Question 1

Which is not a characteristic of an asset?

Accepted Answer

A)  The resource must be useful only in the entity's activities and have been acquired by purchase, production, or stockholder investment. 
B)  The entity must be able to obtain the future benefit and control others' access to it. 
C)  The transaction or event giving rise to the entity's right to or control over the benefit must have already occurred. 
D)  The resource must singly, or in combination with other resources, have the capacity to contribute directly, or indirectly, to the entity's future net cash inflows. 
A)  The resource must be useful only in the entity's activities and have been acquired by purchase, production, or stockholder investment. 
B)  The entity must be able to obtain the future benefit and control others' access to it. 
C)  The transaction or event giving rise to the entity's right to or control over the benefit must have already occurred. 
D)  The resource must singly, or in combination with other resources, have the capacity to contribute directly, or indirectly, to the entity's future net cash inflows.

Question 2

Probable future sacrifices of economic benefits arising from past transactions or events are

Accepted Answer

A)  liabilities 
B)  revenues 
C)  assets 
D)  retained earnings 
A)  liabilities 
B)  revenues 
C)  assets 
D)  retained earnings

Question 3

What statement does not report the changes in financial position of the company?

Accepted Answer

A)  income statement 
B)  balance sheet 
C)  statement of cash flows 
D)  statement of shareholders' equity 
A)  income statement 
B)  balance sheet 
C)  statement of cash flows 
D)  statement of shareholders' equity

Question 4

A balance sheet shows the

Accepted Answer

A)  fair value of a company at a particular date 
B)  results of the company's income-producing activities 
C)  financial position of a company at a particular date 
D)  cash inflows and outflows of a company for the accounting period 
A)  fair value of a company at a particular date 
B)  results of the company's income-producing activities 
C)  financial position of a company at a particular date 
D)  cash inflows and outflows of a company for the accounting period

Question 5

The following data were taken from the Oxon Hill, Inc. balance sheet:   Required:
Compute working capital.

Accepted Answer

$17,880 = ($1,250 +

Question 6

Gerald Company's balance sheet information at the end of 2104 and 2015 is as follows:  
At the end of 2014, additional paid-in capital was twice the amount of common stock. In 2015, the company issued 1,000 shares of common stock.
Required:
Fill in the blanks lettered a through n. It is not necessary to calculate the information in alphabetical order.

Accepted Answer

@#IMG-DLM&
 * 123,900 = Common stock (x)

Question 7

What differences exist between IFRS and U.S. GAAP balance sheet presentation?

Accepted Answer

IFRS:
The assets have only two categorie

Question 8

Exhibit 4-1 Given the following information for Blue Bell Company:   
-Refer to Exhibit 4-1. Blue Bell's quick ratio at December 31, 2014 was

Accepted Answer

A)  3.67 times 
B)  2.33 times 
C)  1.33 times 
D)  0.43 times 
A)  3.67 times 
B)  2.33 times 
C)  1.33 times 
D)  0.43 times

Question 9

The measurement of an asset's value that considers the discounted future cash inflows (and outflows) relating to the asset is called the

Accepted Answer

A)  net realizable value 
B)  future value 
C)  historical value 
D)  present value 
A)  net realizable value 
B)  future value 
C)  historical value 
D)  present value

Question 10

A friend of the family has just received her first set of financial statements from her accountant. When she finds out that you are an accounting major, she asks you, "Why aren't my employees listed as an asset on my company's balance sheet?"
Required:
Write an explanation describing the characteristics that an economic resource must possess in order to be considered an asset. Include in your discussion the primary reason why "human resources" are not recognized as assets.

Accepted Answer

To be considered an asset, an economic r

Question 11

Cash equivalents are securities that

Accepted Answer

A)  management intends to convert into cash within one year 
B)  have maturity dates of at least six months 
C)  management intends to convert into cash within the normal operating cycle 
D)  have maturity dates of three months or less 
A)  management intends to convert into cash within one year 
B)  have maturity dates of at least six months 
C)  management intends to convert into cash within the normal operating cycle 
D)  have maturity dates of three months or less

Question 12

What three characteristics must an economic resource have in order be considered an asset?

Accepted Answer

1) Future economic b

Which is not a characteristic of an asset?

Probable future sacrifices of economic benefits arising from past transactions or events are

What statement does not report the changes in financial position of the company?

A balance sheet shows the

The following data were taken from the Oxon Hill, Inc. balance sheet: Required: Compute working capital.

What differences exist between IFRS and U.S. GAAP balance sheet presentation?

Exhibit 4-1 Given the following information for Blue Bell Company: -Refer to Exhibit 4-1. Blue Bell's quick ratio at December 31, 2014 was

The measurement of an asset's value that considers the discounted future cash inflows (and outflows) relating to the asset is called the

Cash equivalents are securities that

What three characteristics must an economic resource have in order be considered an asset?

The Demand for and Supply of Financial Accounting Information

Financial Reporting: Its Conceptual Framework

Review of a Companys Accounting System

The Income Statement and the Statement of Cash Flows

Cash and Receivables

Inventories: Cost Measurement and Flow Assumptions

Inventories: Special Valuation Issues

Current Liabilities and Contingencies

Property, Plant, and Equipment: Acquisition and Subsequent Investments

Depreciation, Depletion, Impairment, and Disposal

Intangibles

Investments and Long-Term Receivables

Financing Liabilities: Bonds and Notes Payable

Contributed Capital

Retained Earnings and Earnings Per Share

Advanced Issues in Revenue Recognition

Accounting for Income Taxes

Accounting for Postretirement Benefits

Accounting for Leases

The Statement of Cash Flows

Accounting for Changes and Errors

Time Value of Money Module

Filters

Exam 4: The Balance Sheet and the Statement of Shareholders Equity

Which is not a characteristic of an asset?

Probable future sacrifices of economic benefits arising from past transactions or events are

What statement does not report the changes in financial position of the company?

A balance sheet shows the

The following data were taken from the Oxon Hill, Inc. balance sheet: Required: Compute working capital.

What differences exist between IFRS and U.S. GAAP balance sheet presentation?

Exhibit 4-1 Given the following information for Blue Bell Company: -Refer to Exhibit 4-1. Blue Bell's quick ratio at December 31, 2014 was

The measurement of an asset's value that considers the discounted future cash inflows (and outflows) relating to the asset is called the

Cash equivalents are securities that

What three characteristics must an economic resource have in order be considered an asset?

The Demand for and Supply of Financial Accounting Information

Financial Reporting: Its Conceptual Framework

Review of a Companys Accounting System

The Income Statement and the Statement of Cash Flows

Cash and Receivables

Inventories: Cost Measurement and Flow Assumptions

Inventories: Special Valuation Issues

Current Liabilities and Contingencies

Property, Plant, and Equipment: Acquisition and Subsequent Investments

Depreciation, Depletion, Impairment, and Disposal

Intangibles

Investments and Long-Term Receivables

Financing Liabilities: Bonds and Notes Payable

Contributed Capital

Retained Earnings and Earnings Per Share

Advanced Issues in Revenue Recognition

Accounting for Income Taxes

Accounting for Postretirement Benefits

Accounting for Leases

The Statement of Cash Flows

Accounting for Changes and Errors

Time Value of Money Module

Filters