Question 1

The statement of explains changes in the components of owners' equity during the
period.

Accepted Answer

stockholde

Question 2

Cory Harper, a newly hired accountant, wanted to impress his boss, so he stayed late one night to analyze the office supplies expense account. He determined the cost by month, for the past 12 months, of each of the following: computer paper, copy paper, fax paper, pencils and pens, note pads, postage, corrections supplies, stationery, and miscellaneous items. Why do companies not include information of this nature in published financial statements?

Accepted Answer

Companies provide information to users t

Question 3

How are assets which are expected to be realized in cash, sold, or consumed within the normal operating cycle of a business or within one year if the operating cycle is shorter than one year reported on a classified balance sheet?

Accepted Answer

A)  Property, plant, and equipment 
B)  Current assets 
C)  Intangible assets 
D)  Current liabilities 
A)  Property, plant, and equipment 
B)  Current assets 
C)  Intangible assets 
D)  Current liabilities

Question 4

Read the information about Fasoli, Inc.
Required:
Present the Current Assets section including the total of a classified balance sheet.

Accepted Answer

Current Assets:
Cash $ 60,990

Question 5

Three organizations important to accounting are listed below. Select the organization that most closely achieves the role described.
-Issues financial accounting concepts that are used as a guide to accounting standard setting.

Accepted Answer

A) American Institute of Certified Public Accountants AICPA 
B) Financial Accounting Standards Board FASB 
C) Securities and Exchange Commission SEC 
A) American Institute of Certified Public Accountants AICPA 
B) Financial Accounting Standards Board FASB 
C) Securities and Exchange Commission SEC

Question 6

Rogers Corporation starts the year with a Retained Earnings balance of $55,000. Net income for the year is
$27,000. The ending balance in Retained Earnings is $70,000. What was the amount of dividends declared and paid for the year?

Accepted Answer

If Rogers has $55,000 in Retained Earnin

Question 7

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 8

Which of the following terms best describes a distribution of the net income of a business to its owners?

Accepted Answer

A)  Revenue 
B)  Dividends 
C)  Earnings 
D)  Monetary unit 
A)  Revenue 
B)  Dividends 
C)  Earnings 
D)  Monetary unit

Question 9

The following information is provided by the Ferrara Corporation:   Calculate Ferrara Corporation's expenses.

Accepted Answer

A) $20,000 
B)  $30,000 
C)  $40,000 
D)  Cannot tell from the information provided. 
A) $20,000 
B)  $30,000 
C)  $40,000 
D)  Cannot tell from the information provided.

Question 10

Bondholders are internal users of company's accounting information.

Accepted Answer

A) True 
 B)False

Question 11

To which of the following entities must a company report if it sells its stock on the organized stock market?

Accepted Answer

A)  American Institute of Certified Public Accountants AICPA 
B)  American Accounting Association AAA 
C)  International Accounting Standards Board IASB 
D)  Securities and Exchange Commission SEC 
A)  American Institute of Certified Public Accountants AICPA 
B)  American Accounting Association AAA 
C)  International Accounting Standards Board IASB 
D)  Securities and Exchange Commission SEC

Question 12

____________________ is the practice of using the least optimistic estimate when two estimates of amounts are about equally likely.

Accepted Answer

The answer of ____________________ is the practice of using the...

Question 13

The Securities and Exchange Commission SEC is concerned with

Accepted Answer

A)  All companies in the United States regardless of size. 
B)  Companies that issue securities to the general public. 
C)  Accounting reports issued by government entities. 
D)  All domestic and international companies that issue accounting reports. 
A)  All companies in the United States regardless of size. 
B)  Companies that issue securities to the general public. 
C)  Accounting reports issued by government entities. 
D)  All domestic and international companies that issue accounting reports.

Question 14

Which of the following represents one of the purposes of the notes to financial statements?

Accepted Answer

A)  To provide a place for management to justify questionable items in the statements. 
B)  To provide comparative ratios for the company's financial data. 
C)  To provide the CPA's opinion of the fairness of the financial statements. 
D)  To satisfy the need for full disclosure of all the facts relevant to a company's results and financial position. 
A)  To provide a place for management to justify questionable items in the statements. 
B)  To provide comparative ratios for the company's financial data. 
C)  To provide the CPA's opinion of the fairness of the financial statements. 
D)  To satisfy the need for full disclosure of all the facts relevant to a company's results and financial position.

Question 15

Three organizations important to accounting are listed below. Select the organization that most closely achieves the role described.
-Is a professional organization of certified public accountants.

