Archives: Quiz
Accounting Chapter 3 7 Palmer Company is at the end of its annual accounting period. The accountant has journalized and posted all external transactions and all adjusting entries
Copyright © 2019 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written onsent of McGraw-Hill Education. 304) All of the following statements regarding the Income Statement columns on the worksheet are true except: A) The balances […]
Accounting Chapter 3 4 The subscriptions started immediately. What is the amount of revenue that should be recorded by Garcia Publishing Company for the second year of the subscription
Copyright © 2019 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written onsent of McGraw-Hill Education. 185) An adjusting entry was made on year-end December 31 to accrue salary expense of $1,200. Assuming the company does […]
Accounting Chapter 3 3 The approach to preparing financial statements based on recognizing revenues when they are earned and matching expenses to those revenues is.
Copyright © 2019 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written onsent of McGraw-Hill Education. 144) Adjusting entries made at the end of an accounting period accomplish all of the following except: A) Updating liability […]
Accounting Chapter 3 2 Closing revenue and expense accounts at the end of the accounting period serves to make the revenue and expense accounts ready for use in the next period
Copyright © 2019 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written onsent of McGraw-Hill Education. 74) Revenue accounts are temporary accounts that should begin each accounting period with zero balances. Answer: TRUE Difficulty: 1 Easy […]
Accounting Chapter 3 1 The time period assumption assumes that an organization’s activities can be divided into specific time periods such as months, quarters, or years
Copyright © 2019 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written onsent of McGraw-Hill Education. Financial and Managerial Accounting, 8e (Wild) Chapter 3 Adjusting Accounts for Financial Statements 1) A company’s fiscal year must correspond […]
Accounting Chapter 26 Chapter_26 The average rate of return method of capital investment analysis gives consideration to the present value of future cash flows
Name: Class: Date: chapter 26 Copyright Cengage Learning. Powered by Cognero. Page 1 Indicate whether the statement is true or false. 1. If a proposed expenditure of $70,000 for a fixed asset with a 4-year life has an annual expected […]
Accounting Chapter 2 5 Jeff Jackson opened Jackson’s Repairs on March 1 of the current year. During March, the following transactions occurred. Jackson invested $25,000 cash in the business in exchange for common stock
81 178) Jeff Jackson opened Jackson’s Repairs on March 1 of the current year. During March, the following transactions occurred: 1. Jackson invested $25,000 cash in the business in exchange for common stock. 2. Jackson contributed $100,000 of equipment to […]
Accounting Chapter 25 Chapter_25 When a segment of a company is showing a net loss, it is always best to discontinue the segment in order not tocontinue with losses
Name: Class: Date: chapter 25 Copyright Cengage Learning. Powered by Cognero. Page 1 Indicate whether the statement is true or false. 1. In using the variable cost concept of applying the cost-plus approach to product pricing, fixed manufacturing costs and […]
Accounting Chapter 2 4 Andrea Apple opened Apple Photography on January 1 of the current year. During January, the following transactions occurred and were recorded in the company’s books
Copyright © 2019 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written onsent of McGraw-Hill Education. 138) Andrea Apple opened Apple Photography on January 1 of the current year. During January, the following transactions occurred and […]
Accounting Chapter 24 Chapter_24 A decentralized business organization is one in which all major planning and operating decisions are made by topmanagement
Name: Class: Date: chapter 24 Copyright Cengage Learning. Powered by Cognero. Page 1 Indicate whether the statement is true or false. 1. One of the advantages of decentralization is that delegating authority to managers closest to the operation always results […]
Accounting Chapter 2 3 Adriana Graphic Design receives $1,500 from a client billed in a previous month for services provided. Which of the following general journal entries will Adriana Graphic Design
Copyright © 2019 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written onsent of McGraw-Hill Education. 116) Adriana Graphic Design receives $1,500 from a client billed in a previous month for services provided. Which of the […]
Accounting Chapter 23 Chapter_23 At the end of the fiscal year, the variances from standard are usually transferred to the finished goods account
Name: Class: Date: chapter 23 Copyright Cengage Learning. Powered by Cognero. Page 1 Indicate whether the statement is true or false. 1. If the standard to produce a given amount of product is 600 direct labor hours at $15 and […]
Accounting Chapter 2 Alicia Tax Services Paid $500 To Settle An Account Payable
Copyright © 2019 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written onsent of McGraw-Hill Education. 74) Unearned revenues refer to a(n): A) Asset that will be used over time. B) Expense incurred because a customer […]
