Question 1

Which of the following characteristics of financial data is most important?

Accepted Answer

A)  Timeliness 
B)  Understandability 
C)  Comparability 
D)  Accuracy 
A)  Timeliness 
B)  Understandability 
C)  Comparability 
D)  Accuracy

Question 2

Which of the following is best defined as a listing of all the accounts and balances in the general ledger at the end of the reporting period?

Accepted Answer

A)  Balance sheet 
B)  Trial balance 
C)  Chart of accounts 
D)  Income statement 
A)  Balance sheet 
B)  Trial balance 
C)  Chart of accounts 
D)  Income statement

Question 3

Financial reporting is the output of accounting professionals' work in

Accepted Answer

A)  corporate accounting. 
B)  internal audit. 
C)  tax. 
D)  All of these answer choices are correct. 
A)  corporate accounting. 
B)  internal audit. 
C)  tax. 
D)  All of these answer choices are correct.

Question 4

Which of the following is a correct definition of a tag?

Accepted Answer

A)  A tag, enclosed in angle brackets, is a standardized piece of taxonomy assigned to a piece of data, or element. 
B)  A tag, enclosed in square brackets, is a standardized piece of taxonomy assigned to a piece of data, or element. 
C)  A tag, like a barcode reader's programming, provides the structure of instance documents. 
D)  A tag, like a barcode reader's programming, provides the data plus structure for human readability and SEC compliance. 
A)  A tag, enclosed in angle brackets, is a standardized piece of taxonomy assigned to a piece of data, or element. 
B)  A tag, enclosed in square brackets, is a standardized piece of taxonomy assigned to a piece of data, or element. 
C)  A tag, like a barcode reader's programming, provides the structure of instance documents. 
D)  A tag, like a barcode reader's programming, provides the data plus structure for human readability and SEC compliance.

Question 5

Which type of financial statement analysis is most appropriate to review for an indication of financial statement fraud?

Accepted Answer

A)  Income statement vertical analysis 
B)  Income statement horizontal analysis 
C)  Balance sheet ratios 
D)  All of these answer choices are correct. 
A)  Income statement vertical analysis 
B)  Income statement horizontal analysis 
C)  Balance sheet ratios 
D)  All of these answer choices are correct.

Question 6

For what reasons might a company decide to implement XBRL?

Accepted Answer

A)  The company plans to go public next year. 
B)  The company would like to compare data from other public companies. 
C)  The company seeks greater financial consolidation efficiency. 
D)  All of these answer choices are correct. 
A)  The company plans to go public next year. 
B)  The company would like to compare data from other public companies. 
C)  The company seeks greater financial consolidation efficiency. 
D)  All of these answer choices are correct.

Question 7

How will an element be displayed if the XBRL tag includes decimals="-3"?

Accepted Answer

A)  The amount will be displayed without the 3 characters at the end of the number, the period and 2 decimal places. 
B)  The amount will be displayed rounded to the nearest thousand. 
C)  The amount will be displayed rounded to the nearest million. 
D)  The amount will be displayed without the commas separating the groups of 3 numbers. 
A)  The amount will be displayed without the 3 characters at the end of the number, the period and 2 decimal places. 
B)  The amount will be displayed rounded to the nearest thousand. 
C)  The amount will be displayed rounded to the nearest million. 
D)  The amount will be displayed without the commas separating the groups of 3 numbers.

Question 8

Job satisfaction and employee turnover are examples of what type of metric on a balanced scorecard dashboard?

Accepted Answer

A)  Internal processes 
B)  Customer relationships 
C)  Financial 
D)  Learning and growth 
A)  Internal processes 
B)  Customer relationships 
C)  Financial 
D)  Learning and growth

Question 9

Which type of journal would be most appropriate for recording an adjusting journal entry for depreciation?

Accepted Answer

A)  Sales journal 
B)  Cash receipts journal 
C)  Special journal 
D)  General journal 
A)  Sales journal 
B)  Cash receipts journal 
C)  Special journal 
D)  General journal

Question 10

Gregor is reviewing the financial statements of his newly formed company. Gregor is most concerned about the inflow and outflow of funds within the new organization. Which financial statement will be most useful for Gregor?

Accepted Answer

A)  Income statement 
B)  Balance sheet 
C)  Statement of cash flows 
D)  Statement of stockholder's equity 
A)  Income statement 
B)  Balance sheet 
C)  Statement of cash flows 
D)  Statement of stockholder's equity

Question 11

What role in a company is responsible for ensuring legal compliance for reporting purposes?

