Exam 1: Accounting As a Form of Communication

At December 31,2017,the accounting records of Tasty Foods Corporation contain the following: Accounts payable \ 16,000 Accounts receivable \ 40,000 Land 240,000 Cash ? Capital stock ? Equipment 120,000 Building 180,000 Notes payable 190,000 Retained earnings 160,000 - If Cash is $26,000,what is the December 31,2017 capital stock balance?

Profits from operating activities distributed to business owners are called dividends.

Aloha Company reports the following information at December 31,2017: Revenue \ 150,000 Cash 30,000 Accounts payable 40,000 Dividends 10,000 Expenses 85,000 What is Aloha Company's net income?

Canyon Corporation The accountant for Canyon Corporation prepared the following list from the company's accounting records for the year ended December 31,2017: ​ Retained earnings ? Prepaid expenses \ 3,000 Cash \ 7,000 Common stock 40,000 Accounts payable 15,000 Accounts receivable 17,000 Sales revenue 125,000 Interest income 500 Cost of sales 70,000 Sal ary expense 4,000 Land 75,000 Income tax expense 200 Notes payable 15,000 Selling expense 45,000 Inventory 20,000 Sal aries payable 5,000 ​ -Read the information for Canyon Corporation and prepare a balance Sheet in good form.

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

Assets can be tangible or intangible in nature.

The various methods,rules,practices,and other procedures that have evolved over time in response to the need to regulate the preparation of financial statements are called __________________________________________________.

Taryn Corporation The accountant for Taryn Corporation prepared the following list of account balances from the company's records for the year ended December 31,2017: ​ ​ Sales revenue \ 165,000 Cash \ 30,000 Accounts receivable 14,000 Selling expenses 44,000 Equipment 42,000 Common stock 41,000 Accounts payable 12,000 Interest income 3,000 Sal aries and wages expense 40,000 Cost of sales 51,000 Inventories 22,000 Prepaid expenses 2,000 Income taxes payable 5,000 Income taxes expense 18,000 Notes payable 20,000 Retained earnings ? ​ -Read the information for Taryn Corporation and prepare an income statement in good form.

The purpose of financial reporting is to provide economic information to external decision makers only.

If a company has $152,000 of revenues,declares and pays $55,000 in dividends,and has net income of $89,000,how much were expenses for the year?

The International Accounting Standards Board (IASB)was created in order to develop worldwide accounting standards that must be used for all financial statements prepared regardless of country.

The IASB is a branch of the FASB.

The beginning balance of retained earnings was $630,000,and the ending balance was $650,000.The company declared and paid dividends of $60,000. ​ A)Determine the amount of net income for the year. ​ B)What information would one find on the income statement in addition to net income?

Gyro's Shop reported a net loss of $15,000 and total expenses of $80,000.How much are total revenues?

Under Armour is an example of a service provider.

A partnership is a business owned by two or more individuals.

Which one of the following events involves a liability for a business?

Someone to whom a company has a debt is known as a creditor.

Which of the following is the correct date format for the financial statement heading?

The term used to refer to an asset's original cost is "fair market value."