Archives: Quiz
Accounting Chapter 13 4 Calculate the total dividends distributed to each class of stockholder
Answer: (1) This is an error that should be reported as a prior period adjustment. Accordingly, it should be reported in the statement of retained earnings, net of taxes, as a reduction from the beginning retained earnings balance. (2) The […]
Accounting Chapter 13 2 When all of the authorized shares have the same rights and characteristics
72. Par value of a stock refers to the: A. Issue price of the stock. B. Value assigned per share of stock by the corporate charter. C. Market value of the stock on the date of the financial statements. D. […]
Accounting Chapter 13 3 A corporation’s distribution of additional shares of its own stock
120. A company declared a $0.50 per share cash dividend. The company has 20,000 shares authorized, 9,000 shares issued, and 8,000 shares of common stock outstanding. The journal entry to record the dividend declaration is: A. Debit Retained Earnings $4,000; […]
Accounting Chapter 13 1 A corporation is a legal entity separate from its owners.
13-1 Chapter 13 ACCOUNTING FOR CORPORATIONS True /False Questions 1. A corporation is a legal entity separate from its owners. 2. Corporations are subject to substantially fewer regulations and laws than are proprietorships and partnerships. Answer: False Blooms: Remember AACSB: […]
Accounting Chapter 13 5 Dividends Company Reported The Following Stockholders Equity
189. The following selected transactions took place during the current year for a company: March 25 Declared a $2 per share cash dividend on 20,000 shares of common stock outstanding April 20 Paid the cash dividends declared on March 25. […]
Accounting Chapter 12 3 Determine Each Partners Share The Net Income
Blooms: Understand AACSB: Communication AICPA BB: Industry AICPA FN: Measurement Difficulty: 2 Medium Learning Objective: 12-P3 Topic: Admission of a Partner 95. What are the ways a partner can withdraw from a partnership? Explain how to account for the withdrawal […]
Accounting Chapter 12 4 121 Brit Franc And Scot Who Share
115. The BlueFin Partnership agrees to dissolve. The remaining cash balance after liquidating partnership assets and liabilities is $60,000. The final capital account balances are: Smith, $30,000; Nagy, $20,000; and Russ, $10,000. Prepare the journal entry to distribute the remaining […]
Accounting Chapter 12 2 71 When Partnership Liquidated Noncash Assets Are
Blooms: Understand AACSB: Analytic AICPA BB: Industry AICPA FN: Measurement Difficulty: 2 Medium Learning Objective: 12-P2 Topic: Allocation of Income and Loss 57. Rice, Hepburn, and DiMarco formed a partnership with Rice contributing $60,000, Hepburn contributing $50,000 and DiMarco contributing […]
Accounting Chapter 12 1 Mutual agency means each partner can commit or bind the partnership
Chapter 12 ACCOUNTING FOR PARTNERSHIPS True /False Questions 1. A partnership has an unlimited life. Answer: False Blooms: Remember AACSB: Communication AICPA BB: Legal AICPA FN: Decision Making Difficulty: 1 Easy Learning Objective: 12-C1 Topic: Partnerships and Similar Organizations 2. […]
Accounting Chapter 11 5 The Federal Rate 8c Issued Check Swift
Blooms: Apply AACSB: Analytic AICPA BB: Industry AICPA FN: Measurement Difficulty: 3 Hard Learning Objective: 11-P2 Topic: Employee Payroll Concepts 170. A company’s payroll information for the month of May follows: Administrative salaries ……………………………………. $2,000 Sales salaries ……………………………………………………. 3,500 Shop […]
Accounting Chapter 11 4 Agro Depot’s income before interest expense and income taxes
Feedback: Times Interest Earned Ratio = Income before Interest Expense and Income Taxes/Interest Expense Times Interest Earned Ratio = $395,000/$125,000 = 3.2 (2010) Times Interest Earned Ratio = $427,000/$125,000 = 3.4 (2011) 147. Agro Depot’s income before interest expense and […]
Accounting Chapter 11 3 130 Classify Each The Following Items Either
109. Maryland Company offers a bonus plan to its employees equal to 3% of net income. Maryland’s net income is expected to be $960,000. The amount of the employee bonus expense is estimated to be: A. $27,961 B. $28,800 C. […]
