Question 1

A balance sheet lists:

Accepted Answer

A)  The types and amounts of the revenues and expenses of a business. 
B)  Only the information about what happened to equity during a specific time period. 
C)  The types and amounts of assets,liabilities,and equity of a business at a specific date. 
D)  The inflows and outflows of cash during a specific time period. 
E)  The assets and liabilities of a business but not the equity. 
A)  The types and amounts of the revenues and expenses of a business. 
B)  Only the information about what happened to equity during a specific time period. 
C)  The types and amounts of assets,liabilities,and equity of a business at a specific date. 
D)  The inflows and outflows of cash during a specific time period. 
E)  The assets and liabilities of a business but not the equity.

Question 2

According to the cost principle,it is acceptable for managers to use their own estimate of an asset's value when recording the purchase.

Accepted Answer

A) True 
 B)False

Question 3

Equity is also known as:

Accepted Answer

A)  Net income. 
B)  Expenses. 
C)  Net assets. 
D)  Revenue. 
E)  Net loss. 
A)  Net income. 
B)  Expenses. 
C)  Net assets. 
D)  Revenue. 
E)  Net loss.

Question 4

Identify several opportunities in accounting and its related fields.

Accepted Answer

The traditional areas of accounting incl

Question 5

A financial statement providing information that helps users understand a company's financial status at a specific date,is called a(n):

Accepted Answer

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

Question 6

A business activity that does not involve an exchange of economic consideration between two parties is called a(n):

Accepted Answer

A)  Withdrawal. 
B)  Account receivable. 
C)  Business transaction. 
D)  Business event. 
E)  Equity transaction. 
A)  Withdrawal. 
B)  Account receivable. 
C)  Business transaction. 
D)  Business event. 
E)  Equity transaction.

Question 7

Managerial accounting is an area of accounting that provides internal reports to assist the decision-making needs of internal users.

Accepted Answer

A) True 
 B)False

Question 8

Ethical behaviour requires:

Accepted Answer

A)  Accountants to keep business information confidential. 
B)  Auditors to invest in businesses they audit. 
C)  Analysts to report information favourable to their companies. 
D)  Purchasing agents to favour certain suppliers. 
E)  The government to regulate businesses. 
A)  Accountants to keep business information confidential. 
B)  Auditors to invest in businesses they audit. 
C)  Analysts to report information favourable to their companies. 
D)  Purchasing agents to favour certain suppliers. 
E)  The government to regulate businesses.

Question 9

Blu Lightning Co.received $5,000 for a previously recorded account receivable from the Cheetah Co.Enter the appropriate amounts into the accounting equation format.

Accepted Answer

Assets = Liabilities

Question 10

The primary purpose of Generally Accepted Accounting Principles is to ensure the usefulness of financial information.

Accepted Answer

A) True 
 B)False

Question 11

Properties or economic resources owned by a business,also described as probable future economic benefits,are called:

Accepted Answer

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

Question 12

The balance sheet shows whether or not the firm achieved its primary objective of earning a profit.

Accepted Answer

A) True 
 B)False

Question 13

External users of accounting information include:

Accepted Answer

A)  Shareholders. 
B)  Customers. 
C)  Creditors. 
D)  The press. 
E)  All of these answers are correct. 
A)  Shareholders. 
B)  Customers. 
C)  Creditors. 
D)  The press. 
E)  All of these answers are correct.

Question 14

The accounting equation can be stated as:

Accepted Answer

A)  Assets = non-owner equity + equity. 
B)  Liabilities = assets - equity. 
C)  Assets = liabilities + equity. 
D)  Equity = assets - liabilities. 
E)  All of these answers are correct. 
A)  Assets = non-owner equity + equity. 
B)  Liabilities = assets - equity. 
C)  Assets = liabilities + equity. 
D)  Equity = assets - liabilities. 
E)  All of these answers are correct.

Question 15

The Accounting Standards Board (AcSB),is the body that developed the International Financial Reporting Standards.

