Question 1

The expression of the accounting equation that is correct is:

Accepted Answer

A) Assets + Liabilities = Equity 
B) Liabilities = Assets + Equity 
C) Assets = Liabilities + Equity 
D) Assets = Equity - Liabilities 
A) Assets + Liabilities = Equity 
B) Liabilities = Assets + Equity 
C) Assets = Liabilities + Equity 
D) Assets = Equity - Liabilities

Question 2

If there are no drawings and no contributions of capital,a profit could be earned in any accounting period if and only if:

Accepted Answer

A) Total assets exceed total liabilities 
B) Total assets increase during the period 
C) Total liabilities increase during the period 
D) Net assets increase during the period 
A) Total assets exceed total liabilities 
B) Total assets increase during the period 
C) Total liabilities increase during the period 
D) Net assets increase during the period

Question 3

The quality of information which exists when information is able to influence economic decisions is known as r___________________.

Accepted Answer

The answer of The quality of information which exists when...

Question 4

The true statement is:

Accepted Answer

A) The profit of an entity is always represented by an increase in cash of the same amount. 
B) A withdrawal of cash for private use by the owner is shown in the income statement as an expense. 
C) Equity can be thought of as the owner's claim to the assets of the entity after deducting all liabilities. 
D) Profit can be calculated as; Net assets at the end of the year less net assets at the beginning of the year less drawings. 
A) The profit of an entity is always represented by an increase in cash of the same amount. 
B) A withdrawal of cash for private use by the owner is shown in the income statement as an expense. 
C) Equity can be thought of as the owner's claim to the assets of the entity after deducting all liabilities. 
D) Profit can be calculated as; Net assets at the end of the year less net assets at the beginning of the year less drawings.

The expression of the accounting equation that is correct is:

If there are no drawings and no contributions of capital,a profit could be earned in any accounting period if and only if:

The quality of information which exists when information is able to influence economic decisions is known as r___________________.

The true statement is:

Decision Making and the Role of Accounting

Recording Transactions

Adjusting the Accounts and Preparing Financial Statements

Completing the Accounting Cycle

Accounting for Retailing

Accounting for Systems

Accounting for Manufacturing

Cost Accounting Systems

Cash Management and Internal Control

Cost-Volume-Profit Analysis for Decision Making

Budgeting for Planning and Control

Performance Evaluation for Managers

Differential Analysis,profitability Analysis and Capital Budgeting

Partnerships: Formation,operation and Reporting

Companies: Formation and Operations

Regulation and the Conceptual Framework

Receivables

Inventories

Non-Current Assets: Acquisition and Depreciation

Non-Current Assets: Revaluation,disposal and Other Aspects

Liabilities

Presentation of Financial Statements

Liabilities

Analysis and Interpretation of Financial Statements

Filters

Exam 2: Financial Statements for Decision Making

The expression of the accounting equation that is correct is:

If there are no drawings and no contributions of capital,a profit could be earned in any accounting period if and only if:

The quality of information which exists when information is able to influence economic decisions is known as r___________________.

The true statement is:

Decision Making and the Role of Accounting

Recording Transactions

Adjusting the Accounts and Preparing Financial Statements

Completing the Accounting Cycle

Accounting for Retailing

Accounting for Systems

Accounting for Manufacturing

Cost Accounting Systems

Cash Management and Internal Control

Cost-Volume-Profit Analysis for Decision Making

Budgeting for Planning and Control

Performance Evaluation for Managers

Differential Analysis,profitability Analysis and Capital Budgeting

Partnerships: Formation,operation and Reporting

Companies: Formation and Operations

Regulation and the Conceptual Framework

Receivables

Inventories

Non-Current Assets: Acquisition and Depreciation

Non-Current Assets: Revaluation,disposal and Other Aspects

Liabilities

Presentation of Financial Statements

Liabilities

Analysis and Interpretation of Financial Statements

Filters