財務(wù)會計題庫-The-Financial-Statements

1、推薦精選Financial Accounting, 7eHarrison/HorngrenHarrison/HorngrenTestTest ItemItem FileFileChapterChapter 1:1: TheThe FinancialFinancial StatementsStatements1.1-1 Bookkeeping is a type of accounting used primarily by proprietorships.Answer: FalseLO: 1-1Diff: 2EOC: QC 11.1-2 The three forms of business

2、organizations are proprietorships, partnerships, and for-profit organizations.Answer: FalseLO: 1-1Diff: 1EOC: E1-131.1-3 To convince an investor to invest money in a particular company, relevant and reliable accounting information is required. Answer: TrueLO: 1-1Diff: 1EOC: E1-141.1-4 Limited Liabil

3、ity Companies (LLCs) have members instead of stockholders.Answer: TrueLO: 1-1Diff: 1EOC: E1-131.1-5 All business owners are personally liable for the debts of their businesses.Answer: FalseLO: 1-1Diff: 1EOC: E1-131.1-6 A proprietorship is a distinct and separate entity from the proprietor, from both

4、 an accounting and a legal viewpoint.Answer: FalseLO: 1-1Diff: 2EOC: E1-131.1-7 The two types of accounting are:A. profit and nonprofit.B. financial and managerial.C. internal and external.D. bookkeeping and decision-oriented.Answer: BLO: 1-1Diff: 2EOC: E1-131.1-8推薦精選According to the author, potenti

5、al investors need information that is:A. relevant and reliable.B. fair and future-oriented.C. accurate and truthful.D. audited and complete.Answer: ALO: 1-1Diff: 2EOC: E1-141.1-9 Who ultimately controls a corporation?A. Board of DirectorsB. The Chief Executive Officer (CEO)C. The stockholdersD. The

6、PresidentAnswer: CLO: 1-1Diff: 2EOC: E1-131.1-10 Financial statements are:A. standard documents issued by outside consultants who are hired to analyze key operations of the business in financial terms.B. standard documents that tell us how well a business is performing and where it stands in financi

7、al terms.C. reports created by management that states it is responsible for the acts of the corporation.D. reports issued by outside consultants who are hired to analyze key operations of the business.Answer: BLO: 1-1 Diff: 1EOC: E1-261.1-11 For which form of business ownership are the owners of a b

8、usiness legally distinct from the business?A. CorporationB. PartnershipC. Proprietorship推薦精選D. All of the aboveAnswer: ALO: 1-1Diff: 1EOC: E1-131.1-12推薦精選All of the following are forms of business organizations EXCEPT:A. proprietorship.B. limited partnership.C. limited proprietorship.D. limited liab

9、ility company.Answer: CLO: 1-1Diff: 1EOC: E1-131.1-13 The largest organization of professional accountants in the United States is the:A. Financial Accounting Standards Board.B. Securities and Exchange Commission.C. American Institute of Certified Public Accountants.D. Auditing Standards Board.Answe

10、r: CLO: 1-1Diff: 2EOC: P1-53B1.2-1 Generally accepted accounting principles, or GAAP, are the rules and procedures established by the Financial Accounting Standards Board, or the FASB. Answer: TrueLO: 1-2Diff: 1EOC: QC 11.2-2The entity concept is the most basic accounting concept.Answer: TrueLO: 1-2

11、Diff: 1EOC: S1-31.2-3The stable monetary unit concept means that the type of currency used for the financial statements is NOT expected to change.Answer: FalseLO: 1-2Diff: 2EOC: E1-141.2-4Since cost is a reliable measure to use in financial accounting, the objectivity principle states that assets an

12、d services should be recorded at their actual cost.Answer: FalseLO: 1-2Diff: 2EOC: E1-141.2-5推薦精選The Financial Accounting Standards Board is responsible for establishing:A. the code of professional conduct for accountants.B. the Securities and Exchange Commission.C. generally accepted accounting pri

13、nciples.D. the American Institute of Certified Public Accountants.Answer: CLO: 1-2Diff: 2EOC: QC 11.2-6 The acronym GAAP stands for:A. generally acceptable authorized pronouncements.B. government authorized accountant principles.C. generally accepted accounting principles.D. government audited accou

14、nting pronouncements.Answer: CLO: 1-2Diff: 2EOC: E1-271.2-7 All of the following are characteristics of useful accounting information EXCEPT:A. informative.B. relevant.C. consistent.D. reliable.Answer: ALO: 1-2Diff: 2EOC: E1-141.2-8 The objectivity principle of accounting:A. holds that the entity wi

15、ll remain in operation for the foreseeable future.B. enables accountants to ignore the effect of inflation in the accounting records.C. maintains that each organization or section of an organization stands apart from other organizations and individuals.D. ensures that accounting records and statemen

