Exam 15: Using Management and Accounting Information

Balance It!* Match the following words/numbers with the blanks in the balance sheet on the next page. (Ignore upper- and lower-case spellings and whether numbers are shown as currency or not.) ____ Equity ____ Receivable ____ Accounts ____ Common ____ Accumulated ____ Fixed ____ Payable ____ Less ____ Total ____ Intangible ____ Current ____ Notes ____ Long-term ____ Assets ____ Doubtful ____ 142,000 ____ 18,000 ____ 25,000 ____ 62,000 ____ 32,000

A database is a single collection of data and information stored in one place that can be accessed by people throughout a firm to make business decisions.

Based on the accounting equation, owners' equity is the difference between total assets and total liabilities.

The ratio computed by dividing cost of goods sold by the average value of inventory is

As a result of the Sarbanes-Oxley Act, the FDIC is responsible for establishing a full-time federal oversight board that will police the accounting industry.

Revenues - cost of goods sold - expenses =

Which of the following ratios measures how effectively a firm is transforming sales into profits?

A computer program that uses artificial intelligence to imitate a human's ability to think is a(n)

The values of copyrights, patents, and goodwill are reported on a firm's balance sheet as intangible assets.

If assets total $125,000 and owners' equity totals $75,000, how much are the firm's liabilities?

Financial accounting provides managers and employees within the organization with the information needed to make decisions about a firm's financing, investing, marketing, and operating activities.

Beginning inventory + net purchases - ending inventory =

Cash, inventory, and equipment are listed as __________ on a firm's balance sheet.

For a manager or employee, information and data mean the same thing.

Because of GAAPs, it is possible to compare accounting data for one firm with accounting data for competing firms.

Assets that can be converted quickly into cash or that will be used in one year or less are

Which of the following types of accounts would not be listed on a firm's balance sheet?