Archives: Quiz

Chapter 13 Prepare the cash flows from operating activities section

Chapter 13 Prepare the cash flows from operating activities section

Chapter 13 – Statement of Cash Flows 171. The comparative balance sheets of Posner Company, for Years 1 and 2 ended December 31, appear below in condensed form: Year 2 Year 1 Cash $ 53,000 $ 50,000 Accounts receivable (net) […]

12 Pages | October 7, 2022
Finance Chapter 7 Consumers whose debt burden has become very heavy

Finance Chapter 7 Consumers whose debt burden has become very heavy

Chapter 7—Using Consumer Loans e. buy back-to-school clothes. ANSWER: e POINTS: 1 DIFFICULTY: Moderate LEARNING OBJECTIVES: PFIN.BILL.17.7-1 – LO: 7-1 NATIONAL STANDARDS: United States – BUSPROG: Analytic skills – BUSPROG: Analytical skills STATE STANDARDS: United States – KS – DISC: […]

9 Pages | October 7, 2022
Chapter 13 Identify whether it would be disclosed as an operating

Chapter 13 Identify whether it would be disclosed as an operating

Chapter 13 – Statement of Cash Flows LEARNING OBJECTIVES: FNMN.WARD.17.13-APP2 – LO: 13–APP2 ACCREDITING STANDARDS: ACCT.ACBSP.APC.24 – Statement of Cash Flows ACCT.AICPA.FN.03 – Measurement BUSPROG: Analytic 121. Income tax expense was $175,000 for the year. Income tax payable was $30,000 […]

13 Pages | October 7, 2022
Finance Chapter 7 Consumer Loan Probably Would Not Used

Finance Chapter 7 Consumer Loan Probably Would Not Used

Chapter 7—Using Consumer Loans 1. Even if you do have money, you may still be better off using an installment loan for a big-ticket purchase. a. True b. False ANSWER: True POINTS: 1 DIFFICULTY: Moderate LEARNING OBJECTIVES: PFIN.BILL.17.7-5 – LO: […]

14 Pages | October 7, 2022
Chapter 13 The Net Income Reported The Income Statement

Chapter 13 The Net Income Reported The Income Statement

Chapter 13 – Statement of Cash Flows 72. Depreciation on factory equipment would be reported in the statement of cash flows prepared by the indirect method in a. the cash flows from financing activities section b. the cash flows from […]

14 Pages | October 7, 2022
Finance Chapter 6 Borderline credit risks would most likely receive

Finance Chapter 6 Borderline credit risks would most likely receive

Chapter 6—Using Credit DIFFICULTY: Moderate LEARNING OBJECTIVES: PFIN.BILL.17.6-4 – LO: 6-4 NATIONAL STANDARDS: United States – BUSPROG: Analytic skills – BUSPROG: Analytical skills STATE STANDARDS: United States – AK – DISC: Capital budgeting and cost – DISC: Capital budgeting and […]

10 Pages | October 7, 2022
Chapter 13 The statement of cash flows is not one of the basic financial

Chapter 13 The statement of cash flows is not one of the basic financial

Chapter 13 – Statement of Cash Flows 1. The statement of cash flows is not one of the basic financial statements. a. True b. False ANSWER: False DIFFICULTY: Easy Bloom’s: Remembering LEARNING OBJECTIVES: FNMN.WARD.17.13-01 – LO: 13–01 ACCREDITING STANDARDS: ACCT.ACBSP.APC.24 […]

14 Pages | October 7, 2022
Finance Chapter 6 His Most Recent Monthly Statement Lists Last

Finance Chapter 6 His Most Recent Monthly Statement Lists Last

Chapter 6—Using Credit a. True b. False ANSWER: True POINTS: 1 DIFFICULTY: Moderate LEARNING OBJECTIVES: PFIN.BILL.17.6-4 – LO: 6-4 NATIONAL STANDARDS: United States – BUSPROG: Analytic skills – BUSPROG: Analytical skills STATE STANDARDS: United States – AK – DISC: Capital […]

