Question 1

If total assets remain the same and total shareholders' equity increases, liabilities will:

Accepted Answer

A)  increase by the same amount. 
B)  decrease by the same amount. 
C)  remain the same. 
D)  increase by a different amount. 
E)  decrease by a different amount. 
A)  increase by the same amount. 
B)  decrease by the same amount. 
C)  remain the same. 
D)  increase by a different amount. 
E)  decrease by a different amount.

Question 2

Calculate the missing amount in each category of the accounting equation.

Accepted Answer

Assets = Liabilities + Shareholders Equi

Question 3

The main goal of understanding the process of accounting is to help ensure that the business is:

Accepted Answer

A)  profitable. 
B)  ethical. 
C)  competitive. 
D)  admired by the customer. 
E)  environmentally friendly. 
A)  profitable. 
B)  ethical. 
C)  competitive. 
D)  admired by the customer. 
E)  environmentally friendly.

Question 4

Cash and accounts receivable are both a part of:

Accepted Answer

A)  assets. 
B)  retained earnings. 
C)  liabilities. 
D)  common shares. 
E)  preferred shares 
A)  assets. 
B)  retained earnings. 
C)  liabilities. 
D)  common shares. 
E)  preferred shares

Question 5

Walmart is an example of a corporate merchandising business.

Accepted Answer

A) True 
 B)False

Question 6

For each of the following items indicate in the column whether the item is an asset (A), liability (L), or Shareholders' Equity (SE).

Accepted Answer

The answer of For each of the following items indicate...

Question 7

A company has $123,000 in assets and $65,000 in liabilities. Determine the amount of shareholders' equity.

Accepted Answer

$58,000
Ca

Question 8

Given the information below, place an (SP) if the statement describes a sole proprietorship, a (P) if the statement describes a partnership, and a (C) if the statement describes a corporation.

Accepted Answer

A. C
B. P

Question 9

A business purchases a computer for cash. What effect does this have on the accounting equation?

Accepted Answer

No change in total a

Question 10

The main role of accounting is to compile reports to determine the profit made by a company over a period of time.

Accepted Answer

A) True 
 B)False

Question 11

A net income or loss is shown on the __________.

Accepted Answer

income statement and

Question 12

Which of the following is a False statement?

Accepted Answer

A)  Revenues provide inward flows of assets. 
B)  Revenue is categorized as an asset. 
C)  Revenue is categorized as part of retained earnings. 
D)  Revenues are generated from the sale of goods and services. 
E)  Revenue is an increase in retained earnings. 
A)  Revenues provide inward flows of assets. 
B)  Revenue is categorized as an asset. 
C)  Revenue is categorized as part of retained earnings. 
D)  Revenues are generated from the sale of goods and services. 
E)  Revenue is an increase in retained earnings.

Question 13

Which of the following types of organizations would produce goods?

Accepted Answer

A)  Merchandising operation 
B)  Service operation 
C)  Not-for-profit operation 
D)  Manufacturing operation 
E)  Government operation 
A)  Merchandising operation 
B)  Service operation 
C)  Not-for-profit operation 
D)  Manufacturing operation 
E)  Government operation

Question 14

Mathew owns an art supplies store. In the initial accounting records, he included his personal computer and all of his personal art supplies. Mathew is violating what principle of accounting?

Accepted Answer

A)  Going concern 
B)  Cost 
C)  Reliability 
D)  Economic entity 
E)  Materiality 
A)  Going concern 
B)  Cost 
C)  Reliability 
D)  Economic entity 
E)  Materiality

Question 15

The Flower Company's beginning retained earnings are $31,000; sales are $46,800; expenses are $43,500 and dividends paid are $2,800. Calculate the ending retained earnings.

Accepted Answer

The answer of The Flower Company's beginning retained earnings are...

Question 16

International Financial Reporting Standards (IFRS) became effective in Canada on what date?

Accepted Answer

The answer of International Financial Reporting Standards (IFRS) became effective...

Question 17

Lauren purchased a computer on account for her business. How will this transaction affect the accounting equation?

Accepted Answer

Assets inc

Question 18

Brandon borrowed money for his business from a local bank. What accounts will be affected?