16、ts are based on the most reliable data available.Answer: DLO: 1-2Diff: 2EOC: E1-14推薦精選1.2-9推薦精選The stable-monetary-unit concept of accounting:A. ensures that accounting records and statements are based on the most reliable data available.B. holds that the entity will remain in operation for the fore

17、seeable future.c.maintains that each organization or section of an organization stands apart from other organizations and individuals.d.enables accountants to ignore the effect of inflation in the accounting records.Answer: DLO: 1-2Diff: 2EOC: E1-141.2-10 The going-concern concept of accounting:A. e

18、nables accountants to ignore the effect of inflation in the accounting records.B. holds that the entity will remain in operation for the foreseeable future.c.maintains that each organization or section of an organization stands apart from other organizations and individuals.d.ensures that accounting

19、 records and statements are based on the most reliable data available.Answer: BLO: 1-2Diff: 2EOC: P1-43A1.2-11 The principle which states that assets acquired by the business should be recorded at their actual price is the:A. cost principle.B. objectivity principle.C. reliability principle.D. stable

20、 dollar principle.Answer: ALO: 1-2Diff: 1EOC: Q1-301.2-12 The reliability principle is also called the:A. relevance concept.B. truthfulness concept.C. objectivity principle.推薦精選D. full and fair principle.Answer: CLO: 1-2Diff: 2EOC: E1-141.2-13推薦精選Which of the following statements is FALSE?A. Reliabl

21、e data may be supported by objective evidence.B. The informed opinion of owners is an important source of objective evidence.C. An independent appraisal, conducted by a licensed professional, is usually considered reliable.D. Reliable data are verifiable.Answer: BLO: 1-2 Diff: 2EOC: E1-141.2-14 The

22、relevant measure of the value of the assets of a company that is going out of business is the:A. book value.B. current market value.C. historical cost.D. recorded value.Answer: BLO: 1-2Diff: 2EOC: P1-43A1.2-15 The CEO of a business owns a residence in Flagstaff. The company the CEO works for owns a

23、residence in Chandler used for strategic planning meetings by its executives. Which of these properties is considered an asset(s) of the business?A. The Flagstaff residence onlyB. The Chandler residence onlyC. Both the Flagstaff and Chandler residencesD. Neither the Flagstaff nor Chandler residences

24、Answer: BLO: 1-2Diff: 2EOC: S1-31.2-16 An Oklahoma City business paid $15,000 cash for equipment used in the business. At the time of purchase, the equipment had a list price of $20,000. When the balance sheet was prepared, the value of the equipment later rose to $22,000. What is the relevant measu

25、re of the value of the equipment?A. Historical cost, $15,000B. Fair market cost, $20,000 推薦精選C. Current market cost, $22,000D. $15,000 on the day of purchase, $22,000 on balance sheet dateAnswer: ALO: 1-2Diff: 2EOC: Q1-301.3-1 The accounting equation expresses the idea that Resources - Insider claim

26、s = Outsider claims. Answer: TrueLO: 1-3Diff: 3EOC: S1-51.3-2 The accounting equation must always be in balance.Answer: TrueLO: 1-3Diff: 1EOC: S1-11.3-3 Liabilities are divided into outsider claims and insider claims.Answer: FalseLO: 1-3Diff: 2 EOC: S1-51.3-4 Net assets, as stockholders equity is of

27、ten referred to, represents the residual amount of business assets which can be claimed by the owners.Answer: TrueLO: 1-3Diff: 2EOC: QC 121.3-5 Common stock and retained earnings are the main components of paid-in capital.Answer: FalseLO: 1-3Diff: 2EOC: S1-101.3-6 Retained earnings do not represent

28、cash that is available to a company for future operations and expansion.Answer: TrueLO: 1-3Diff: 3EOC: E1-271.3-7 Net income appears on both the income statement and the statement of retained earnings.Answer: TrueLO: 1-3Diff: 2EOC: Q1-391.3-8 The statement of cash flows is organized in terms of the

29、organizations operating, investing, and financing activities.Answer: TrueLO: 1-3Diff: 2EOC: E1-251.3-9 Expenses are increases in retained earnings that result from operations.Answer: FalseLO: 1-3Diff: 2EOC: S1-71.3-10 Dividend payments are NOT classified as expenses.推薦精選Answer: TrueLO: 1-3Diff: 2EOC

30、: S1-91.3-11 The calculation of ending retained earnings considers current net income or net loss and dividends.Answer: TrueLO: 1-3Diff: 2EOC: S1-91.3-1推薦精選2The owners equity of proprietorships and partnerships is the same.Answer: FalseLO: 1-3Diff: 2EOC: S1-91.3-13 The accounting equation can be sta