Accepted Answer

A)  Controller 
B)  Treasurer 
C)  CEO 
D)  AIS 
A)  Controller 
B)  Treasurer 
C)  CEO 
D)  AIS

Question 12

Why might an organization that is NOT a public company choose to integrate XBRL into their accounting information?

Accepted Answer

A)  XBRL allows for easier consolidation of data from disparate systems with the organization. 
B)  XBRL simplifies the financial reporting process in such a way that the statements need not be reviewed by the CFO. 
C)  The SEC requires that all organizations utilize XBRL whether they are public or private. 
D)  The SEC requires that all organizations utilize XBRL to report comparative data. 
A)  XBRL allows for easier consolidation of data from disparate systems with the organization. 
B)  XBRL simplifies the financial reporting process in such a way that the statements need not be reviewed by the CFO. 
C)  The SEC requires that all organizations utilize XBRL whether they are public or private. 
D)  The SEC requires that all organizations utilize XBRL to report comparative data.

Question 13

Jessica works as an accountant for a local manufacturing company. At the company, Jessica is responsible for validating all journal entries. What report should Jessica use to accomplish the journal entry validation?

Accepted Answer

A)  Income statement 
B)  Balance sheet 
C)  Trial balance 
D)  Ledger statement 
A)  Income statement 
B)  Balance sheet 
C)  Trial balance 
D)  Ledger statement

Question 14

Demi, a local banker, requests quarterly financial statements from her business line of credit clients. One of her clients, Josef, asked Demi to explain why he should have to create so many reports so often for her. How should Demi answer Josef?

Accepted Answer

Demi should share with Josef that financ

Question 15

Jerome audits the financial statements for a firm and discovers an error in the statement of cash flows. Which characteristic of data is NOT present for decision usefulness in the financial statements that Jerome audited?

Accepted Answer

A)  Relevance 
B)  Materiality 
C)  Timeliness 
D)  Faithful representation 
A)  Relevance 
B)  Materiality 
C)  Timeliness 
D)  Faithful representation

Question 16

What type of accounting tool combines financial and nonfinancial measures for managerial reporting?

Accepted Answer

A)  Responsibility report 
B)  Corporate scorecard 
C)  Balanced scorecard 
D)  Cost report 
A)  Responsibility report 
B)  Corporate scorecard 
C)  Balanced scorecard 
D)  Cost report

Question 17

Which of the following roles in a company is responsible for financial reporting?

Accepted Answer

A)  CEO 
B)  CFO 
C)  Controller 
D)  All of these answer choices are correct. 
A)  CEO 
B)  CFO 
C)  Controller 
D)  All of these answer choices are correct.

Question 18

What is the term associated with XBRL standardized structure to produce financial statements?

Accepted Answer

A)  Tag 
B)  Format 
C)  Layout document 
D)  Instance document 
A)  Tag 
B)  Format 
C)  Layout document 
D)  Instance document

Question 19

Which of the following would be considered an accounting transaction for ColdBrews, a local coffee and beer shop?

Accepted Answer

A)  ColdBrews' beer supplier drops off fresh kegs on Thursday morning. 
B)  ColdBrews' coffee supplier emails an invoice for an order that arrived yesterday. 
C)  A ColdBrews manager uses the company credit card to purchase printer ink. 
D)  All of these answer choices are correct. 
A)  ColdBrews' beer supplier drops off fresh kegs on Thursday morning. 
B)  ColdBrews' coffee supplier emails an invoice for an order that arrived yesterday. 
C)  A ColdBrews manager uses the company credit card to purchase printer ink. 
D)  All of these answer choices are correct.

Question 20

Which characteristic of useful information is most clearly expressed by a firm who prioritizes providing financial statements to employees before selecting benefit options, which include stock options, index funds, or money market funds?

Accepted Answer

A)  Predictive value 
B)  Confirmatory value 
C)  Timeliness 
D)  Understandability 
A)  Predictive value 
B)  Confirmatory value 
C)  Timeliness 
D)  Understandability

Which of the following characteristics of financial data is most important?

Which of the following is best defined as a listing of all the accounts and balances in the general ledger at the end of the reporting period?

Financial reporting is the output of accounting professionals' work in

Which of the following is a correct definition of a tag?

Which type of financial statement analysis is most appropriate to review for an indication of financial statement fraud?