Accepted Answer

A)  Cash and accounts payable 
B)  Cash and notes payable 
C)  Accounts payable and revenue 
D)  Accounts receivable and revenue 
E)  Cash and accounts receivable 
A)  Cash and accounts payable 
B)  Cash and notes payable 
C)  Accounts payable and revenue 
D)  Accounts receivable and revenue 
E)  Cash and accounts receivable

Question 19

The following amounts are the ending balances from Lavender Water Distillery accounting records for December 31, 2014.
   
a) For the items listed above, fill in the appropriate classification to indicate whether the item is an asset, liability, or shareholders' equity item.
b) Calculate the total assets, total liabilities, and total shareholders' equity.

Accepted Answer

Part a
 @#IMG-DLM&

Question 20

On which financial statements are dividends shown?

Accepted Answer

Statement of retaine

If total assets remain the same and total shareholders' equity increases, liabilities will:

Calculate the missing amount in each category of the accounting equation.

The main goal of understanding the process of accounting is to help ensure that the business is:

Cash and accounts receivable are both a part of:

Walmart is an example of a corporate merchandising business.

For each of the following items indicate in the column whether the item is an asset (A), liability (L), or Shareholders' Equity (SE).

A company has $123,000 in assets and $65,000 in liabilities. Determine the amount of shareholders' equity.

Given the information below, place an (SP) if the statement describes a sole proprietorship, a (P) if the statement describes a partnership, and a (C) if the statement describes a corporation.

A business purchases a computer for cash. What effect does this have on the accounting equation?

The main role of accounting is to compile reports to determine the profit made by a company over a period of time.

A net income or loss is shown on the __________.

Which of the following is a False statement?

Which of the following types of organizations would produce goods?

Mathew owns an art supplies store. In the initial accounting records, he included his personal computer and all of his personal art supplies. Mathew is violating what principle of accounting?

The Flower Company's beginning retained earnings are $31,000; sales are $46,800; expenses are $43,500 and dividends paid are $2,800. Calculate the ending retained earnings.

International Financial Reporting Standards (IFRS) became effective in Canada on what date?

Lauren purchased a computer on account for her business. How will this transaction affect the accounting equation?

Brandon borrowed money for his business from a local bank. What accounts will be affected?

On which financial statements are dividends shown?

Analyzing and Recording Business Transactions

Adjusting and Closing Entries

Ethics, Internal Control, and Cash

Accounting for a Merchandising Business

Inventory

Sales and Receivables

Long-Term Assets

Current Liabilities and Long-Term Debt

Corporations: Share Capital and Retained Earnings

The Cash Flow Statement

Financial Statement Analysis

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Exam 1: Business, Accounting, and You

If total assets remain the same and total shareholders' equity increases, liabilities will:

Calculate the missing amount in each category of the accounting equation.

The main goal of understanding the process of accounting is to help ensure that the business is:

Cash and accounts receivable are both a part of:

Walmart is an example of a corporate merchandising business.

For each of the following items indicate in the column whether the item is an asset (A), liability (L), or Shareholders' Equity (SE).

A company has $123,000 in assets and $65,000 in liabilities. Determine the amount of shareholders' equity.

Given the information below, place an (SP) if the statement describes a sole proprietorship, a (P) if the statement describes a partnership, and a (C) if the statement describes a corporation.

A business purchases a computer for cash. What effect does this have on the accounting equation?

The main role of accounting is to compile reports to determine the profit made by a company over a period of time.

A net income or loss is shown on the __________.

Which of the following is a False statement?

Which of the following types of organizations would produce goods?

Mathew owns an art supplies store. In the initial accounting records, he included his personal computer and all of his personal art supplies. Mathew is violating what principle of accounting?

The Flower Company's beginning retained earnings are $31,000; sales are $46,800; expenses are $43,500 and dividends paid are $2,800. Calculate the ending retained earnings.

International Financial Reporting Standards (IFRS) became effective in Canada on what date?

Lauren purchased a computer on account for her business. How will this transaction affect the accounting equation?

Brandon borrowed money for his business from a local bank. What accounts will be affected?

On which financial statements are dividends shown?

Analyzing and Recording Business Transactions

Adjusting and Closing Entries

Ethics, Internal Control, and Cash

Accounting for a Merchandising Business

Inventory

Sales and Receivables

Long-Term Assets

Current Liabilities and Long-Term Debt

Corporations: Share Capital and Retained Earnings

The Cash Flow Statement

Financial Statement Analysis

Filters