Question 1

When a business borrows money,it incurs a(n):

Accepted Answer

A) tax. 
B) liability. 
C) receivable. 
D) additional equity. 
A) tax. 
B) liability. 
C) receivable. 
D) additional equity. B

Question 2

A summary of changes in the earnings retained by the corporation for a specific period of time is known as a(n):

Accepted Answer

A) income statement. 
B) balance sheet. 
C) statement of cash flows. 
D) retained earnings statement. 
A) income statement. 
B) balance sheet. 
C) statement of cash flows. 
D) retained earnings statement. D

Question 3

A corporation is .

Accepted Answer

A) an entity that is organized according to state or federal statutes and in which ownership is divided into shares of stock 
B) an entity that is owned by an individual 
C) an entity which has unlimited liability to creditors for the debts of the company 
D) an entity which has limited access to capital 
A) an entity that is organized according to state or federal statutes and in which ownership is divided into shares of stock 
B) an entity that is owned by an individual 
C) an entity which has unlimited liability to creditors for the debts of the company 
D) an entity which has limited access to capital A

Question 4

The purchase of factory equipment would be an example of which type of business activity?

Accepted Answer

A) Financing 
B) Investing 
C) Operating 
D) All of these 
A) Financing 
B) Investing 
C) Operating 
D) All of these

Question 5

Which of the following are business stakeholders?

Accepted Answer

A) Stockholders 
B) Suppliers 
C) Customers 
D) All of these 
A) Stockholders 
B) Suppliers 
C) Customers 
D) All of these

Question 6

Three different companies--A,B,and C--have the same balance sheet at the beginning and the end of a year.These are summarized below:

Given the data above and the additional information for each company below, determine the net income (loss) for each company.

Accepted Answer

Company A Net income

Question 7

Name the three different types of businesses that operate for profit and their respective characteristics.

Accepted Answer

(1)Manufacturing: These businesses chang

Question 8

Use the following information to determine Total Stockholders' Equity:

Accepted Answer

A) $58,000 
B) $27,000 
C) $32,000 
D) $40,000 
A) $58,000 
B) $27,000 
C) $32,000 
D) $40,000

Question 9

Which of the following is true about limited liability company?

Accepted Answer

A) It is taxed as a separate legal entity. 
B) It combines attributes of a partnership and a corporation. 
C) Its financial resources are limited to the individual owner's resources. 
D) Its formation process is complex. 
A) It is taxed as a separate legal entity. 
B) It combines attributes of a partnership and a corporation. 
C) Its financial resources are limited to the individual owner's resources. 
D) Its formation process is complex.

Question 10

Merchandising businesses produce products rather than provide services to customers.

Accepted Answer

A) True 
 B)False

Question 11

Describe business stakeholders.State the classification of business stakeholders.

Accepted Answer

Business stakeholders are persons or ent

Question 12

Indicate whether each of the following activities would be reported on the statement of cash flows as an operating activity,an investing activity,a financing activity,or does not appear on the statement of cash flows.
(a)	Cash paid for building
(b)	Cash paid to suppliers
(c)	Cash paid for dividends
(d)	Cash received from customers
(e)	Cash received from the sale of capital stock.
(f)	Cash received from the sale of a building
(g)	Borrowed cash from a bank

Accepted Answer

(a)Investing activity 
(b)Oper

Question 13

Review Coke­Cola's financial statements and answer the following questions:

Accepted Answer

(1)In millions of dollars
 (2)

Question 14

Managers are evaluated primarily on the business's:

Accepted Answer

A) tax collections. 
B) growth. 
C) economic performance. 
D) all of these. 
A) tax collections. 
B) growth. 
C) economic performance. 
D) all of these.

Question 15

Which of the following businesses use a premium-price emphasis?

Accepted Answer

A) Value City Furniture selling furniture at affordable prices 
B) Tommy Hilfiger selling products that have a unique image 
C) Wal-Mart reselling standardized products 
D) Southwest Airlines providing standardized services 
A) Value City Furniture selling furniture at affordable prices 
B) Tommy Hilfiger selling products that have a unique image 
C) Wal-Mart reselling standardized products 
D) Southwest Airlines providing standardized services

Question 16

Who has the first preference to assets in case a business fails?