Accounting Chapter 11 1 Obligations not due within one year or the company’s operating cycle
Chapter 11 CURRENT LIABILITIES AND PAYROLL ACCOUNTING 1. A liability is a probable future payment of assets or services that a company is presently obligated to make as a result of past transactions or events. Answer: True Blooms: Remember AACSB: […]
Accounting Chapter 11 2 The difference between the amount received from issuing a note payable
63. The times interest earned ratio reflects: A. A company’s ability to pay its operating expenses on time. B. A company’s ability to pay interest even if sales decline. C. A company’s profitability. D. The relation between income and debt. […]
Accounting Chapter 10 6 A company traded an old forklift for a new forklift
10-100 196. Record the following events and transactions for Axle Company for the current year. 1. On January 2, Axle purchased a patent for $35,000 with a useful life of 10 years. Prepare the journal entry to amortize the patent […]
Accounting Chapter 10 5 The Actual Units Produced During Its First
10–85 storm. Aug 25 Purchased used office equipment for $14,700 cash. Sales tax was $825, freight costs $250, and reconditioning costs $900, all of which were paid in cash. The estimated useful life of the equipment is 3 years and […]
Accounting Chapter 10 4 July Depreciation Expense Machinery 7200 Accumulated
Blooms: Understand AACSB: Communication AICPA BB: Industry AICPA FN: Measurement Difficulty: 2 Medium Learning Objective: 10-P1 Topic: Depreciation Methods 147. Explain how to calculate total asset turnover. Describe what it reveals about a company’s financial condition, whether a higher or […]
Accounting Chapter 10 3 A company purchased a tract of land for its natural resources at a cost
108. A company had a bulldozer destroyed by fire. The bulldozer originally cost $125,000 with accumulated depreciation of $60,000. The proceeds from the insurance company were $90,000. The company should recognize: A. A loss of $25,000. B. A gain of […]
Accounting Chapter 10 2 Land Should Recorded The Accounting Records With
67. When originally purchased, a vehicle had an estimated useful life of 8 years. The vehicle cost $23,000 and its estimated salvage value is $1,500. After 4 years of straight-line depreciation, the asset’s total estimated useful life was revised from […]
Accounting Chapter 10 1 Plant assets refer to intangible assets that are used in the operations
Chapter 10 PLANT ASSETS, NATURAL RESOURCES AND INTANGIBLES 1. Plant assets refer to intangible assets that are used in the operations of a business. Answer: False Blooms: Remember AACSB: Communication AICPA BB: Industry AICPA FN: Decision Making Difficulty: 1 Easy […]
Accounting Appendix C 1 Maintaining Activity based Costing System More Costly Than
AAPPENDIX C ACTIVITY-BASED COSTING 1. Activity-based costing attempts to better allocate costs to the proper users of overhead by focusing on activities. Answer: True Blooms: Remember AACSB: Communication AICPA BB: Resource Management AICPA FN: Measurement Difficulty: 1 Easy Learning Objective: […]
Accounting Appendix C 2 Resource Consumption Across Activity Cost Pools the Quot other quot
27. Activity rates from Quattrone Corporation’s activity-based costing system are listed below. The company uses the activity rates to assign overhead costs to products: Last year, Product F76D involved 2 customer orders, 434 assembly hours, and 20 batches. How much […]
Accounting Appendix B 2 What amount can you borrow if you make six quarterly payments
3.7908 is the interest factor on the Present Value of an Annuity table; i = 10%; n = 5 31. A company is considering an investment that will return $20,000 semiannually at the end of each semiannual period for 4 […]
Accounting Appendix B 1 The Future Value Ordinary Annuity The Accumulated
APPENDIX B PRESENT AND FUTURE VALUES IN ACCOUNTING Present Value of 1 Periods 3% 4% 5% 6% 7% 8% 9% 10% 12% 3 0.9151 0.8890 0.8638 0.8396 0.8163 0.7938 0.7722 0.7513 0.7118 4 0.8885 0.8548 0.8227 0.7921 0.7629 0.7350 0.7084 […]
