Question 1

Nick's had income of $350 million and average invested assets of $2,000 million.Its ROA is:

Accepted Answer

A) 1.8%. 
B) 35%. 
C) 17.5%. 
D) 5.7%. 
E) 3.5%. 
A) 1.8%. 
B) 35%. 
C) 17.5%. 
D) 5.7%. 
E) 3.5%.

Question 2

Planning is defining an organization's ideas,goals,and actions.

Accepted Answer

A) True 
 B)False

Question 3

All of the following regarding a Certified Public Accountant are true except:

Accepted Answer

A) Must meet education and experience requirements. 
B) Must pass an examination. 
C) Must exhibit ethical character. 
D) May also be a Certified Management Accountant. 
E) Cannot hold any certificate other than a CPA. 
A) Must meet education and experience requirements. 
B) Must pass an examination. 
C) Must exhibit ethical character. 
D) May also be a Certified Management Accountant. 
E) Cannot hold any certificate other than a CPA.

Question 4

A common characteristic of __________ is their ability to provide expected future benefits to a business.

Accepted Answer

The answer of A common characteristic of __________ is their...

Question 5

A corporation:

Accepted Answer

A) Is a business legally separate from its owners. 
B) Is controlled by the FASB. 
C) Has shareholders who have unlimited liability for the acts of the corporation. 
D) Is the same as a limited liability partnership. 
E) Is not subject to double taxation. 
A) Is a business legally separate from its owners. 
B) Is controlled by the FASB. 
C) Has shareholders who have unlimited liability for the acts of the corporation. 
D) Is the same as a limited liability partnership. 
E) Is not subject to double taxation.

Question 6

Decreases in equity that represent costs of assets or services used to earn revenues are called:

Accepted Answer

A) Liabilities. 
B) Equity. 
C) Withdrawals. 
D) Expenses. 
E) Owner's Investment. 
A) Liabilities. 
B) Equity. 
C) Withdrawals. 
D) Expenses. 
E) Owner's Investment.

Question 7

If a parcel of land that was originally acquired for $85,000 is offered for sale at $150,000,is assessed for tax purposes at $95,000,is recognized by its purchasers as easily being worth $140,000,and is sold for $137,000,the land should be recorded in the purchaser's books at:

Accepted Answer

A) $95,000. 
B) $137,000. 
C) $138,500. 
D) $140,000. 
E) $150,000. 
A) $95,000. 
B) $137,000. 
C) $138,500. 
D) $140,000. 
E) $150,000.

Question 8

_________________ is net income divided by average total assets.

Accepted Answer

The answer of _________________ is net income divided by average...

Question 9

______________________ is the recording of financial transactions and events,either manually or electronically.

Accepted Answer

Record-kee

Question 10

The accounting assumption that requires every business to be accounted for separately from other business entities,including its owner or owners is known as the:

Accepted Answer

A) Time-period assumption. 
B) Business entity assumption. 
C) Going-concern assumption. 
D) Revenue recognition principle. 
E) Cost principle. 
A) Time-period assumption. 
B) Business entity assumption. 
C) Going-concern assumption. 
D) Revenue recognition principle. 
E) Cost principle.

Question 11

Arrow's net income of $117 million and average assets of $1,400 million results in a return on assets of 8.36%.

Accepted Answer

A) True 
 B)False

Question 12

The ____________________ describes a company's revenues and expenses over a period of time due to earnings activities.

Accepted Answer

The answer of The ____________________ describes a company's revenues and...

Question 13

Resources that are expected to yield future benefits are:

Accepted Answer

A) Assets. 
B) Revenues. 
C) Liabilities. 
D) Owner's Equity. 
E) Expenses. 
A) Assets. 
B) Revenues. 
C) Liabilities. 
D) Owner's Equity. 
E) Expenses.

Question 14

Flash has beginning equity of $257,000,net income of $51,000,withdrawals of $40,000 and investments by owners of $6,000.Its ending equity is:

Accepted Answer

A) $223,000. 
B) $240,000. 
C) $268,000. 
D) $274,000. 
E) $208,000. 
A) $223,000. 
B) $240,000. 
C) $268,000. 
D) $274,000. 
E) $208,000.