10 Pages | October 7, 2022
Chapter 12 The following account balances appear on the balance sheet

Chapter 12 The following account balances appear on the balance sheet

Chapter 12 – Corporations: Organization, Stock Transactions, and Dividends © 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.. 188. Sabas Company has 40,000 shares of $100 […]

11 Pages | October 7, 2022
Finance Chapter 6 Paying only the minimum payment each time on a credit card

Finance Chapter 6 Paying only the minimum payment each time on a credit card

Chapter 6—Using Credit 1. Using credit is the ideal way to provide for financial emergencies. a. True b. False ANSWER: False POINTS: 1 DIFFICULTY: Easy LEARNING OBJECTIVES: PFIN.BILL.17.6-1 – LO: 6-1 NATIONAL STANDARDS: United States – BUSPROG: Analytic skills – […]

14 Pages | October 7, 2022
Chapter 12 A corporation has 50,000 shares of $28 par stock outstanding

Chapter 12 A corporation has 50,000 shares of $28 par stock outstanding

Chapter 12 – Corporations: Organization, Stock Transactions, and Dividends 129. A corporation has 50,000 shares of $28 par stock outstanding that has a current market value of $150 per share. If the corporation issues a 4-for-1 stock split, the market […]

11 Pages | October 7, 2022
Finance Chapter 5 The interest rates and monthly mortgage payments

Finance Chapter 5 The interest rates and monthly mortgage payments

Chapter 5—Making Automobile and Housing Decisions POINTS: 1 DIFFICULTY: Moderate LEARNING OBJECTIVES: PFIN.BILL.17.5-3 – LO: 5-3 NATIONAL STANDARDS: United States – BUSPROG: Analytic skills – BUSPROG: Analytical skills STATE STANDARDS: United States – KS – DISC: Capital Budgeting and Cost […]

13 Pages | October 7, 2022
Chapter 12 The stock has a stated value of $10 per share

Chapter 12 The stock has a stated value of $10 per share

Chapter 12 – Corporations: Organization, Stock Transactions, and Dividends 74. Nebraska Inc. issues 3,000 shares of common stock for $45,000. The stock has a stated value of $10 per share. The journal entry to record the stock issuance would include […]

14 Pages | October 7, 2022
Finance Chapter 5 An increase in the “rent ratio” indicates that renting

Finance Chapter 5 An increase in the “rent ratio” indicates that renting

Chapter 5—Making Automobile and Housing Decisions Cengage Learning Testing, Powered by Cognero Page 21 70. An increase in the “rent ratio” indicates that renting is more affordable relative to housing prices. a. True b. False ANSWER: True POINTS: 1 DIFFICULTY: […]

14 Pages | October 7, 2022
Chapter 12 Twenty percent of all businesses in the United States 

Chapter 12 Twenty percent of all businesses in the United States 

Chapter 12 – Corporations: Organization, Stock Transactions, and Dividends 1. Twenty percent of all businesses in the United States are corporations, and they account for 80% of the total business dollars generated. a. True b. False ANSWER: False DIFFICULTY: Easy […]

14 Pages | October 7, 2022
Finance Chapter 5 The greatest fixed cost involved with owning an automobile

Finance Chapter 5 The greatest fixed cost involved with owning an automobile

Chapter 5—Making Automobile and Housing Decisions 1. The greatest fixed cost involved with owning an automobile is usually the monthly loan payments. a. True b. False ANSWER: True POINTS: 1 DIFFICULTY: Easy LEARNING OBJECTIVES: PFIN.BILL.17.5-1 – LO: 5-1 NATIONAL STANDARDS: […]

14 Pages | October 7, 2022
Chapter 11 When the market rate of interest was 12%, Halprin Corporation

Chapter 11 When the market rate of interest was 12%, Halprin Corporation

Chapter 11 – Liabilities: Bonds Payable 116. When the market rate of interest was 12%, Halprin Corporation issued $1,000,000, 11%, 10-year bonds that pay interest annually. The selling price of this bond issue was a. $321,970 b. $1,000,000 c. $943,494 […]