Accounting Chapter 9 5 Loma Company estimates uncollectible accounts using the allowance
160. On September 30, Emerson Co. has $540,250 of accounts receivable. Emerson uses the allowance method of accounting for bad debts and has an existing credit balance in the allowance for doubtful accounts of $13,750. 1. Prepare journal entries to […]
Accounting Chapter 9 4 Prepare the necessary adjusting entries to record bad debts
147. At December 31 of the current year, a company reported the following: Total sales for the current year: $780,000 includes $160,000 in cash sales Accounts receivable balance at Dec. 31, end of current year: $190,000 Allowance for Doubtful Accounts […]
Accounting Chapter 9 3 Darby uses the allowance method to account for uncollectible
9-41 107. Darby uses the allowance method to account for uncollectible accounts. Its year-end unadjusted trial balance shows Accounts Receivable of $104,500, allowance for doubtful accounts of $665 (credit) and sales of $925,000. If uncollectible accounts are estimated to be […]
Accounting Chapter 9 2 77 Dart Reported Net Sales 8739 Million
9-21 67. A company receives a 10%, 90-day note for $1,500. The total interest due on the maturity date is: A. $ 50.00 B. $150.00. C. $ 75.00. D. $ 37.50. E. $ 87.50. 68. A company borrowed $10,000 by […]
Accounting Chapter 9 1 Credit sales are recorded by crediting an Accounts Receivable
Chapter 9 Accounting for Receivables 1. Accounts receivable occur from credit sales to customers. Answer: True Blooms: Remember AACSB: Communication AICPA BB: Industry AICPA FN: Measurement Difficulty: 1 Easy Learning Objective: 09-C1 Topic: Accounts Receivable 2. Credit sales are recorded […]
Accounting Chapter 8 4 164 The Following Information Available For The
155. Marbel had $2,816 million in sales and $555 million in ending accounts receivable for the current period. For the same period, Maxtel reported $4,885 million in sales and $491 million in ending accounts receivable. Calculate the days’ sales uncollected […]
Accounting Chapter 8 3 The Buyer Purchaser Goods Services The Seller
Topic: Bank Reconciliation 114. A company made a bank deposit on September 30 that did not appear on the bank statement dated as of September 30. In preparing the September 30 bank reconciliation, the company should: A. Deduct the deposit […]
Chapter 27 1 Emv 22million Design Would The Best Alternative
Chapter 27—Decision analysis MULTIPLE CHOICE 1. The expected value of perfect information is the same as: A. the expected monetary value for the best alternative. B. the expected monetary value for worst alternative. C. the expected opportunity loss for the […]
Accounting Chapter 8 2 Can Never Have Debit Balance e Can Never
8-21 70. Internal control policies and procedures have limitations including: A. Human error. B. Human fraud. C. Cost-benefit principle. D. Collusion. E. All of the options are limitations. 71. Internal control systems are: A. Developed by the Securities and Exchange […]
Chapter 26 1 The Australian Bureau of Statistics regularly publishes
ANS: T PTS: 1 ANS: T PTS: 1 ANS: F PTS: 1 ANS: F PTS: 1 ANS: T PTS: 1 ANS: F PTS: 1 ANS: F PTS: 1 Chapter 26—Index numbers TRUE/FALSE 1. The All Ordinaries Index measures the average […]
Accounting Chapter 8 1 The use of internal controls provides guaranteed protection against
8-1 Chapter 8 CASH AND INTERNAL CONTROLS 1. A properly designed internal control system is a key part of systems design, analysis, and performance. 2. The use of internal controls provides guaranteed protection against losses due to operating activities. Answer: […]
Chapter 25 3 Use Excel Calculate Y For Each Value
Year t y 1996 130 1997 125 1998 135 28. The Pyramids of Giza are one of the most visited monuments in Egypt. The number of visitors per quarter has been recorded (in thousands) as shown in the accompanying table: […]
Accounting Chapter 8 5 172 The Following Information Available Reconcile Litner
170. A company had the following transactions during January: Jan. 2 Purchased merchandise, invoice price of $20,000, with terms 2/10, n/30. 4 Received a credit memorandum for $4,000, the invoice price on merchandise returned from the purchase of January 2. […]
