Question 1

To ensure accuracy and consistency in the way financial information is reported,accountants have historically followed which of the following rules?

Accepted Answer

A)  generally accepted accounting principles 
B)  comparable accounting standards 
C)  accounting rules and principles 
D)  principled accounting procedures 
A)  generally accepted accounting principles 
B)  comparable accounting standards 
C)  accounting rules and principles 
D)  principled accounting procedures

Question 2

Trademarks,franchises,patents,and copyrights are carried on the company's books as which of the following?

Accepted Answer

A)  intangible assets 
B)  owners' equity 
C)  tangible assets 
D)  long-term assets 
A)  intangible assets 
B)  owners' equity 
C)  tangible assets 
D)  long-term assets

Question 3

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 4

Which of the following is the company's ability to expense fixed assets over their useful life?

Accepted Answer

A)  capital budgeting 
B)  depreciation 
C)  acceleration 
D)  assetization 
A)  capital budgeting 
B)  depreciation 
C)  acceleration 
D)  assetization

Question 5

Which of the following is the BEST example of a current asset for a clinical psychologist?

Accepted Answer

A)  the building in which his clinic is located 
B)  money he pays for rent and utilities 
C)  credit card charges by patients 
D)  his reputation as a compassionate man 
A)  the building in which his clinic is located 
B)  money he pays for rent and utilities 
C)  credit card charges by patients 
D)  his reputation as a compassionate man

Question 6

Which of the following are temporary investments of excess cash in bonds and shares that can readily be converted into cash?

Accepted Answer

A)  marketable securities 
B)  accounts receivable 
C)  owners' net contribution margins 
D)  notes payable 
A)  marketable securities 
B)  accounts receivable 
C)  owners' net contribution margins 
D)  notes payable

Question 7

Financial accounting produces financial reports that are important to which of the following groups?

Accepted Answer

A)  Canada Revenue Agency 
B)  managers 
C)  supervisors 
D)  employees 
A)  Canada Revenue Agency 
B)  managers 
C)  supervisors 
D)  employees

Question 8

On a statement of cash flows for a manufacturer of digital thermometers,the cash flows from operating activities would include which of the following?

Accepted Answer

A)  the sale of land adjacent to the manufacturer's administrative office building 
B)  repayment of long-term loan by a wholesaler of weather-related items 
C)  increases in the manufacturer's inventory 
D)  the money borrowed from the bank to start the company 
A)  the sale of land adjacent to the manufacturer's administrative office building 
B)  repayment of long-term loan by a wholesaler of weather-related items 
C)  increases in the manufacturer's inventory 
D)  the money borrowed from the bank to start the company

Question 9

In accounting,every transaction must be recorded as two entries.This system is known as which of the following?

Accepted Answer

A)  dual-notation bookkeeping 
B)  double-entry bookkeeping 
C)  double-decker bookkeeping 
D)  accounting-cycle bookkeeping 
A)  dual-notation bookkeeping 
B)  double-entry bookkeeping 
C)  double-decker bookkeeping 
D)  accounting-cycle bookkeeping

Question 10

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

Accepted Answer

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

Question 11

Which of the following terms equals the total profits of a company minus all dividends (distributions of profits)to shareholders?

Accepted Answer

A)  net earnings 
B)  net worth 
C)  retained earnings 
D)  owners' equity 
A)  net earnings 
B)  net worth 
C)  retained earnings 
D)  owners' equity

Question 12

What do debt ratios measure?

Accepted Answer

the degree and effec

Question 13

What is the difference between net sales and cost of goods sold?

Accepted Answer

A)  net income 
B)  general income 
C)  net revenues 
D)  gross profit 
A)  net income 
B)  general income 
C)  net revenues 
D)  gross profit

Question 14

Another term for "net worth" is "working capital."

Accepted Answer

A) True 
 B)False

Question 15

Which of the following deals with the internal operation of the firm?

Accepted Answer

A)  managerial accounting 
B)  auditing accounting 
C)  bookkeeping 
D)  financial accounting 
A)  managerial accounting 
B)  auditing accounting 
C)  bookkeeping 
D)  financial accounting

Question 16

Dayton Industries manufactures the motors used in heating and air conditioning systems.It had sales of $300,000 during the last quarter.Its gross profit was $120,000.On an income statement,an accountant would classify the remaining $180,000 as which of the following?

Accepted Answer

A)  cost of production 
B)  operating expenses 
C)  cost of goods sold 
D)  production income 
A)  cost of production 
B)  operating expenses 
C)  cost of goods sold 
D)  production income

Question 17

Earnings per share is the dollar amount earned by each share,not the actual amount given to shareholders in the form of dividends.

Accepted Answer

A) True 
 B)False

Question 18

What are amounts owed to the firm by customers who bought goods and services on credit?