Accounting Chapter 22 Chapter_22 Consulting the persons affected by a budget when it is prepared can provide an effective means of motivation andcooperation
Name: Class: Date: chapter 22 Copyright Cengage Learning. Powered by Cognero. Page 1 Indicate whether the statement is true or false. 1. If Division Inc. expects to sell 200,000 units in the current year, desires ending inventory of 24,000 units, […]
Accounting Chapter 2 1 When a company provides services for which cash will not be received until some future date, the company should record the amount billed as accounts receivable
Copyright © 2019 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written onsent of McGraw-Hill Education. Financial and Managerial Accounting, 8e (Wild) Chapter 2 Accounting for Business Transactions 1) Business transactions and events are the starting […]
Accounting Chapter 21 Chapter_21 If direct materials cost per unit decreases, the amount of sales necessary to earn a desired amount of profit willdecrease
Name: Class: Date: chapter 21 Copyright Cengage Learning. Powered by Cognero. Page 1 Indicate whether the statement is true or false. 1. A rental cost of $20,000 plus $0.70 per machine hour of use is an example of a mixed […]
Accounting Chapter 2 7 George Butler, the sole stockholder, opened a business that provides day tugboat tours to tourists along the Mississippi River. Prepare journal entries to record the following transactions
Copyright © 2019 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written onsent of McGraw-Hill Education. 119 Answer: Sally’s Salon Income Statement For Year Ended December 31 Revenue earned……………… $72,000 Expenses: Beauty supplies expense…. $ 3,425 […]
Accounting Chapter 20 Chapter_20 The direct materials costs and direct labor costs incurred by a production department are referred to as conversion costs
Name: Class: Date: chapter 20 Copyright Cengage Learning. Powered by Cognero. Page 1 Indicate whether the statement is true or false. 1. Industries that typically use process cost systems include chemicals, oil, metals, food, paper, and pharmaceuticals. a. True b. […]
Accounting Chapter 2 6 Jarrod Automotive, owned and operated by Jarrod Johnson, began business in September of the current year. Jarrod, a mechanic, had no experience with recording business transactions
101 207) Jarrod Automotive, owned and operated by Jarrod Johnson, began business in September of the current year. Jarrod, a mechanic, had no experience with recording business transactions. As a result, Jarrod entered all of September’s transactions directly into the […]
Accounting Chapter 19 Chapter_19 Job order cost systems can be used to compare unit costs of similar jobs to determine if costs are staying within expected ranges
Name: Class: Date: chapter 19 Copyright Cengage Learning. Powered by Cognero. Page 1 Indicate whether the statement is true or false. 1. A law firm would use a job order cost system to accumulate all of the costs associated with […]
Accounting Chapter 1 7 Jet Styling has the following beginning cash balance and cash transactions for the month of January. Using this information prepare a statement of cash flows
Copyright © 2019 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written onsent of McGraw-Hill Education. 255) Data for Kennedy Realty are as follows: Total assets at January 1 $100,000 Total liabilities at January 1 35,000 […]
Accounting Chapter 18 Chapter_18 Planning is the process of developing the company’s objectives or goals and translating these objectives into courses of action
Name: Class: Date: chapter 18 Copyright Cengage Learning. Powered by Cognero. Page 1 Indicate whether the statement is true or false. 1. Indirect labor would be included in factory overhead. a. True b. False 2. Prime costs consist of factory […]
Accounting Chapter 1 6 From the information given below, prepare a November income statement, a November statement of retained earnings, and a November 30 balance sheet
101 244) Cornelia’s Closet has the following assets and liabilities for the dates given: October 1 October 31 Cash………………………………………………. $40,000 60,000 Accounts Receivable ……………………….. 40,000 38,000 Accounts Payable ……………………………. 6,000 ? Also, its net income, for October 1 through October […]
Accounting Chapter 17 Chapter_17 Analyzing a company’s performance should take into account conditions peculiar to the industry and the general economic conditions
Name: Class: Date: chapter 17 Copyright Cengage Learning. Powered by Cognero. Page 1 Indicate whether the statement is true or false. 1. Analyzing a company’s performance should take into account conditions peculiar to the industry and the general economic conditions. […]
Accounting Chapter 1 5 There are two general types of users of accounting information. Internal users are managers and officers of businesses. They require information about business activities
Copyright © 2019 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written onsent of McGraw-Hill Education. 210) Which of the following accounts is not included in the calculation of net income? A) Services revenue. B) Wages […]