Chapter 25 2 The Following Seasonal Indexes And Trend Line
8. Annual production (in millions) of computer chips in a large electronics company was recorded, as shown below. Year t Production 1990 1 26 1991 2 23 1992 3 21 1993 4 25 1994 5 32 1995 6 38 1996 […]
Accounting Chapter 7 5 142 Philip Company Uses Special Journals Record
140. Argon Sales uses special journals to record business transactions. Argon sells construction equipment. Argon completed the following transactions a through j. Identify the journal in which each transaction should be recorded. a. Borrowed cash from the bank. b. Purchased […]
Chapter 25 1 Dpts 147 The Four Components The Multiplicative
Chapter 25—Time-series analysis and forecasting MULTIPLE CHOICE 1. A time series is: A. a set of measurements on a variable collected at the same time or approximately the same period of time. B. a set of measurements on a variable […]
Accounting Chapter 7 4 The Sun Company completed the following sales and cash
PR Cash Cr. Inventory Cr. Other Accounts Dr. Accounts Payable Dr. General Journal 7-61 Answer: Sales Journal Date Account Debited Invoice Number PR Accounts Receivable Dr. Sales Cr. Cost of Goods Sold Dr. Inventory Cr. 8 / 4 Coe Co. […]
Chapter 24 3 A survey was undertaken to determine the effects
Group 1 Group 2 Group 3 No heart attack Minor heart attack Major heart attack Question 1: Mean and =3.2 =2.3 =1.1 standard deviation =0.5 =0.4 =0.4 Question 2: Frequencies NS: 15 NS: 11 NS: 7 MS: 7 MS: 8 […]
Accounting Chapter 7 3 Journal Entries Explanation February Recorded Receipt Payment
110. Match the following accounting system components a through e with the appropriate application(s) 1 through 10: a. Source documents b. Input devices c. Information processor d. Information storage e. Output devices ____ 1. Computer keyboard ____ 2. Computer hard […]
Chapter 24 2 Question Deals Withthe Amount Weekly Exercise Question
3. A statistician kept track of the weight losses of ten people who were assigned diet A and the weight losses of another ten people who were assigned diet B. These results are shown in the following table. Weight losses […]
Accounting Chapter 7 2 The Subsidiary Account The Purchases Journal d Part
7-21 66. Output devices include all of the following except: A. Printers. B. Monitors. C. LCD projectors. D. Web communications. E. Bar code readers. 67. Information processors: A. Include information storage. B. Interpret, transform, and summarize information for use in […]
Chapter 24 1 Bpts 153 Order Represent Qualitative Independent Variable
Chapter 24–Statistical inference: Conclusion MULTIPLE CHOICE 1. For a sample of size 18 taken from a normally distributed population with standard deviation equal to 5, a 95% confidence interval for the population mean would require: A. z = 1.960. B. […]
Accounting Chapter 7 1 Accounting information systems are so accurate that decision
Chapter 7 ACCOUNTING INFORMATION SYSTEMS 1. Accounting information systems collect and process data from transactions and events, organize them in useful reports, and communicate results to decision makers. Answer: True Blooms: Remember AACSB: Communication AICPA BB: Industry AICPA FN: Decision […]
Chapter 23 3 35 Professor Accounting Wanted Develop Multiple Regression
32. An economist is in the process of developing a model to predict the price of gold. She believes that the two most important variables are the price of a barrel of oil )( 1 x and the interest rate […]
Accounting Chapter 6 6 178 Fun Land Toy Stores Has Taken
Blooms: Apply AACSB: Analytic AICPA BB: Industry AICPA FN: Measurement Difficulty: 3 Hard Learning Objective: 06-P4 Topic: Retail Inventory Method 177. A company uses the retail inventory method and has the following information available concerning its most recent accounting period: […]
Chapter 23 2 However Wants Know There Aredifferences Among The
THE REGRESSION EQUATION IS =y 21 2 2 2 121 13.051.015.161.73.117.69 xxxxxx −−−++ . Predictor Coef StDev T Constant 69.7 41.3 1.688 1 x 11.3 5.1 2.216 2 x 7.61 2.55 2.984 2 1 x –1.15 0.64 –1.797 2 2 […]