Question 15

Risk is the _________________ about the return an investor expects to earn.

Accepted Answer

The answer of Risk is the _________________ about the return...

Question 16

An external transaction is an exchange of value within an organization.

Accepted Answer

A) True 
 B)False

Question 17

The difference between a company's assets and its liabilities,or net assets is:

Accepted Answer

A) Net income. 
B) Expense. 
C) Equity. 
D) Revenue. 
E) Net loss. 
A) Net income. 
B) Expense. 
C) Equity. 
D) Revenue. 
E) Net loss.

Question 18

If a parcel of land that was originally purchased for $85,000 is offered for sale at $150,000,is assessed for tax purposes at $95,000,is recognized by its purchasers as easily being worth $140,000,and is sold for $137,000,the land account transaction amount to handle the sale of the land in the seller's books is:

Accepted Answer

A) $85,000 increase. 
B) $85,000 decrease. 
C) $137,000 increase. 
D) $137,000 decrease. 
E) $140,000 decrease. 
A) $85,000 increase. 
B) $85,000 decrease. 
C) $137,000 increase. 
D) $137,000 decrease. 
E) $140,000 decrease.

Question 19

The excess of expenses over revenues for a period is:

Accepted Answer

A) Net assets. 
B) Equity. 
C) Net loss. 
D) Net income. 
E) A liability. 
A) Net assets. 
B) Equity. 
C) Net loss. 
D) Net income. 
E) A liability.

Question 20

A balance sheet covers a period of time such as a month or year.

Accepted Answer

A) True 
 B)False

Exam 1: Accounting in Business

Nick's had income of $350 million and average invested assets of $2,000 million.Its ROA is:

Planning is defining an organization's ideas,goals,and actions.

All of the following regarding a Certified Public Accountant are true except:

A common characteristic of __________ is their ability to provide expected future benefits to a business.

A corporation:

Decreases in equity that represent costs of assets or services used to earn revenues are called:

If a parcel of land that was originally acquired for $85,000 is offered for sale at $150,000,is assessed for tax purposes at $95,000,is recognized by its purchasers as easily being worth $140,000,and is sold for $137,000,the land should be recorded in the purchaser's books at:

_________________ is net income divided by average total assets.

______________________ is the recording of financial transactions and events,either manually or electronically.

The accounting assumption that requires every business to be accounted for separately from other business entities,including its owner or owners is known as the:

Arrow's net income of $117 million and average assets of $1,400 million results in a return on assets of 8.36%.

The ____________________ describes a company's revenues and expenses over a period of time due to earnings activities.

Resources that are expected to yield future benefits are:

Flash has beginning equity of $257,000,net income of $51,000,withdrawals of $40,000 and investments by owners of $6,000.Its ending equity is:

Risk is the _________________ about the return an investor expects to earn.

An external transaction is an exchange of value within an organization.

The difference between a company's assets and its liabilities,or net assets is:

The excess of expenses over revenues for a period is:

A balance sheet covers a period of time such as a month or year.

Analyzing and Recording Transactions

Adjusting Accounts and Preparing Financial Statements

Completing the Accounting Cycle

Accounting for Merchandising Operations

Accounting Information Systems

Cash and Internal Controls

Accounting for Receivables

Plant Assets, natural Resources, and Intangibles

Current Liabilities and Payroll Accounting

Accounting for Partnerships

Accounting for Corporations

Long-Term Liabilities

Investments and International Operations

Reporting the Statement of Cash Flows

Analysis of Financial Statements

Managerial Accounting Concepts and Principles

Job Order Costing

Process Costing

Cost-Volume-Profit Analysis

Master Budgets and Planning

Flexible Budgets and Standard Costs

Performance Measurement and Responsibility Accounting

Capital Budgeting and Managerial Decisions

Time Value of Money B

Activity-Based Costing C

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