Exam 15: Global Accounting and Taxation

In the United States,an external audit must be conducted by a(n)_______.

The ______ is a financial statement that answers the question: What is the firm's financial position at a designated point in time.

When members of a corporate family are located in different countries,_________.

_______ accounting refers to the component of the accounting information system that provides the financial information needed internally by business managers for efficient and effective decision-making.

The highest corporate income taxes can be found in the United States and Japan.

Which financial statement answers the question: How much income did the firm earn or lose during the period?

Financial ratios are helpful in equalizing companies of different sizes for comparison of financial performance.

Neither U.S.GAAP nor IFRS permit use of the LIFO method.

Scenario - Brininger Enterprises Rapid City,South Dakota has been home to Brininger Enterprises since 1984.This company is recognized around the world for its superior cutlery and currently ranks as number three within the industry.In 2011,Brininger Enterprises recorded gross sales of over sixteen million dollars.From its gross sales,the company claimed net profits of four million dollars.Brininger Enterprises is quite proud of its performance.It realizes the company's financial records truly show this organization is doing something right. -Brininger Enterprises conducts international business.It realizes there are sometimes different accounting guidelines that need to be followed when dealing on an international level.In essence,there are differences between U.S.and international GAAP.Which one of the following is NOT a factor that would influence the development of accounting and financial reporting?

The first step of an audit typically is to _____.

Complete the following equation: ______ = Current Assets /Current Liabilities.

A typical AIS has two principal objectives: (1)to provide all the financial information internally needed by management for business decision-making,known as management accounting; and (2)to provide financial information to various external users concerned with the financial activities of the organization,known as financial accounting.

Financial accounting is the component of the AIS that provides financial information needed by _______ users,such as investors and lenders.

The _______ statement summarizes the revenues earned and the expenses incurred by a business over a period of time.

Of the following statements about tax rates in selected countries,which is NOT true?

Of the following statements about financial ratios,which is NOT true?

Scenario - Brininger Enterprises Rapid City,South Dakota has been home to Brininger Enterprises since 1984.This company is recognized around the world for its superior cutlery and currently ranks as number three within the industry.In 2011,Brininger Enterprises recorded gross sales of over sixteen million dollars.From its gross sales,the company claimed net profits of four million dollars.Brininger Enterprises is quite proud of its performance.It realizes the company's financial records truly show this organization is doing something right. -Brininger Enterprises conducts extensive internal audits to insure the reliability and accuracy of its accounting records.Which one of the following is least likely a step in its internal auditing process?

Pressures for the IASB to harmonize its accounting standards is coming from cross-border mergers and acquisitions and rapid growth in international capital markets.

Given the fact that lenders make money in both directions,both positive and negative trends in financial performance are good news for lenders.

According to the ________ inventory costing method,the cost of the first inventory unit purchased is assumed to be the first cost transferred out to cost of goods sold.