10 Pages | October 7, 2022
Finance Chapter 4 You have $450 in your checking account when your EFTS card

Finance Chapter 4 You have $450 in your checking account when your EFTS card

Chapter 4—Managing Your Cash and Savings POINTS: 1 DIFFICULTY: Moderate LEARNING OBJECTIVES: PFIN.BILL.17.4-4 – LO: 4-4 NATIONAL STANDARDS: United States – BUSPROG: Analytic skills – BUSPROG: Analytical skills STATE STANDARDS: United States – AK – DISC: Banking and Interest United […]

11 Pages | October 7, 2022
Chapter 11 Balance Bonds Payable Redemption Value Of rationale bonds

Chapter 11 Balance Bonds Payable Redemption Value Of rationale bonds

Chapter 11 – Liabilities: Bonds Payable LEARNING OBJECTIVES: FNMN.WARD.17.11-02 – LO: 11–02 ACCREDITING STANDARDS: ACCT.ACBSP.APC.22 – Long–Term Liabilities Reporting ACCT.AICPA.FN.03 – Measurement BUSPROG: Analytic 73. Dylan Corporation issues for cash $2,000,000 of 8%, 15-year bonds, interest payable annually, at a […]

11 Pages | October 7, 2022
Finance Chapter 4 Factors typically influencing the choice of where to maintain

Finance Chapter 4 Factors typically influencing the choice of where to maintain

Chapter 4—Managing Your Cash and Savings a. True b. False ANSWER: False POINTS: 1 DIFFICULTY: Challenging LEARNING OBJECTIVES: PFIN.BILL.17.4-1 – LO: 4-1 NATIONAL STANDARDS: United States – BUSPROG: Analytic skills – BUSPROG: Analytical skills STATE STANDARDS: United States – KS […]

12 Pages | October 7, 2022
Chapter 11 A bond is simply a form of an interest-bearing note

Chapter 11 A bond is simply a form of an interest-bearing note

Chapter 11 – Liabilities: Bonds Payable 1. A bond is simply a form of an interest-bearing note. a. True b. False ANSWER: True DIFFICULTY: Easy Bloom’s: Remembering LEARNING OBJECTIVES: FNMN.WARD.17.11-01 – LO: 11–01 ACCREDITING STANDARDS: ACCT.ACBSP.APC.22 – Long–Term Liabilities Reporting […]

14 Pages | October 7, 2022
Finance Chapter 4 One could expect to earn a higher rate of interest on a

Finance Chapter 4 One could expect to earn a higher rate of interest on a

Chapter 4—Managing Your Cash and Savings 1. One could expect to earn a higher rate of interest on a certificate of deposit than on a checking account. a. True b. False ANSWER: True POINTS: 1 DIFFICULTY: Easy LEARNING OBJECTIVES: PFIN.BILL.17.4-1 […]

14 Pages | October 7, 2022
Chapter 10 The payroll register of Seaside Architecture Company

Chapter 10 The payroll register of Seaside Architecture Company

Chapter 10 – Liabilities: Current, Installment Notes, and Contingencies 152. The payroll register of Seaside Architecture Company indicates $870 of social security and $217 of Medicare tax withheld on total salaries of $14,500 for the period. Assume earnings subject to […]

11 Pages | October 7, 2022
Finance Chapter 3 If you itemize deductions and your income is over $100,000

Finance Chapter 3 If you itemize deductions and your income is over $100,000

Chapter 3—Preparing Your Taxes d. Tax attorneys e. All of the above ANSWER: e POINTS: 1 DIFFICULTY: Moderate LEARNING OBJECTIVES: PFIN.BILL.17.3-5 – LO: 3-5 NATIONAL STANDARDS: United States – BUSPROG: Analytic skills – BUSPROG: Analytical skills STATE STANDARDS: United States […]

12 Pages | October 7, 2022
Chapter 10 The Young Company has the following assets

Chapter 10 The Young Company has the following assets

Chapter 10 – Liabilities: Current, Installment Notes, and Contingencies 122. The Young Company has the following assets and liabilities: ASSETS Cash $35,000 Accounts receivable 15,000 Inventory 30,000 Equipment 50,000 LIABILITIES Current portion of long-term debt 10,000 Accounts payable 2,000 Long-term […]

