Question 1

Which of the following is an example of an intangible asset for a manufacturer of padlocks?

Accepted Answer

A)  patent on a titanium lock mechanism 
B)  money owed to the company by a superstore chain 
C)  machine for forming the locks out of sheet metal 
D)  warehouse for storing locks 
A)  patent on a titanium lock mechanism 
B)  money owed to the company by a superstore chain 
C)  machine for forming the locks out of sheet metal 
D)  warehouse for storing locks A

Question 2

Which of the following is NOT a current liability?

Accepted Answer

A)  income taxes payable 
B)  accrued expenses 
C)  note payable 
D)  account receivable 
A)  income taxes payable 
B)  accrued expenses 
C)  note payable 
D)  account receivable D

Question 3

What is a short-term loan from a bank, supplier, or others that must be repaid within a year?

Accepted Answer

A)  account payable 
B)  note receivable 
C)  note payable 
D)  account receivable 
A)  account payable 
B)  note receivable 
C)  note payable 
D)  account receivable C

Question 4

Which of the following is an example of a long-term liability?

Accepted Answer

A)  account payable 
B)  bonds 
C)  note payable 
D)  accrued expenses 
A)  account payable 
B)  bonds 
C)  note payable 
D)  accrued expenses

Question 5

Not-for-profit organizations and many privately owned ones will often use which of the following terms instead of statement of financial position?

Accepted Answer

A)  balance sheet 
B)  trial balance 
C)  income statement 
D)  net worth statement 
A)  balance sheet 
B)  trial balance 
C)  income statement 
D)  net worth statement

Question 6

Allatoona Ceramics recently purchased a new kiln for $49,000. Allatoona Ceramics is allowed to charge a portion of the company's cost during its useful life against the profits it generates. What is this practice called?

Accepted Answer

A)  assetization 
B)  acceleration 
C)  deceleration 
D)  depreciation 
A)  assetization 
B)  acceleration 
C)  deceleration 
D)  depreciation

Question 7

How would the monthly charges that customers make at a hardware store be classified on the store's balance statement?

Accepted Answer

The answer of How would the monthly charges that customers...

Question 8

All publicly traded companies must include a statement of cash flows in their financial reports to shareholders.

Accepted Answer

A) True 
 B)False

Question 9

In what order are current assets placed on the balance sheet?

Accepted Answer

The most liquid asse

Question 10

An accountant who works primarily in industry and focuses on internal management accounting is known as a certified general accountant.

Accepted Answer

A) True 
 B)False

Question 11

Which of the following is an example of a liability that might be owed by a discount shoe store?

Accepted Answer

A)  promotional signs 
B)  money owed to shoe distributors 
C)  money in the cash register 
D)  the reduced prices paid by customers 
A)  promotional signs 
B)  money owed to shoe distributors 
C)  money in the cash register 
D)  the reduced prices paid by customers

Question 12

International Financial Reporting Standards will first be adopted by which of the following in Canada?

Accepted Answer

A)  companies with government loans owing 
B)  publicly accountable organizations 
C)  for-profit companies only 
D)  all companies 
A)  companies with government loans owing 
B)  publicly accountable organizations 
C)  for-profit companies only 
D)  all companies

Question 13

The $200 fee owed to a landscape designer for work done two months ago is an example of a note receivable.

Accepted Answer

A) True 
 B)False

Question 14

The final figure or bottom line on an income statement is called the net revenue.

Accepted Answer

A) True 
 B)False

Question 15

What is the acceptable inventory turnover ratio?

Accepted Answer

A)  once every 60 days 
B)  once per year 
C)  once every 90 days 
D)  differs for each industry 
A)  once every 60 days 
B)  once per year 
C)  once every 90 days 
D)  differs for each industry

Question 16

The ratio of net profit to net sales is the net profit margin. What is another term for it?

Accepted Answer

A)  return on revenue 
B)  return on earnings 
C)  return on equity 
D)  return on sales 
A)  return on revenue 
B)  return on earnings 
C)  return on equity 
D)  return on sales

Question 17

On an income statement, what are operating expenses that cannot be linked to cost of goods sold or to sales?

Accepted Answer

A)  incidental expenses 
B)  functional expenses 
C)  miscellaneous expenses 
D)  general and administrative expenses 
A)  incidental expenses 
B)  functional expenses 
C)  miscellaneous expenses 
D)  general and administrative expenses

Question 18

On an income statement, what are expenses such as professional salaries, office salaries, office supplies, rent, and insurance?