Accepted Answer

A) True 
 B)False

Question 16

Career opportunities in accounting include auditing,forensic accounting,and tax planning.

Accepted Answer

A) True 
 B)False

Question 17

A(n)______________ reports revenues earned and expenses incurred by a business over a period of time.

Accepted Answer

The answer of A(n)______________ reports revenues earned and expenses incurred...

Question 18

The cost principle states that if no cash is involved in a transaction the cash-equivalent value must be used.

Accepted Answer

A) True 
 B)False

Question 19

Blue Company collected $2,000 cash for work completed.The effects on the accounting equation are:

Accepted Answer

A)  Total assets decrease and equity increases. 
B)  Both total assets and total liabilities decrease. 
C)  Total assets,total liabilities,and equity are unchanged. 
D)  Both total assets and equity are unchanged. 
E)  Total assets increase and equity increases. 
A)  Total assets decrease and equity increases. 
B)  Both total assets and total liabilities decrease. 
C)  Total assets,total liabilities,and equity are unchanged. 
D)  Both total assets and equity are unchanged. 
E)  Total assets increase and equity increases.

Question 20

The natural business year for businesses is always the same as the calendar year.

Accepted Answer

A) True 
 B)False

A balance sheet lists:

According to the cost principle,it is acceptable for managers to use their own estimate of an asset's value when recording the purchase.

Equity is also known as:

Identify several opportunities in accounting and its related fields.

A financial statement providing information that helps users understand a company's financial status at a specific date,is called a(n):

A business activity that does not involve an exchange of economic consideration between two parties is called a(n):

Managerial accounting is an area of accounting that provides internal reports to assist the decision-making needs of internal users.

Ethical behaviour requires:

Blu Lightning Co.received $5,000 for a previously recorded account receivable from the Cheetah Co.Enter the appropriate amounts into the accounting equation format.

The primary purpose of Generally Accepted Accounting Principles is to ensure the usefulness of financial information.

Properties or economic resources owned by a business,also described as probable future economic benefits,are called:

The balance sheet shows whether or not the firm achieved its primary objective of earning a profit.

External users of accounting information include:

The accounting equation can be stated as:

The Accounting Standards Board (AcSB),is the body that developed the International Financial Reporting Standards.

Career opportunities in accounting include auditing,forensic accounting,and tax planning.

A(n)______________ reports revenues earned and expenses incurred by a business over a period of time.

The cost principle states that if no cash is involved in a transaction the cash-equivalent value must be used.

Blue Company collected $2,000 cash for work completed.The effects on the accounting equation are:

The natural business year for businesses is always the same as the calendar year.

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

A balance sheet lists:

According to the cost principle,it is acceptable for managers to use their own estimate of an asset's value when recording the purchase.

Equity is also known as:

Identify several opportunities in accounting and its related fields.

A financial statement providing information that helps users understand a company's financial status at a specific date,is called a(n):

A business activity that does not involve an exchange of economic consideration between two parties is called a(n):

Managerial accounting is an area of accounting that provides internal reports to assist the decision-making needs of internal users.

Ethical behaviour requires:

Blu Lightning Co.received $5,000 for a previously recorded account receivable from the Cheetah Co.Enter the appropriate amounts into the accounting equation format.

The primary purpose of Generally Accepted Accounting Principles is to ensure the usefulness of financial information.

Properties or economic resources owned by a business,also described as probable future economic benefits,are called:

The balance sheet shows whether or not the firm achieved its primary objective of earning a profit.

External users of accounting information include:

The accounting equation can be stated as:

The Accounting Standards Board (AcSB),is the body that developed the International Financial Reporting Standards.

Career opportunities in accounting include auditing,forensic accounting,and tax planning.

A(n)______________ reports revenues earned and expenses incurred by a business over a period of time.

The cost principle states that if no cash is involved in a transaction the cash-equivalent value must be used.

Blue Company collected $2,000 cash for work completed.The effects on the accounting equation are:

The natural business year for businesses is always the same as the calendar year.

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