11 Pages | October 7, 2022
Finance Chapter 3 Which The Following Offer Tax Preparation

Finance Chapter 3 Which The Following Offer Tax Preparation

Chapter 3—Preparing Your Taxes DIFFICULTY: Easy LEARNING OBJECTIVES: PFIN.BILL.17.3-5 – LO: 3-5 NATIONAL STANDARDS: United States – BUSPROG: Analytic skills – BUSPROG: Analytical skills STATE STANDARDS: United States – KS – DISC: Financial Analysis and Cas – DISC: Financial Analysis […]

12 Pages | October 7, 2022
Chapter 10 The amount of federal income taxes withheld from an employee’s

Chapter 10 The amount of federal income taxes withheld from an employee’s

Chapter 10 – Liabilities: Current, Installment Notes, and Contingencies 69. The amount of federal income taxes withheld from an employee’s gross pay is recorded as a(n) a. payroll expense b. contra account c. asset d. liability ANSWER: d DIFFICULTY: Easy […]

14 Pages | October 7, 2022
Finance Chapter 3 The federal personal income tax is a progressive tax

Finance Chapter 3 The federal personal income tax is a progressive tax

Chapter 3—Preparing Your Taxes 1. The federal personal income tax is a progressive tax. a. True b. False ANSWER: True POINTS: 1 DIFFICULTY: Easy LEARNING OBJECTIVES: PFIN.BILL.17.3-1 – LO: 3-1 NATIONAL STANDARDS: United States – BUSPROG: Analytic skills – BUSPROG: […]

14 Pages | October 7, 2022
Chapter 10 Receiving payment prior to delivering goods or services

Chapter 10 Receiving payment prior to delivering goods or services

Chapter 10 – Liabilities: Current, Installment Notes, and Contingencies 1. Receiving payment prior to delivering goods or services causes a current liability to be incurred. a. True b. False ANSWER: True DIFFICULTY: Easy Bloom’s: Remembering LEARNING OBJECTIVES: FNMN.WARD.17.10-01 – LO: […]

14 Pages | October 7, 2022
Finance Chapter 2 Your investment advisor wants you to purchase an annuity 

Finance Chapter 2 Your investment advisor wants you to purchase an annuity 

Chapter 2—Using Financial Statements and Budgets 113. Your investment advisor wants you to purchase an annuity that will pay you $25,000 per year for 10 years. If you require a 7% return, what is the most you should pay for […]

11 Pages | October 7, 2022
Appendix D December Adjusting Journal Entry Record The Unrealized

Appendix D December Adjusting Journal Entry Record The Unrealized

Appendix D – Investments 119. On February 12, Addison, Inc. purchased 6,000 shares of Lucas Company at $22 per share plus a $240 brokerage fee. This purchase represents less than 20% ownership of the Lucas Company. On August 22, Lucas […]

9 Pages | October 7, 2022
Finance Chapter 2 Health insurance premiums deducted from monthly pay check

Finance Chapter 2 Health insurance premiums deducted from monthly pay check

Chapter 2—Using Financial Statements and Budgets a. $200,000 asset and $55,000 liability b. $200,000 asset and $90,000 liability c. $175,000 asset and $55,000 liability d. $175,000 asset and $90,000 liability e. $100,000 asset and $55,000 liability ANSWER: c POINTS: 1 […]

12 Pages | October 7, 2022
Appendix D The method used to account for investments in common stock

Appendix D The method used to account for investments in common stock

Appendix D – Investments DIFFICULTY: Easy Bloom’s: Remembering ACCREDITING STANDARDS: ACCT.ACBSP.APC.21 – Corporate Investments Accounting ACCT.AICPA.FN.03 – Measurement ACCT.AICPA.FN.04 – Reporting BUSPROG: Analytic 69. For accounting purposes, the method used to account for investments in common stock is determined by […]

9 Pages | October 7, 2022
Finance Chapter 2 A personal balance sheet shows your financial condition

Finance Chapter 2 A personal balance sheet shows your financial condition

Chapter 2—Using Financial Statements and Budgets 1. A personal balance sheet shows your financial condition as of the time the statement is prepared. a. True b. False ANSWER: True POINTS: 1 DIFFICULTY: Moderate LEARNING OBJECTIVES: PFIN.BILL.17.2-1 – LO: 2-1 NATIONAL […]

