Question 1

Venice's commerce was driven by sea traffic.

Accepted Answer

A) True 
 B)False

Question 2

Securities markets influence corporate reporting

Accepted Answer

A)  by forcing companies to increase the quantity and quality of their disclosures. 
B)  in industrial but not developing countries. 
C)  by requiring significant social disclosures due to pressure from Europe. 
D)  by eliminating the need for voluntary disclosures. 
A)  by forcing companies to increase the quantity and quality of their disclosures. 
B)  in industrial but not developing countries. 
C)  by requiring significant social disclosures due to pressure from Europe. 
D)  by eliminating the need for voluntary disclosures.

Question 3

Which of the following is a true statement concerning MNEs?

Accepted Answer

A)  Developing country MNEs tend to come from the industrial sector rather than the services and utilities sectors 
B)  There are no MNEs from developing countries due to small market size. 
C)  Top developing country MNEs tend to come from Eastern Europe. 
D)  Latin American and Asian MNEs are the most significant of the emerging market companies. 
A)  Developing country MNEs tend to come from the industrial sector rather than the services and utilities sectors 
B)  There are no MNEs from developing countries due to small market size. 
C)  Top developing country MNEs tend to come from Eastern Europe. 
D)  Latin American and Asian MNEs are the most significant of the emerging market companies.

Question 4

Double entry bookkeeping quickly had world-wide acceptance, as the British accepted it in the 1400s.

Accepted Answer

A) True 
 B)False

Question 5

The first step into international business is usually the creation of a foreign subsidiary.

Accepted Answer

A) True 
 B)False

Question 6

The wider audience of users of financial information (employees, trade unions, consumers, etc.)

Accepted Answer

A)  is relatively unimportant in any country due to their lack of political and financial power. 
B)  want the same information as do providers of capital. 
C)  tend to pursue a different set of information due to their nontraditional goals. 
D)  want information that really doesn't affect corporate behavior and performance. 
A)  is relatively unimportant in any country due to their lack of political and financial power. 
B)  want the same information as do providers of capital. 
C)  tend to pursue a different set of information due to their nontraditional goals. 
D)  want information that really doesn't affect corporate behavior and performance.

Question 7

During the industrialization period,

Accepted Answer

A)  trade restrictions were eliminated so that countries could trade freely with each other. 
B)  mass production and standardization of products increased dramatically. 
C)  the center of commerce shifted from southern Europe to northern Europe. 
D)  companies located in large domestic markets had to turn to exporting. 
A)  trade restrictions were eliminated so that countries could trade freely with each other. 
B)  mass production and standardization of products increased dramatically. 
C)  the center of commerce shifted from southern Europe to northern Europe. 
D)  companies located in large domestic markets had to turn to exporting.

Question 8

Firm-specific advantages refer to

Accepted Answer

A)  assets that can be easily duplicated by competitors. 
B)  the fact that firms typically operate in specific industries. 
C)  advantages that firms get from operating in specific countries or regions of the world. 
D)  the intangible assets that firms own. 
A)  assets that can be easily duplicated by competitors. 
B)  the fact that firms typically operate in specific industries. 
C)  advantages that firms get from operating in specific countries or regions of the world. 
D)  the intangible assets that firms own.

Question 9

If a firm is not involved in international commercial transactions, knowledge of international business is unnecessary.
Multiple Choice

Accepted Answer

A) True 
 B)False

Question 10

The underlying reason for national differences in accounting systems is:

Accepted Answer

A)  computers 
B)  globalization 
C)  the invention of the printing press 
D)  environmental 
A)  computers 
B)  globalization 
C)  the invention of the printing press 
D)  environmental

Question 11

Sarbanes/Oxley

Accepted Answer

A)  is designed to increase tax revenues 
B)  will solve the ownership control problem 
C)  is likely to prove to be a barrier to entry in U.S. markets 
D)  wants information that really doesn't affect corporate behavior and performance. 
A)  is designed to increase tax revenues 
B)  will solve the ownership control problem 
C)  is likely to prove to be a barrier to entry in U.S. markets 
D)  wants information that really doesn't affect corporate behavior and performance.

Question 12

How do societal values and accounting values interact with each other to establish accounting systems?

Accepted Answer

A)  Accounting values indirectly affect accounting systems through their impact on institutional consequences 
B)  Societal values affect accounting values, and accounting values also modify societal values. 
C)  Accounting systems are influenced directly by societal values. 
D)  Accounting systems are indirectly influenced by societal values through their impact on accounting values and institutional consequences (such as legal systems, capital markets, etc.) 
A)  Accounting values indirectly affect accounting systems through their impact on institutional consequences 
B)  Societal values affect accounting values, and accounting values also modify societal values. 
C)  Accounting systems are influenced directly by societal values. 
D)  Accounting systems are indirectly influenced by societal values through their impact on accounting values and institutional consequences (such as legal systems, capital markets, etc.)

Question 13

Where there is state ownership

Accepted Answer

A)  the customs and values of the follow the common law tradition 
B)  central control will tend to override the serving of microeconomic objectives. 
C)  behavior should be judged in terms of a relative outside standard. 
D)  secrecy and transparency coexist. 
A)  the customs and values of the follow the common law tradition 
B)  central control will tend to override the serving of microeconomic objectives. 
C)  behavior should be judged in terms of a relative outside standard. 
D)  secrecy and transparency coexist.

Question 14

Which of the following is not true about Luca Pacioli?