Accepted Answer

A) American Institute of Certified Public Accountants AICPA 
B) Financial Accounting Standards Board FASB 
C) Securities and Exchange Commission SEC 
A) American Institute of Certified Public Accountants AICPA 
B) Financial Accounting Standards Board FASB 
C) Securities and Exchange Commission SEC

Question 16

Financial statements are intended to tell the reader the value of a company.

Accepted Answer

A) True 
 B)False

Question 17

A company is not required to prepare both an:

Accepted Answer

A)  income statement and statement of stockholders' equity. 
B)  income statement and statement of retained earnings. 
C)  statement of stockholders' equity and statement of retained earnings. 
D)  statement of cash flows and statement of retained earnings. 
A)  income statement and statement of stockholders' equity. 
B)  income statement and statement of retained earnings. 
C)  statement of stockholders' equity and statement of retained earnings. 
D)  statement of cash flows and statement of retained earnings.

Question 18

Three organizations important to accounting are listed below. Select the organization that most closely achieves the role described.
-Primarily responsible for setting accounting standards today.

Accepted Answer

A) American Institute of Certified Public Accountants AICPA 
B) Financial Accounting Standards Board FASB 
C) Securities and Exchange Commission SEC 
A) American Institute of Certified Public Accountants AICPA 
B) Financial Accounting Standards Board FASB 
C) Securities and Exchange Commission SEC

Question 19

What is the purpose of a statement of cash flows? Give an example of one of each of the three activities.

Accepted Answer

A statement of cash flows summarizes the

Question 20

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

The statement of explains changes in the components of owners' equity during the period.

How are assets which are expected to be realized in cash, sold, or consumed within the normal operating cycle of a business or within one year if the operating cycle is shorter than one year reported on a classified balance sheet?

Read the information about Fasoli, Inc. Required: Present the Current Assets section including the total of a classified balance sheet.

Three organizations important to accounting are listed below. Select the organization that most closely achieves the role described. -Issues financial accounting concepts that are used as a guide to accounting standard setting.

Rogers Corporation starts the year with a Retained Earnings balance of $55,000. Net income for the year is $27,000. The ending balance in Retained Earnings is $70,000. What was the amount of dividends declared and paid for the year?

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

Which of the following terms best describes a distribution of the net income of a business to its owners?

The following information is provided by the Ferrara Corporation: Calculate Ferrara Corporation's expenses.

Bondholders are internal users of company's accounting information.

To which of the following entities must a company report if it sells its stock on the organized stock market?

____________________ is the practice of using the least optimistic estimate when two estimates of amounts are about equally likely.

The Securities and Exchange Commission SEC is concerned with

Which of the following represents one of the purposes of the notes to financial statements?

Three organizations important to accounting are listed below. Select the organization that most closely achieves the role described. -Is a professional organization of certified public accountants.

Financial statements are intended to tell the reader the value of a company.

A company is not required to prepare both an:

Three organizations important to accounting are listed below. Select the organization that most closely achieves the role described. -Primarily responsible for setting accounting standards today.

What is the purpose of a statement of cash flows? Give an example of one of each of the three activities.

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

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

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Exam 1: Accounting As a Form of Communication

The statement of explains changes in the components of owners' equity during the period.

How are assets which are expected to be realized in cash, sold, or consumed within the normal operating cycle of a business or within one year if the operating cycle is shorter than one year reported on a classified balance sheet?

Read the information about Fasoli, Inc. Required: Present the Current Assets section including the total of a classified balance sheet.

Three organizations important to accounting are listed below. Select the organization that most closely achieves the role described. -Issues financial accounting concepts that are used as a guide to accounting standard setting.

Rogers Corporation starts the year with a Retained Earnings balance of $55,000. Net income for the year is $27,000. The ending balance in Retained Earnings is $70,000. What was the amount of dividends declared and paid for the year?

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

Which of the following terms best describes a distribution of the net income of a business to its owners?

The following information is provided by the Ferrara Corporation: Calculate Ferrara Corporation's expenses.

Bondholders are internal users of company's accounting information.

To which of the following entities must a company report if it sells its stock on the organized stock market?

____________________ is the practice of using the least optimistic estimate when two estimates of amounts are about equally likely.

The Securities and Exchange Commission SEC is concerned with

Which of the following represents one of the purposes of the notes to financial statements?

Three organizations important to accounting are listed below. Select the organization that most closely achieves the role described. -Is a professional organization of certified public accountants.

Financial statements are intended to tell the reader the value of a company.

A company is not required to prepare both an:

Three organizations important to accounting are listed below. Select the organization that most closely achieves the role described. -Primarily responsible for setting accounting standards today.

What is the purpose of a statement of cash flows? Give an example of one of each of the three activities.

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

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