14 Pages | October 7, 2022
Appendix D Most companies invest excess cash in bonds as investments

Appendix D Most companies invest excess cash in bonds as investments

Appendix D – Investments 1. Most companies invest excess cash in bonds as investments in order to profit long-term from the growth of the investment. a. True b. False ANSWER: False DIFFICULTY: Bloom’s: Remembering Easy ACCREDITING STANDARDS: ACCT.ACBSP.APC.21 – Corporate […]

14 Pages | October 7, 2022
Finance Chapter 1 The best way to achieve your financial objectives is to

Finance Chapter 1 The best way to achieve your financial objectives is to

Chapter 1—Understanding the Financial Planning Process ANSWER: c POINTS: 1 DIFFICULTY: Moderate LEARNING OBJECTIVES: PFIN.BILL.17.1-4 – LO: 1-4 NATIONAL STANDARDS: United States – BUSPROG: Reflective Thinking STATE STANDARDS: United States – KS – DISC: Investments KEYWORDS: Bloom’s: Analyzing 103. An […]

9 Pages | October 7, 2022
Chapter 9 The patent has a useful life of 6 years and a legal

Chapter 9 The patent has a useful life of 6 years and a legal

Chapter 9 – Long-Term Assets: Fixed and Intangible DIFFICULTY: Moderate Bloom’s: Applying LEARNING OBJECTIVES: FNMN.WARD.17.09-04 – LO: 09–04 ACCREDITING STANDARDS: ACCT.ACBSP.APC.13 – Long–term Assets Reporting ACCT.AICPA.FN.03 – Measurement BUSPROG: Analytic 163. Carter Co. acquired drilling rights for $18,550,000. The oil […]

9 Pages | October 7, 2022
Finance Chapter 1 Sam and Lele are in their late 20s with 3 young children

Finance Chapter 1 Sam and Lele are in their late 20s with 3 young children

Chapter 1—Understanding the Financial Planning Process DIFFICULTY: Moderate LEARNING OBJECTIVES: PFIN.BILL.17.1-1 – LO: 1-1 NATIONAL STANDARDS: United States – BUSPROG: Reflective Thinking STATE STANDARDS: United States – AK – DISC: Financial Markets and Inte – DISC: Financial Markets and Interest […]

9 Pages | October 7, 2022
Chapter 9 What is the cost of the land, based upon the following data

Chapter 9 What is the cost of the land, based upon the following data

Chapter 9 – Long-Term Assets: Fixed and Intangible 130. What is the cost of the land, based upon the following data? Land purchase price $178,000 Broker’s commission 15,000 Payment for the demolition and removal of existing building 5,000 Cash received […]

9 Pages | October 7, 2022
Finance Chapter 1 Standard of living is defined as the necessities

Finance Chapter 1 Standard of living is defined as the necessities

Chapter 1—Understanding the Financial Planning Process 1. Standard of living is defined as the necessities, comforts, and luxuries desired by an individual or family. a. True b. False ANSWER: True POINTS: 1 DIFFICULTY: Easy LEARNING OBJECTIVES: PFIN.BILL.17.1-1 – LO: 1-1 […]

14 Pages | October 7, 2022
Chapter 9 Equipment with a cost of $220,000 has an estimated residual

Chapter 9 Equipment with a cost of $220,000 has an estimated residual

Chapter 9 – Long-Term Assets: Fixed and Intangible 74. Which of the following are criteria for determining whether to record an asset as a fixed asset? a. must be an investment and long lived b. must be long lived and […]

14 Pages | October 7, 2022
Chapter 9 Long-lived assets that are intangible in nature

Chapter 9 Long-lived assets that are intangible in nature

Chapter 9 – Long-Term Assets: Fixed and Intangible 1. Long-lived assets that are intangible in nature, used in the operations of the business, and not held for sale in the ordinary course of business are called fixed assets. a. True […]

