Question 1

John contributes cash in exchange for capital for his business, Bubble Wraps Inc. The two accounts involved in this transaction are:

Accepted Answer

A) Bubble Wraps, Capital account and the Cash account. 
B) the Cash account and John, Capital account. 
C) John, Payables account and the Capital account. 
D) Bubble Wraps, Capital account and John, Payables account. 
A) Bubble Wraps, Capital account and the Cash account. 
B) the Cash account and John, Capital account. 
C) John, Payables account and the Capital account. 
D) Bubble Wraps, Capital account and John, Payables account.

Question 2

Caleb Brown is the sole owner of a bicycle sales and repair shop from several years. Which of the following business types would limit Caleb's personal liability exposure to the entity's debts?

Accepted Answer

A) Partnership 
B) Limited-liability company 
C) Sole proprietorship 
D) Limited-liability partnership 
A) Partnership 
B) Limited-liability company 
C) Sole proprietorship 
D) Limited-liability partnership

Question 3

Which of the following will be categorized as an operating activity on the statement of cash flows?

Accepted Answer

A) cash received by selling old equipment 
B) cash paid for purchase of new machinery 
C) cash paid for purchase of raw materials 
D) cash received from issue of shares 
A) cash received by selling old equipment 
B) cash paid for purchase of new machinery 
C) cash paid for purchase of raw materials 
D) cash received from issue of shares

John contributes cash in exchange for capital for his business, Bubble Wraps Inc. The two accounts involved in this transaction are:

Caleb Brown is the sole owner of a bicycle sales and repair shop from several years. Which of the following business types would limit Caleb's personal liability exposure to the entity's debts?

Which of the following will be categorized as an operating activity on the statement of cash flows?

Recording Business Transactions

The Adjusting Process

Completing the Accounting Cycle

Merchandising Operations

Merchandise Inventory

Accounting Information Systems

Internal Control and Cash

Receivables

Plant Assets, Natural Resources, and Intangibles

Current Liabilities and Payroll

Partnerships

Corporations

Long-Term Liabilities

Investments

The Statement of Cash Flows

Financial Statement Analysis

Introduction to Managerial Accounting

Job Order Costing

Process Costing

Cost-Volume-Profit Analysis

Master Budgets

Flexible Budgets and Standard Cost Systems

Cost Allocation and Responsibility Accounting

Short-Term Business Decisions

Capital Investment Decisions

Filters

Exam 1: Accounting and the Business Environment

John contributes cash in exchange for capital for his business, Bubble Wraps Inc. The two accounts involved in this transaction are:

Caleb Brown is the sole owner of a bicycle sales and repair shop from several years. Which of the following business types would limit Caleb's personal liability exposure to the entity's debts?

Which of the following will be categorized as an operating activity on the statement of cash flows?

Recording Business Transactions

The Adjusting Process

Completing the Accounting Cycle

Merchandising Operations

Merchandise Inventory

Accounting Information Systems

Internal Control and Cash

Receivables

Plant Assets, Natural Resources, and Intangibles

Current Liabilities and Payroll

Partnerships

Corporations

Long-Term Liabilities

Investments

The Statement of Cash Flows

Financial Statement Analysis

Introduction to Managerial Accounting

Job Order Costing

Process Costing

Cost-Volume-Profit Analysis

Master Budgets

Flexible Budgets and Standard Cost Systems

Cost Allocation and Responsibility Accounting

Short-Term Business Decisions

Capital Investment Decisions

Filters