For what reasons might a company decide to implement XBRL?

How will an element be displayed if the XBRL tag includes decimals="-3"?

Job satisfaction and employee turnover are examples of what type of metric on a balanced scorecard dashboard?

Which type of journal would be most appropriate for recording an adjusting journal entry for depreciation?

Gregor is reviewing the financial statements of his newly formed company. Gregor is most concerned about the inflow and outflow of funds within the new organization. Which financial statement will be most useful for Gregor?

What role in a company is responsible for ensuring legal compliance for reporting purposes?

Why might an organization that is NOT a public company choose to integrate XBRL into their accounting information?

Jessica works as an accountant for a local manufacturing company. At the company, Jessica is responsible for validating all journal entries. What report should Jessica use to accomplish the journal entry validation?

Demi, a local banker, requests quarterly financial statements from her business line of credit clients. One of her clients, Josef, asked Demi to explain why he should have to create so many reports so often for her. How should Demi answer Josef?

Jerome audits the financial statements for a firm and discovers an error in the statement of cash flows. Which characteristic of data is NOT present for decision usefulness in the financial statements that Jerome audited?

What type of accounting tool combines financial and nonfinancial measures for managerial reporting?

Which of the following roles in a company is responsible for financial reporting?

What is the term associated with XBRL standardized structure to produce financial statements?

Which of the following would be considered an accounting transaction for ColdBrews, a local coffee and beer shop?

Which characteristic of useful information is most clearly expressed by a firm who prioritizes providing financial statements to employees before selecting benefit options, which include stock options, index funds, or money market funds?

Accounting As Information

Risks and Risk Assessments

Risk Management and Internal Controls

Software and Systems

Data Storage and Analysis

Systems and Database Design

Emerging and Disruptive Technologies

Documenting Systems and Processes

Human Resources and Payroll Processes

Purchasing and Payments Process

Conversion Processes

Marketing, Sales, and Collection Processes

Information Systems and Controls

Fraud

Cybersecurity

Data Analytics

Data Visualization

Audit Assurance

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Exam 13: Financial Reporting Processes

Which of the following characteristics of financial data is most important?

Which of the following is best defined as a listing of all the accounts and balances in the general ledger at the end of the reporting period?

Financial reporting is the output of accounting professionals' work in

Which of the following is a correct definition of a tag?

Which type of financial statement analysis is most appropriate to review for an indication of financial statement fraud?

For what reasons might a company decide to implement XBRL?

How will an element be displayed if the XBRL tag includes decimals="-3"?

Job satisfaction and employee turnover are examples of what type of metric on a balanced scorecard dashboard?

Which type of journal would be most appropriate for recording an adjusting journal entry for depreciation?

Gregor is reviewing the financial statements of his newly formed company. Gregor is most concerned about the inflow and outflow of funds within the new organization. Which financial statement will be most useful for Gregor?

What role in a company is responsible for ensuring legal compliance for reporting purposes?

Why might an organization that is NOT a public company choose to integrate XBRL into their accounting information?

Jessica works as an accountant for a local manufacturing company. At the company, Jessica is responsible for validating all journal entries. What report should Jessica use to accomplish the journal entry validation?

Demi, a local banker, requests quarterly financial statements from her business line of credit clients. One of her clients, Josef, asked Demi to explain why he should have to create so many reports so often for her. How should Demi answer Josef?

Jerome audits the financial statements for a firm and discovers an error in the statement of cash flows. Which characteristic of data is NOT present for decision usefulness in the financial statements that Jerome audited?

What type of accounting tool combines financial and nonfinancial measures for managerial reporting?

Which of the following roles in a company is responsible for financial reporting?

What is the term associated with XBRL standardized structure to produce financial statements?

Which of the following would be considered an accounting transaction for ColdBrews, a local coffee and beer shop?

Which characteristic of useful information is most clearly expressed by a firm who prioritizes providing financial statements to employees before selecting benefit options, which include stock options, index funds, or money market funds?

Accounting As Information

Risks and Risk Assessments

Risk Management and Internal Controls

Software and Systems

Data Storage and Analysis

Systems and Database Design

Emerging and Disruptive Technologies

Documenting Systems and Processes

Human Resources and Payroll Processes

Purchasing and Payments Process

Conversion Processes

Marketing, Sales, and Collection Processes

Information Systems and Controls

Fraud

Cybersecurity

Data Analytics

Data Visualization

Audit Assurance

Filters