14 Pages | October 7, 2022
Chapter 8 Journalize the following transactions for Lucite Company

Chapter 8 Journalize the following transactions for Lucite Company

Chapter 8 – Receivables 154. Blackwell Industries received a 120-day, 9% note for $180,000, dated August 10 from a customer on account. Required: (a) Determine the due date of the note. (b) Determine the maturity value of the note. (c) […]

9 Pages | October 7, 2022
Chapter 8 Brown Company Has Credit Balance 2275 Allowance

Chapter 8 Brown Company Has Credit Balance 2275 Allowance

Chapter 8 – Receivables DIFFICULTY: Moderate Bloom’s: Understanding LEARNING OBJECTIVES: FNMN.WARD.17.08-01 – LO: 08–01 ACCREDITING STANDARDS: ACCT.ACBSP.APC.12 – Receivables Reporting ACCT.AICPA.FN.03 – Measurement BUSPROG: Analytic 127. List at least three indicators that a receivable may be uncollectible. ANSWER: Answers may […]

9 Pages | October 7, 2022
Chapter 8 When a year-end adjustment is made for estimated uncollectible

Chapter 8 When a year-end adjustment is made for estimated uncollectible

Chapter 8 – Receivables 73. Under the allowance method, when a year-end adjustment is made for estimated uncollectible accounts a. liabilities decrease b. net income is unchanged c. total assets are unchanged d. total assets decrease ANSWER: d DIFFICULTY: Moderate […]

14 Pages | October 7, 2022
Chapter 8 The Accounts Receivable Turnover Ratio Computed Dividing

Chapter 8 The Accounts Receivable Turnover Ratio Computed Dividing

Chapter 8 – Receivables 1. Receivables not currently collectible are reported in the investments section of the balance sheet. a. True b. False ANSWER: True DIFFICULTY: Easy Bloom’s: Remembering LEARNING OBJECTIVES: FNMN.WARD.17.08-01 – LO: 08–01 ACCREDITING STANDARDS: ACCT.ACBSP.APC.12 – Receivables […]

14 Pages | October 7, 2022
Chapter 7 The bank statement for Gatlin Co. indicates a balance

Chapter 7 The bank statement for Gatlin Co. indicates a balance

Chapter 7 – Internal Control and Cash ANSWER: Cash balance according to bank statement $11,740 Adjustments: Deposits in transit $6,900 Outstanding Check No. 601 (420) Outstanding Check No. 613 (155) Total adjustments 6,325 Adjusted balance $18,065 Cash balance according to […]

9 Pages | October 7, 2022
Chapter 7 Identify Each The Following Reconciling Items

Chapter 7 Identify Each The Following Reconciling Items

Chapter 7 – Internal Control and Cash DIFFICULTY: Moderate Bloom’s: Analyzing LEARNING OBJECTIVES: FNMN.WARD.17.07-02 – LO: 07–02 FNMN.WARD.17.07-03 – LO: 07–03 ACCREDITING STANDARDS: ACCT.ACBSP.APC.10 – Internal Control ACCT.AICPA.BB.01 – Industry ACCT.AICPA.FN.03 – Measurement BUSPROG: Analytic 125. The following procedures were […]

9 Pages | October 7, 2022
Chapter 7 Identify Each The Following Relating A

Chapter 7 Identify Each The Following Relating A

Chapter 7 – Internal Control and Cash DIFFICULTY: Challenging Bloom’s: Applying LEARNING OBJECTIVES: FNMN.WARD.17.07-04 – LO: 07–04 ACCREDITING STANDARDS: ACCT.ACBSP.APC.10 – Internal Control ACCT.AICPA.FN.03 – Measurement BUSPROG: Analytic 72. A bank statement a. is a credit reference letter written by […]

14 Pages | October 7, 2022
Chapter 7 Internal Control And Cash 39 After Bank Reconciliation

Chapter 7 Internal Control And Cash 39 After Bank Reconciliation

Chapter 7 – Internal Control and Cash 1. The Sarbanes-Oxley Act applies only to companies whose stock is traded on public exchanges. a. True b. False ANSWER: True DIFFICULTY: Easy Bloom’s: Remembering LEARNING OBJECTIVES: FNMN.WARD.17.07-01 – LO: 07–01 ACCREDITING STANDARDS: […]

14 Pages | October 7, 2022