31、ted as:A. Assets + Stockholders Equity = Liabilities B. Assets - Liabilities = Stockholders EquityC. Assets = Liabilities - Stockholders EquityD. Assets - Stockholders Equity + Liabilities = ZeroAnswer: BLO: 1-3Diff: 1EOC: QC 31.3-14 Which of the following best describes a liability? Liabilities are

32、:A. a form of paid-in capital.B. future economic benefits to which a company is entitled.C. payables of the corporation.D. economic obligations to owners to be paid at some future date by the corporation.Answer: CLO: 1-3Diff: 1EOC: S1-51.3-15 The owners interest in the assets of a corporation is kno

33、wn as:A. common stock.B. stockholders equity.C. long-term assets.D. operating expenses.Answer: BLO: 1-3Diff: 2EOC: S1-51.3-16 Claims held by the stockholders of a corporation are also known as:A. retained earnings.B. paid-in capital.C. paid-in capital plus retained earnings.D. net income.推薦精選Answer:

34、 CLO: 1-3Diff: 3EOC: S1-51.3-1推薦精選7Payables are classified as:A. increases in earnings.B. decreases in earnings.C. liabilities.D. assets.Answer: CLO: 1-3Diff: 1EOC: S1-61.3-18 Receivables are classified as:A. increases in earnings.B. decreases in earnings.C. liabilities.D. assets.Answer: DLO: 1-3Dif

35、f: 1EOC: S1-61.3-19 The sum of outsider claims plus insider claims equals:A. net income.B. total liabilities.C. total assets.D. total stockholders equity.Answer: CLO: 1-3Diff: 3EOC: S1-51.3-20 Revenues are:A. decreases in assets resulting from delivering goods or services to customers.B. increases i

36、n liabilities resulting from delivering goods or services to customers.C. increases in retained earnings resulting from delivering goods or services to customers.D. decreases in retained earnings resulting from delivering goods or services to customers.推薦精選Answer: CLO: 1-3Diff: 2EOC: S1-4推薦精選1.3-21

37、How do revenues for a period relate to the beginning and ending balances in retained earnings?A. Revenues will increase the beginning balance of retained earnings for the period.B. Revenues will increase the ending balance of retained earnings for the period.C. Revenues less expenses will either inc

38、rease or decrease the beginning balance of retained earnings for the period.D. None of these answers are correct.Answer: CLO: 1-3Diff: 2EOC: S1-91.3-22 Expenses are:A. increases in liabilities resulting from purchasing assets.B. increases in assets resulting from operations.C. increases in retained

39、earnings resulting from operations.D. decreases in retained earnings resulting from operations.Answer: DLO: 1-3Diff: 2EOC: S1-41.3-23 Dividends:A. are expenses.B. always affect net income.C. are distributions to stockholders of assets (usually cash) generated by net income.D. are distributions to st

40、ockholders of assets (usually cash) generated by a favorable balance in retained earnings.Answer: CLO: 1-3Diff: 2EOC: E1-161.3-24 A corporations paid-in capital consists ofA. revenues and expenses.B. assets and liabilities.C. common stock. 推薦精選D. net income. Answer: CLO: 1-3Diff: 2EOC: S1-101.3-2推薦精

41、選5Net income is computed as:A. revenues expenses dividends.B. revenues + expenses.C. revenues expenses.D. revenues expenses + dividends.Answer: CLO: 1-3Diff: 2EOC: QC 81.3-26 Which of the following must be added to beginning Retained Earnings to compute ending Retained Earnings?A. Net incomeB. Expen

42、sesC. DividendsD. All of these answers are correct.Answer: ALO: 1-3Diff: 2EOC: P1-44A1.3-27 At the end of the current accounting period, account balances were as follows: Cash, $180,000; Accounts Receivable, $75,000; Common Stock, $20,000; Retained Earnings, $65,000. Liabilities for the period were:

43、A. $ 70,000.B. $170,000.C. $190,000.D. $210,000.Answer: BLO: 1-3Diff: 2EOC: S1-11.3-2推薦精選8On January 1, 2009, total assets for Liftoff Technologies were $125,000; on December 31, 2009, total assets were $145,000. On January 1, 2009, total liabilities were $110,000; on December 31, 2009, total liabil

44、ities were $115,000. What is the amount of the change and the direction of the change in Liftoff Technologies stockholders equity for 2009?A. Decrease of $15,000B. Increase of $15,000C. Increase of $30,000D. Decrease of $30,000Answer: BLO: 1-3Diff: 2EOC: QC 121.3-29 Revenues were $170,000, expenses

45、were $90,000, and cash dividends were $30,000. What was the net income and the change in retained earnings for the period? A.Net income was $50,000; change in retained earnings was $50,000B. Net income was $80,000; change in retained earnings was $50,000C. Net income was $80,000; change in retained