Accounting Chapter 16 Chapter_16 Purchasing equipment by issuing a 6-month note should be shown on the statement of cash flows under the investing activities section
Name: Class: Date: chapter 16 Copyright Cengage Learning. Powered by Cognero. Page 1 Indicate whether the statement is true or false. 1. If cash dividends of $135,000 were paid during the year and the company sold 1,000 shares of common […]
Accounting Chapter 1 4 Determine the net income of a company for which the following information is available for the month of September A company acquires equipment for $75,000 cash financial status, and which lists the types and amounts of assets,
Copyright © 2019 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written onsent of McGraw-Hill Education. 169) Determine the net income of a company for which the following information is available for the month of September. […]
Accounting Chapter 15 Chapter_15 The investor carrying an investment by the equity method records cash dividends received as an increase in the amount of the investment
Name: Class: Date: chapter 15 Copyright Cengage Learning. Powered by Cognero. Page 1 Indicate whether the statement is true or false. 1. Investments in stocks that are expected to be held for the long term are listed in the Stockholders’ […]
Accounting Chapter 1 3 A financial statement providing information that helps users understand a company’s financial status, and which lists the types and amounts of assets
Copyright © 2019 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written onsent of McGraw-Hill Education. 129) Revenues are: A) The same as net income. B) The excess of expenses over assets. C) Resources owned or […]
Accounting Chapter 14 Chapter_14 Callable bonds are redeemable by the issuing corporation within the period of time and at the price stated in the bond indenture
Name: Class: Date: chapter 14 Copyright Cengage Learning. Powered by Cognero. Page 1 Indicate whether the statement is true or false. 1. Discount on Bonds Payable is a contra liability account. a. True b. False 2. If the amount of […]
Accounting Chapter 1 2 The cost-benefit constraint prescribes that only information with benefits of disclosure less than the costs of providing it, need be disclosed
Copyright © 2019 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written onsent of McGraw-Hill Education. 80) The statement of cash flows identifies cash flows separated into operating, investing, and financing activities over a period of […]
Accounting Chapter 13 Chapter_13 Retained Earnings represents past net income less past dividends; therefore, any balance in this account would be listed on the income statement
Name: Class: Date: chapter 13 Copyright Cengage Learning. Powered by Cognero. Page 1 Indicate whether the statement is true or false. 1. A sale of treasury stock may result in a decrease in paid-in capital. All decreases should be charged […]
Accounting Chapter 1 1 Recordkeeping, or bookkeeping, is the recording of transactions and events, either manually or electronically. This is just one part of accounting
Copyright © 2019 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written onsent of McGraw-Hill Education. Financial and Managerial Accounting, 8e (Wild) Chapter 1 Accounting in Business 1) Accounting is an information and measurement system that […]
Accounting Chapter 12 Chapter_12 An advantage of the partnership form of business is that each partner’s potential loss is limited to that partner’s investment in the partnership
Name: Class: Date: chapter 12 Copyright Cengage Learning. Powered by Cognero. Page 1 Indicate whether the statement is true or false. 1. The salary allocation to partners used in dividing net income would also appear as salary expense on the […]
Accounting Chapter 11 Chapter_11 Employers are required to compute and report payroll taxes on a calendar-year basis, even if a different fiscal year is used for financial reporting and income tax purposes
Name: Class: Date: chapter 11 Copyright Cengage Learning. Powered by Cognero. Page 1 Indicate whether the statement is true or false. 1. One of the more popular defined contribution plans is the 401k plan. a. True b. False 2. Federal […]
Accounting Chapter 17 1 Accounting standards for intercorporate equity investments represent the most extensive application of flexible uniformity in accounting practice
Chapter 17—INTERCORPORATE EQUITY INVESTMENTS TRUE/FALSE 1. Accounting standards for intercorporate equity investments represent the most extensive application of flexible uniformity in accounting practice. ANSWER: F 2. The relevant circumstances that justify differential accounting for intercorporate equity investments depend on the […]
Accounting Chapter 16 1 Legal remedies available to lessors in the event of lessee default treat leases like unilaterally unperformed executory contracts
Chapter 16—LEASES TRUE/FALSE 1. Leases have been the subject of more accounting standards than any other single topic. ANSWER: T 2. The first lease accounting standard was issued in 1966. ANSWER: F 3. It was in the 1940s that accounting […]
Accounting Chapter 10 Chapter_10 Functional depreciation occurs when a fixed asset is no longer able to provide services at the level for which it was intended