Accepted Answer

A)  miscellaneous expenses 
B)  managerial expenses 
C)  functional expenses 
D)  general and administrative expenses 
A)  miscellaneous expenses 
B)  managerial expenses 
C)  functional expenses 
D)  general and administrative expenses

Question 19

A company that specializes in planning parties for children had $7,000 of inventory on January 1, 2007, and it had $5,000 of inventory on December 31, 2007. If its cost of goods sold for that period was $10,000, and its net profit was $9,000, which of the following represents its inventory turnover ratio?

Accepted Answer

A)  3 times 
B)  1.67 times 
C)  1.5 times 
D)  1 times 
A)  3 times 
B)  1.67 times 
C)  1.5 times 
D)  1 times

Question 20

Which of the following is a summary of the money flowing into and out of a company?

Accepted Answer

A)  short-term budget 
B)  statement of cash flows 
C)  balance sheet 
D)  income statement 
A)  short-term budget 
B)  statement of cash flows 
C)  balance sheet 
D)  income statement

Which of the following is an example of an intangible asset for a manufacturer of padlocks?

Which of the following is NOT a current liability?

What is a short-term loan from a bank, supplier, or others that must be repaid within a year?

Which of the following is an example of a long-term liability?

Not-for-profit organizations and many privately owned ones will often use which of the following terms instead of statement of financial position?

Allatoona Ceramics recently purchased a new kiln for $49,000. Allatoona Ceramics is allowed to charge a portion of the company's cost during its useful life against the profits it generates. What is this practice called?

How would the monthly charges that customers make at a hardware store be classified on the store's balance statement?

All publicly traded companies must include a statement of cash flows in their financial reports to shareholders.

In what order are current assets placed on the balance sheet?

An accountant who works primarily in industry and focuses on internal management accounting is known as a certified general accountant.

Which of the following is an example of a liability that might be owed by a discount shoe store?

International Financial Reporting Standards will first be adopted by which of the following in Canada?

The $200 fee owed to a landscape designer for work done two months ago is an example of a note receivable.

The final figure or bottom line on an income statement is called the net revenue.

What is the acceptable inventory turnover ratio?

The ratio of net profit to net sales is the net profit margin. What is another term for it?

On an income statement, what are operating expenses that cannot be linked to cost of goods sold or to sales?

On an income statement, what are expenses such as professional salaries, office salaries, office supplies, rent, and insurance?

Which of the following is a summary of the money flowing into and out of a company?

Political Environment

Economic Environment

Social Environment

Technological Environment

International Environment

Entrepreneurship and Small Business

Understanding the Business

Forms of Business Ownership

Management and Leadership in Today’s Organizations

Designing Organizational Structures

Motivating Employees

Managing Human Resources and Labour Relations

Marketing

Creating Marketing Strategies

Achieving World-class Operations Management

Understanding Money and the Canadian Financial System

Finance

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Exam 16: Accounting for Financial Success

Which of the following is an example of an intangible asset for a manufacturer of padlocks?

Which of the following is NOT a current liability?

What is a short-term loan from a bank, supplier, or others that must be repaid within a year?

Which of the following is an example of a long-term liability?

Not-for-profit organizations and many privately owned ones will often use which of the following terms instead of statement of financial position?

Allatoona Ceramics recently purchased a new kiln for $49,000. Allatoona Ceramics is allowed to charge a portion of the company's cost during its useful life against the profits it generates. What is this practice called?

How would the monthly charges that customers make at a hardware store be classified on the store's balance statement?

All publicly traded companies must include a statement of cash flows in their financial reports to shareholders.

In what order are current assets placed on the balance sheet?

An accountant who works primarily in industry and focuses on internal management accounting is known as a certified general accountant.

Which of the following is an example of a liability that might be owed by a discount shoe store?

International Financial Reporting Standards will first be adopted by which of the following in Canada?

The $200 fee owed to a landscape designer for work done two months ago is an example of a note receivable.

The final figure or bottom line on an income statement is called the net revenue.

What is the acceptable inventory turnover ratio?

The ratio of net profit to net sales is the net profit margin. What is another term for it?

On an income statement, what are operating expenses that cannot be linked to cost of goods sold or to sales?

On an income statement, what are expenses such as professional salaries, office salaries, office supplies, rent, and insurance?

Which of the following is a summary of the money flowing into and out of a company?

Political Environment

Economic Environment

Social Environment

Technological Environment

International Environment

Entrepreneurship and Small Business

Understanding the Business

Forms of Business Ownership

Management and Leadership in Today’s Organizations

Designing Organizational Structures

Motivating Employees

Managing Human Resources and Labour Relations

Marketing

Creating Marketing Strategies

Achieving World-class Operations Management

Understanding Money and the Canadian Financial System

Finance

Filters