Accepted Answer

A)  He did not claim that he developed double entry accounting. 
B)  He started the first accounting program in Italy. 
C)  He was a Franciscan monk. 
D)  He was not a merchant or bookkeeper. 
A)  He did not claim that he developed double entry accounting. 
B)  He started the first accounting program in Italy. 
C)  He was a Franciscan monk. 
D)  He was not a merchant or bookkeeper.

Question 15

Luca Pacioli (or Paciolo) is best known for

Accepted Answer

A)  developing an accounting system based on the banks rather than non-bank commercial enterprises. 
B)  developing the printing press. 
C)  publishing a mathematics book that contains a chapter on double entry accounting. 
D)  developing the commercial activities of the Franciscan monks, which resulted in the development of double entry accounting. 
A)  developing an accounting system based on the banks rather than non-bank commercial enterprises. 
B)  developing the printing press. 
C)  publishing a mathematics book that contains a chapter on double entry accounting. 
D)  developing the commercial activities of the Franciscan monks, which resulted in the development of double entry accounting.

Question 16

Which of the following is true concerning the impact of securities markets on corporate reporting?

Accepted Answer

A)  Most investors and creditors know what information they want, how they can use the information, and what the costs and benefits are of that information. 
B)  There is a strong correlation between well-developed capital markets and the extent of financial disclosure in corporate reports. 
C)  The wave of privatization is hampering disclosure, because state-owned firms cannot disclose the same information that private firms can. 
D)  There is a strong convergence of opinions on what corporate management wants to disclose and what financial providers want from management. 
A)  Most investors and creditors know what information they want, how they can use the information, and what the costs and benefits are of that information. 
B)  There is a strong correlation between well-developed capital markets and the extent of financial disclosure in corporate reports. 
C)  The wave of privatization is hampering disclosure, because state-owned firms cannot disclose the same information that private firms can. 
D)  There is a strong convergence of opinions on what corporate management wants to disclose and what financial providers want from management.

Question 17

In the compagnie accounting system developed in Florence,Italy in the 1200s,

Accepted Answer

A)  deferrals and accruals were common. 
B)  quarterly financial statements were required. 
C)  double entry accounting was unknown, so companies only recorded one side of a transaction. 
D)  provisions were made for the division of profits and losses. 
A)  deferrals and accruals were common. 
B)  quarterly financial statements were required. 
C)  double entry accounting was unknown, so companies only recorded one side of a transaction. 
D)  provisions were made for the division of profits and losses.

Venice's commerce was driven by sea traffic.

Securities markets influence corporate reporting

Which of the following is a true statement concerning MNEs?

Double entry bookkeeping quickly had world-wide acceptance, as the British accepted it in the 1400s.

The first step into international business is usually the creation of a foreign subsidiary.

The wider audience of users of financial information (employees, trade unions, consumers, etc.)

During the industrialization period,

Firm-specific advantages refer to

If a firm is not involved in international commercial transactions, knowledge of international business is unnecessary. Multiple Choice

The underlying reason for national differences in accounting systems is:

Sarbanes/Oxley

How do societal values and accounting values interact with each other to establish accounting systems?

Where there is state ownership

Which of the following is not true about Luca Pacioli?

Luca Pacioli (or Paciolo) is best known for

Which of the following is true concerning the impact of securities markets on corporate reporting?

In the compagnie accounting system developed in Florence,Italy in the 1200s,

International Accounting Patterns, Culture and Development

Comparative International Financial Accounting I

Comparative International Financial Accounting II

International Financial Statement Analysis

International Transparency and Disclosure

International Accounting Standards and Global Convergence

International Business Combinations, Goodwill and Intangibles

International Segment Reporting

Foreign Currency Transactions and Translation

International Accounting for Price Changes

Corporate Governance and Control of Global Operations

Foreign Exchange Risk Management

International Budgeting and Performance Evaluation

International Auditing Issues

International Taxation Issues

Filters

Exam 1: International Accounting and International Business

Venice's commerce was driven by sea traffic.

Securities markets influence corporate reporting

Which of the following is a true statement concerning MNEs?

Double entry bookkeeping quickly had world-wide acceptance, as the British accepted it in the 1400s.

The first step into international business is usually the creation of a foreign subsidiary.

The wider audience of users of financial information (employees, trade unions, consumers, etc.)

During the industrialization period,

Firm-specific advantages refer to

If a firm is not involved in international commercial transactions, knowledge of international business is unnecessary. Multiple Choice

The underlying reason for national differences in accounting systems is:

Sarbanes/Oxley

How do societal values and accounting values interact with each other to establish accounting systems?

Where there is state ownership

Which of the following is not true about Luca Pacioli?

Luca Pacioli (or Paciolo) is best known for

Which of the following is true concerning the impact of securities markets on corporate reporting?

In the compagnie accounting system developed in Florence,Italy in the 1200s,

International Accounting Patterns, Culture and Development

Comparative International Financial Accounting I

Comparative International Financial Accounting II

International Financial Statement Analysis

International Transparency and Disclosure

International Accounting Standards and Global Convergence

International Business Combinations, Goodwill and Intangibles

International Segment Reporting

Foreign Currency Transactions and Translation

International Accounting for Price Changes

Corporate Governance and Control of Global Operations

Foreign Exchange Risk Management

International Budgeting and Performance Evaluation

International Auditing Issues

International Taxation Issues

Filters