Question 1

______________ of accounting information are not directly involved in running the organization.

Accepted Answer

The answer of ______________ of accounting information are not directly...

Question 2

The financial statement that describes where a company's cash came from and where it went during the period is the:

Accepted Answer

A)  Statement of financial position. 
B)  Statement of cash flows. 
C)  Balance sheet. 
D)  Income statement. 
E)  Statement of changes in equity. 
A)  Statement of financial position. 
B)  Statement of cash flows. 
C)  Balance sheet. 
D)  Income statement. 
E)  Statement of changes in equity.

Question 3

Net income appears on which of the following statement(s)?

Accepted Answer

A)  Balance sheet. 
B)  Income statement. 
C)  Statement of changes in equity. 
D)  Statement of cash flows. 
E)  Both an income statement and statement of changes in equity. 
A)  Balance sheet. 
B)  Income statement. 
C)  Statement of changes in equity. 
D)  Statement of cash flows. 
E)  Both an income statement and statement of changes in equity.

Question 4

Budgeting is the process of developing formal plans for an organization's future activities.

Accepted Answer

A) True 
 B)False

Question 5

Revenues are the value of assets exchanged for products or services provided to customers as part of the major operations of the business.

Accepted Answer

A) True 
 B)False

Question 6

______________ is the area of accounting aimed at serving external users.

Accepted Answer

Financial

Question 7

At the end of its first year of operations,Lockerbie and Role Company has total assets of $3,000,000 and total liabilities of $1,200,000.The owner originally invested $200,000 in the business,but has not made any further investments or taken any withdrawals.What is the first year's net income for Lockerbie and Role Company?

Accepted Answer

A)  $1,600,000. 
B)  $1,800,000. 
C)  $1,000,000. 
D)  $3,000,000. 
E)  $3,200,000. 
A)  $1,600,000. 
B)  $1,800,000. 
C)  $1,000,000. 
D)  $3,000,000. 
E)  $3,200,000.

Question 8

Reese's Company reported equity of $22,000 on its December 31,2014 balance sheet.The following information is available for the year ended December 31,2015:   What are the total assets of Reese's Company at December 31,2015?

Accepted Answer

A)  $14,000. 
B)  $25,000. 
C)  $35,000. 
D)  $47,000. 
E)  $57,000. 
A)  $14,000. 
B)  $25,000. 
C)  $35,000. 
D)  $47,000. 
E)  $57,000.

Question 9

The bookkeeper of the Tide Company prepared a balance sheet immediately after each transaction was recorded.During September 2015,the first month of operation,the following balance sheets were prepared:
Required: Describe the nature of each of the five transactions that took place during the month of September.

Accepted Answer

The answer of The bookkeeper of the Tide Company prepared...

Question 10

Ethics and social responsibility are incidental to the primary functions of accounting.

Accepted Answer

A) True 
 B)False

Question 11

A parcel of land is offered for sale at $135,000,is assessed for tax purposes at $60,000,is recognized by its purchasers as easily being worth $108,000,and is purchased for $106,000.At what amount should the land be recorded in the purchaser's books? What accounting principle supports your answer?

Accepted Answer

$106,000.The cost principle re

Question 12

International Accounting Standards have been created to improve comparability of accounting information across countries.

Accepted Answer

A) True 
 B)False

Question 13

An obligation of a business that represents the claims of others against the assets of the business is called a(n):

Accepted Answer

A)  Asset. 
B)  Expense. 
C)  Revenue. 
D)  Equity. 
E)  Liability. 
A)  Asset. 
B)  Expense. 
C)  Revenue. 
D)  Equity. 
E)  Liability.

Question 14

An individual or organization entitled to receive payments from a business is known to the business as a:

Accepted Answer

A)  Debtor. 
B)  Shareholder. 
C)  Controller. 
D)  Creditor. 
E)  Bookkeeper. 
A)  Debtor. 
B)  Shareholder. 
C)  Controller. 
D)  Creditor. 
E)  Bookkeeper.

Question 15

On May 1,Fiona Nash formed a computer consulting business.In order to start the business she invested $20,000 in equipment.Enter the appropriate amounts into the accounting equation format.

Accepted Answer

Assets = Liabilities

Question 16

Prepare a balance sheet in good form for the Logitech Trucking Company from the following alphabetical list of the accounts at September 30,2015:

Accepted Answer

The answer of Prepare a balance sheet in good form...

Question 17

A corporation:

Accepted Answer

A)  Is a legal entity separate and distinct from its owners. 
B)  Is regulated by Canada Revenue Agency. 
C)  Has shareholders who have unlimited liability for the acts of the corporation. 
D)  Can only have two owners. 
E)  Is not a legal entity. 
A)  Is a legal entity separate and distinct from its owners. 
B)  Is regulated by Canada Revenue Agency. 
C)  Has shareholders who have unlimited liability for the acts of the corporation. 
D)  Can only have two owners. 
E)  Is not a legal entity.