46、earnings was $80,000D. Net income was $250,000; change in retained earnings was $250,000Answer: BLO: 1-3Diff: 2EOC: E1-231.3-30 At the beginning of the period, assets were $490,000 and stockholders equity was $240,000. During the year, assets increased by $60,000, liabilities increased by $40,000, a

47、nd stockholders equity increased by $20,000. Beginning liabilities must have been:A. $230,000.B. $250,000.C. $280,000.D. $300,000.Answer: BLO: 1-3Diff: 3EOC: S1-11.3-3推薦精選1If assets increase $210,000 during a given period and liabilities increase $65,000 during the same period, stockholders equity m

48、ust:A. increase $145,000.B. decrease $275,000.C. decrease $145,000.D. increase $275,000.Answer: ALO: 1-3Diff: 3EOC: P1-44A1.3-32 If liabilities increase $120,000 during a given period and stockholders equity decreases $25,000 during the same period, assets must:A. increase $95,000.B. decrease $95,00

49、0.C. decrease $145,000.D. increase $145,000.Answer: ALO: 1-3Diff: 3EOC: P1-44A1.3-33 Stockholders equity for Commerce-GA Corporation on 01/01/2008 and 12/31/2008 were $60,000 and $75,000, respectively. Assets on 01/01/2008 and 12/31/2008 were $115,000 and $105,000, respectively. Liabilities on 01/01

50、/2008 were $55,000. What is the amount of liabilities on 12/31/2008?A. $40,000B. $15,000C. $30,000D. The amount is indeterminable from the given information.Answer: CLO: 1-3Diff: 3EOC: S1-11.4-1 Ramos, Inc. has monthly revenues of $30,000 and monthly expenses of $18,000, and the company paid $4,000

51、in dividends; therefore net income for the month is $8,000.Answer: FalseLO: 1-4Diff: 2EOC: S1-81.4-2 Able Co. has $500,000 in assets and $400,000 in liabilities; therefore the equity is $900,000.推薦精選Answer: FalseLO: 1-4Diff: 1EOC: S1-11.4-3 Yummy Inc. h推薦精選as beginning retained earnings of $10,000,

52、net income of $50,000, and dividends paid of $5,000; therefore the ending retained Earnings is $65,000. Answer: FalseLO: 1-4Diff: 2EOC: S1-81.4-4 Dividends appear on the:A. statement of retained earnings.B. both the statement of retained earnings and the income statement.C. income statement.D. balan

53、ce sheet.Answer: ALO: 1-4Diff: 2EOC: S1-121.4-5 Assets appear on the:A. balance sheet.B. income statement.C. statement of retained earnings.D. both balance sheet and the statement of retained earnings.Answer: ALO: 1-4Diff: 1EOC: S1-121.4-6 Common stock appears on the:A. balance sheet.B. income state

54、ment.C. statement of cash flows and the statement of retained earnings.D. None of the above are correct.Answer: ALO: 1-4Diff: 1EOC: S1-121.4-7 A companys gross profit for the period is reported on the: A. balance sheet.B. income statement.C. statement of cash flows.推薦精選D. statement of retained earni

55、ngs.Answer: BLO: 1-4Diff: 1EOC: S1-81.4-8 Gains and losses appear on which of the financial statements listed below?A. Balance sheetB. Income statementC. Statement of cash flowsD. Statement of retained earningsAnswer: BLO: 1-4Diff: 1EOC: S1-81.4-9 The ending balance in Retained Earnings appears on t

56、he:A. balance sheet only.B. balance sheet and statement of retained earnings.C. statement of retained earnings only.D. income statement and statement of cash flows.Answer: BLO: 1-4Diff: 2EOC: P1-49A1.4-10 Cash dividends:A. decrease revenue on the income statement.B. decrease retained earnings on the

57、 statement of retained earnings.C. increase expenses on the income statement.D. decrease operating activities on the statement of cash flows.Answer: BLO: 1-4Diff: 2EOC: S1-91.4-11 Which of the following financial statements shows the net increase or decrease in cash during the period?A. Balance shee

58、t onlyB. Statement of operations C. Statement of retained earnings and balance sheet推薦精選D. Statement of cash flowsAnswer: DLO: 1-4Diff: 1EOC: S1-12推薦精選1.4-12 An investor wishing to assess a companys financial position at the end of the period would probably examine the:A. statement of cash flows and

59、 the income statement.B. income statement only.C. balance sheet.D. statement of retained earnings.Answer: CLO: 1-4Diff: 2EOC: E1-261.4-13 A potential investor interested in evaluating a companys financial performance for the current period would probably examine which of the following financial stat

60、ements?A. Balance sheet onlyB. Income statement onlyC. Statement of cash flows and income statementD. Statement of retained earnings and balance sheetAnswer: BLO: 1-4Diff: 2EOC: E1-261.4-14 Which statement(s) summarizes the revenues and expenses of an entity?A. Balance sheet onlyB. Statement of cash