Name: Class: Date: chapter 10 Copyright Cengage Learning. Powered by Cognero. Page 1 Indicate whether the statement is true or false. 1. Capital expenditures are costs that are charged to stockholders’ equity accounts. a. True b. False 2. The difference […]
Accounting Chapter 15 1 In a defined contribution plan, benefits are defined either as a specific dollar amount or by a general formula based on salary
Chapter 15—PENSIONS AND OTHER POSTRETIREMENT BENEFITS TRUE/FALSE 1. Previous accounting standards have used a revenue-expense approach to pension accounting, which emphasizes the recognition and measurement of annual pension cost. ANSWER: T 2. In SFAS No. 87, the asset-liability orientation is […]
Accounting Chapter 9 Chapter_9 When a note is received from a customer on account, it is recorded by debiting Notes Receivable and crediting Accounts Receivable
Name: Class: Date: chapter 9 Copyright Cengage Learning. Powered by Cognero. Page 1 Indicate whether the statement is true or false. 1. An advantage of a company selling its receivables is that it immediately receives cash for operating and other […]
Accounting Chapter 14 1 20 From an economic standpoint, it appears reasonable that deferred tax liabilities should be shown at their present value
Chapter 14—INCOME TAXES AND FINANCIAL ACCOUNTING TRUE/FALSE 1. The income tax law of 1913 established accounting income as a basis for taxation. ANSWER: F 2. Tax allocation is made necessary by the permanent differences in financial statement income and tax […]
Accounting Chapter 8 Chapter_8 The sum of the money on hand and petty cash receipts in a petty cash fund will always be equal to the balance in the petty cash account
Name: Class: Date: chapter 8 Copyright Cengage Learning. Powered by Cognero. Page 1 Indicate whether the statement is true or false. 1. A petty cash fund is used to pay relatively large amounts. a. True b. False 2. The control […]
Accounting Chapter 13 1 The statement of changes in financial position reported on changes in assets, liabilities, and owners’ equity account balances owners’ equity account balances
Chapter 13—STATEMENT OF CASH FLOWS TRUE/FALSE 1. The statement of cash flows superseded the previously required sources and uses of funds statement. ANSWER: F 2. In the statement of changes in financial position, sources of resources are defined as transaction […]
Accounting Chapter 7 Chapter_7 The use of the lower-of-cost-or-market method of inventory valuation increases net income for the period in which the inventory replacement price declined
Name: Class: Date: chapter 7 Copyright Cengage Learning. Powered by Cognero. Page 1 Indicate whether the statement is true or false. 1. If ending inventory for the year is overstated, owner’s equity reported on the balance sheet at the end […]
Accounting Chapter 12 1 Most accountants believe that the method of cost allocation used is nothing more than an arbitrary decision
Chapter 12—THE INCOME STATEMENT TRUE/FALSE 1. The current operating approach has led to the concept of comprehensive income. ANSWER: F 2. Comprehensive income is the change in equity of an entity during a period of transactions and other events and […]
Accounting Chapter 6 Chapter_6 The single-step income statement is easier to prepare, but a criticism of this format is that gross profit and income from operations are not readily available
Name: Class: Date: chapter 6 Copyright Cengage Learning. Powered by Cognero. Page 1 Indicate whether the statement is true or false. 1. Merchandise Inventory normally has a debit balance. a. True b. False 2. Cost of merchandise sold is the […]
Accounting Chapter 11 1 With the articulated approach to financial statements, each statement is defined and measured independently of the other
Chapter 11—THE BALANCE SHEET TRUE/FALSE 1. If the balance sheet and income statement are non-articulated, they are linked together mathematically without any loose ends. ANSWER: F 2. With the articulated approach to financial statements, each statement is defined and measured […]
Accounting Chapter 5 Chapter_5 The Other Accounts column in the cash payments journal is used for recording debits to any account for which there is no specialized debit column
Name: Class: Date: chapter 5 Copyright Cengage Learning. Powered by Cognero. Page 1 Indicate whether the statement is true or false. 1. Even when special journals are used, a personal withdrawal of cash is recorded in the general journal. a. […]
Accounting Chapter 10 1 The continental model of financial reporting generally reflects a strong governmental influence on accounting regulation
Chapter 10—INTERNATIONAL ACCOUNTING TRUE/FALSE 1. The two general financial reporting models that have evolved in economically advanced countries are the Anglo-Saxon model and the European Model. ANSWER: F 2. Accounting may be called “the language of business.” ANSWER: T 3. […]
Accounting Chapter 4 Chapter_4 The balances of the capital accounts from the Adjusted Trial Balance columns of the work sheet are extended to the Statement of Owner’s Equity columns
Name: Class: Date: chapter 4 Copyright Cengage Learning. Powered by Cognero. Page 1 Indicate whether the statement is true or false. 1. The balance sheet accounts are referred to as real or permanent accounts. a. True b. False 2. The […]