Question 18

The following information is available for Isla Company for last May.How much is the net income for the month?

Accepted Answer

A)  $0 
B)  $10,000. 
C)  $20,000. 
D)  $30,000. 
E)  $35,000. 
A)  $0 
B)  $10,000. 
C)  $20,000. 
D)  $30,000. 
E)  $35,000.

Question 19

The first section of the income statement reports cash from operating activities.

Accepted Answer

A) True 
 B)False

Question 20

The following schedule shows the first month's transactions of the Bill Blue Real Estate Company:
Describe the most likely reason(s)for each transaction.

Accepted Answer

(1)Investment of cash in business by own

______________ of accounting information are not directly involved in running the organization.

The financial statement that describes where a company's cash came from and where it went during the period is the:

Net income appears on which of the following statement(s)?

Budgeting is the process of developing formal plans for an organization's future activities.

Revenues are the value of assets exchanged for products or services provided to customers as part of the major operations of the business.

______________ is the area of accounting aimed at serving external users.

Reese's Company reported equity of $22,000 on its December 31,2014 balance sheet.The following information is available for the year ended December 31,2015: What are the total assets of Reese's Company at December 31,2015?

Ethics and social responsibility are incidental to the primary functions of accounting.

A parcel of land is offered for sale at $135,000,is assessed for tax purposes at $60,000,is recognized by its purchasers as easily being worth $108,000,and is purchased for $106,000.At what amount should the land be recorded in the purchaser's books? What accounting principle supports your answer?

International Accounting Standards have been created to improve comparability of accounting information across countries.

An obligation of a business that represents the claims of others against the assets of the business is called a(n):

An individual or organization entitled to receive payments from a business is known to the business as a:

On May 1,Fiona Nash formed a computer consulting business.In order to start the business she invested $20,000 in equipment.Enter the appropriate amounts into the accounting equation format.

Prepare a balance sheet in good form for the Logitech Trucking Company from the following alphabetical list of the accounts at September 30,2015:

A corporation:

The following information is available for Isla Company for last May.How much is the net income for the month?

The first section of the income statement reports cash from operating activities.

The following schedule shows the first month's transactions of the Bill Blue Real Estate Company: Describe the most likely reason(s)for each transaction.

Analyzing and Reporting Transactions

Adjusting Accounts for Financial Statements

Completing the Accounting Cycle and Classifying Accounts

Accounting for Merchandising Activities

Merchandise Inventory and Cost of Sales

Accounting Information Systems

Internal Control and Cash

Receivables

Filters

Exam 1: Accounting in Business

______________ of accounting information are not directly involved in running the organization.

The financial statement that describes where a company's cash came from and where it went during the period is the:

Net income appears on which of the following statement(s)?

Budgeting is the process of developing formal plans for an organization's future activities.

Revenues are the value of assets exchanged for products or services provided to customers as part of the major operations of the business.

______________ is the area of accounting aimed at serving external users.

Reese's Company reported equity of $22,000 on its December 31,2014 balance sheet.The following information is available for the year ended December 31,2015: What are the total assets of Reese's Company at December 31,2015?

Ethics and social responsibility are incidental to the primary functions of accounting.

A parcel of land is offered for sale at $135,000,is assessed for tax purposes at $60,000,is recognized by its purchasers as easily being worth $108,000,and is purchased for $106,000.At what amount should the land be recorded in the purchaser's books? What accounting principle supports your answer?

International Accounting Standards have been created to improve comparability of accounting information across countries.

An obligation of a business that represents the claims of others against the assets of the business is called a(n):

An individual or organization entitled to receive payments from a business is known to the business as a:

On May 1,Fiona Nash formed a computer consulting business.In order to start the business she invested $20,000 in equipment.Enter the appropriate amounts into the accounting equation format.

Prepare a balance sheet in good form for the Logitech Trucking Company from the following alphabetical list of the accounts at September 30,2015:

A corporation:

The following information is available for Isla Company for last May.How much is the net income for the month?

The first section of the income statement reports cash from operating activities.

The following schedule shows the first month's transactions of the Bill Blue Real Estate Company: Describe the most likely reason(s)for each transaction.

Analyzing and Reporting Transactions

Adjusting Accounts for Financial Statements

Completing the Accounting Cycle and Classifying Accounts

Accounting for Merchandising Activities

Merchandise Inventory and Cost of Sales

Accounting Information Systems

Internal Control and Cash

Receivables

Filters