increased when cash is received from customers in payment of a previously recorded accounts receivable.

The financial statement that shows the beginning balance of equity, the changes in equity that resulted from new investments by the owner, net income (or net loss), withdrawals, and the ending balance of equity is the:

The Accounting Standards Board (AcSB), is the body that developed accounting standards for private enterprises (ASPE).

A company that is currently in the process of liquidating is considered to be a going concern.

Non-business organizations often operate educational and religious services for profit

The adoption of international accounting standards is an application of which of thefollowing quality enhancing characteristics of financial information:

Ethical behaviour requires

A loss arises when revenues are higher than expenses

Analyzing and Recording Transactions

Adjusting Accounts for Financial Statements

Completing the Accounting Cycle and Classifying Accounts

Accounting for Merchandising Activities

Inventory Costing and Valuation

Internal Control and Cash

Receivables

Appendix

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