Accepted Answer

A)  notes payable 
B)  owners' equity 
C)  marketable receivables 
D)  accounts receivable 
A)  notes payable 
B)  owners' equity 
C)  marketable receivables 
D)  accounts receivable

Question 19

Which of the following is an example of a cost of goods sold for a manufacturer of electric fans?

Accepted Answer

A)  overtime hours needed to fill a large summer order 
B)  the office phone bill 
C)  sales commissions 
D)  factory utilities 
A)  overtime hours needed to fill a large summer order 
B)  the office phone bill 
C)  sales commissions 
D)  factory utilities

Question 20

What is the dollar amount of sales plus any other income received from sources such as interest and dividends?

Accepted Answer

A)  revenues 
B)  capital 
C)  intangible assets 
D)  equities 
A)  revenues 
B)  capital 
C)  intangible assets 
D)  equities

To ensure accuracy and consistency in the way financial information is reported,accountants have historically followed which of the following rules?

Trademarks,franchises,patents,and copyrights are carried on the company's books as which of the following?

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?

Which of the following is the company's ability to expense fixed assets over their useful life?

Which of the following is the BEST example of a current asset for a clinical psychologist?

Which of the following are temporary investments of excess cash in bonds and shares that can readily be converted into cash?

Financial accounting produces financial reports that are important to which of the following groups?

On a statement of cash flows for a manufacturer of digital thermometers,the cash flows from operating activities would include which of the following?

In accounting,every transaction must be recorded as two entries.This system is known as which of the following?

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

Which of the following terms equals the total profits of a company minus all dividends (distributions of profits)to shareholders?

What do debt ratios measure?

What is the difference between net sales and cost of goods sold?

Another term for "net worth" is "working capital."

Which of the following deals with the internal operation of the firm?

Dayton Industries manufactures the motors used in heating and air conditioning systems.It had sales of $300,000 during the last quarter.Its gross profit was $120,000.On an income statement,an accountant would classify the remaining $180,000 as which of the following?

Earnings per share is the dollar amount earned by each share,not the actual amount given to shareholders in the form of dividends.

What are amounts owed to the firm by customers who bought goods and services on credit?

Which of the following is an example of a cost of goods sold for a manufacturer of electric fans?

What is the dollar amount of sales plus any other income received from sources such as interest and dividends?

understanding Evolving Economic Systems and Competition

the Global Marketplace and Governments’ Roles

Social Trends, social Responsibility, and Making Ethical Decisions in Business

Using Technology to Manage Information and for Business Success

Forms of Business Ownership

Entrepreneurship and Small Business

Management and Leadership in Today’s Organizations

Designing Organizational Structures

Motivating Employees

Managing Human Resources and Labour Relations

Achieving World-class Operations Management

Understanding the Customer

Creating Marketing Strategies

Understanding Money, financial Institutions, and the Securities Markets

Managing the Firm’s Finances

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Exam 14: Using Financial Information and Accounting

To ensure accuracy and consistency in the way financial information is reported,accountants have historically followed which of the following rules?

Trademarks,franchises,patents,and copyrights are carried on the company's books as which of the following?

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?

Which of the following is the company's ability to expense fixed assets over their useful life?

Which of the following is the BEST example of a current asset for a clinical psychologist?

Which of the following are temporary investments of excess cash in bonds and shares that can readily be converted into cash?

Financial accounting produces financial reports that are important to which of the following groups?

On a statement of cash flows for a manufacturer of digital thermometers,the cash flows from operating activities would include which of the following?

In accounting,every transaction must be recorded as two entries.This system is known as which of the following?

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

Which of the following terms equals the total profits of a company minus all dividends (distributions of profits)to shareholders?

What do debt ratios measure?

What is the difference between net sales and cost of goods sold?

Another term for "net worth" is "working capital."

Which of the following deals with the internal operation of the firm?

Dayton Industries manufactures the motors used in heating and air conditioning systems.It had sales of $300,000 during the last quarter.Its gross profit was $120,000.On an income statement,an accountant would classify the remaining $180,000 as which of the following?

Earnings per share is the dollar amount earned by each share,not the actual amount given to shareholders in the form of dividends.

What are amounts owed to the firm by customers who bought goods and services on credit?

Which of the following is an example of a cost of goods sold for a manufacturer of electric fans?

What is the dollar amount of sales plus any other income received from sources such as interest and dividends?

understanding Evolving Economic Systems and Competition

the Global Marketplace and Governments’ Roles

Social Trends, social Responsibility, and Making Ethical Decisions in Business

Using Technology to Manage Information and for Business Success

Forms of Business Ownership

Entrepreneurship and Small Business

Management and Leadership in Today’s Organizations

Designing Organizational Structures

Motivating Employees

Managing Human Resources and Labour Relations

Achieving World-class Operations Management

Understanding the Customer

Creating Marketing Strategies

Understanding Money, financial Institutions, and the Securities Markets

Managing the Firm’s Finances

Filters