Accepted Answer

A) Stockholders 
B) Long-term creditors 
C) Customers 
D) Employees 
A) Stockholders 
B) Long-term creditors 
C) Customers 
D) Employees

Question 17

Match the following items with the appropriate financial statement:
a.Income statement
b.Balance sheet
c.Retained earnings statement
d.Statement of cash flows
(1)Cash
(2)Salary expense
(3)Unearned revenue
(4)Depreciation expense
(5)Capital stock
(6)Cash flows from operating activities
(7)Accounts receivable
(8)Beginning balance of retained earnings
(9)Notes payable
(10)Accounts payable
(11)Changes in current assets and current liabilities
(12)Total expenses

Accepted Answer

(1)Balance sheet
 (2)Income statement 
(

Question 18

The ownership of a proprietorship is divided into shares of stock owned by its stockholders.

Accepted Answer

A) True 
 B)False

Question 19

A summary of the cash receipts and cash payments for a specific period of time is a(n):

Accepted Answer

A) income statement. 
B) balance sheet. 
C) statement of cash flows. 
D) retained earnings statement. 
A) income statement. 
B) balance sheet. 
C) statement of cash flows. 
D) retained earnings statement.

Question 20

Tadeo,Inc.had the following account balances at September 30,2015.What is Tadeo's net income for the month of September?

Accepted Answer

A) $10,800 
B) $14,350 
C) $14,450 
D) $27,500 
A) $10,800 
B) $14,350 
C) $14,450 
D) $27,500

When a business borrows money,it incurs a(n):

A summary of changes in the earnings retained by the corporation for a specific period of time is known as a(n):

A corporation is .

The purchase of factory equipment would be an example of which type of business activity?

Which of the following are business stakeholders?

Three different companies--A,B,and C--have the same balance sheet at the beginning and the end of a year.These are summarized below: Given the data above and the additional information for each company below, determine the net income (loss) for each company.

Name the three different types of businesses that operate for profit and their respective characteristics.

Use the following information to determine Total Stockholders' Equity:

Which of the following is true about limited liability company?

Merchandising businesses produce products rather than provide services to customers.

Describe business stakeholders.State the classification of business stakeholders.

Review CokeCola's financial statements and answer the following questions:

Managers are evaluated primarily on the business's:

Which of the following businesses use a premium-price emphasis?

Who has the first preference to assets in case a business fails?

The ownership of a proprietorship is divided into shares of stock owned by its stockholders.

A summary of the cash receipts and cash payments for a specific period of time is a(n):

Tadeo,Inc.had the following account balances at September 30,2015.What is Tadeo's net income for the month of September?

Basic Accounting Concepts

Accrual Accounting Concepts

Accounting for Merchandising Businesses

Sarbanes-Oxley, internal Control, and Cash

Receivables and Inventories

Fixed Assets and Intangible Assets

Liabilities and Stockholders Equity

Financial Statement Analysis

Accounting Systems for Manufacturing Businesses

Cost Behavior and Cost-Volume-Profit Analysis

Differential Analysis and Product Pricing

Budgeting and Standard Cost Systems

Performance Evaluation for Decentralized Operations

Capital Investment Analysis

Filters

Exam 1: The Role of Accounting in Business

When a business borrows money,it incurs a(n):

A summary of changes in the earnings retained by the corporation for a specific period of time is known as a(n):

A corporation is .

The purchase of factory equipment would be an example of which type of business activity?

Which of the following are business stakeholders?

Three different companies--A,B,and C--have the same balance sheet at the beginning and the end of a year.These are summarized below: Given the data above and the additional information for each company below, determine the net income (loss) for each company.

Name the three different types of businesses that operate for profit and their respective characteristics.

Use the following information to determine Total Stockholders' Equity:

Which of the following is true about limited liability company?

Merchandising businesses produce products rather than provide services to customers.

Describe business stakeholders.State the classification of business stakeholders.

Review Coke­Cola's financial statements and answer the following questions:

Managers are evaluated primarily on the business's:

Which of the following businesses use a premium-price emphasis?

Who has the first preference to assets in case a business fails?

The ownership of a proprietorship is divided into shares of stock owned by its stockholders.

A summary of the cash receipts and cash payments for a specific period of time is a(n):

Tadeo,Inc.had the following account balances at September 30,2015.What is Tadeo's net income for the month of September?

Basic Accounting Concepts

Accrual Accounting Concepts

Accounting for Merchandising Businesses

Sarbanes-Oxley, internal Control, and Cash

Receivables and Inventories

Fixed Assets and Intangible Assets

Liabilities and Stockholders Equity

Financial Statement Analysis

Accounting Systems for Manufacturing Businesses

Cost Behavior and Cost-Volume-Profit Analysis

Differential Analysis and Product Pricing

Budgeting and Standard Cost Systems

Performance Evaluation for Decentralized Operations

Capital Investment Analysis

Filters

Review CokeCola's financial statements and answer the following questions: