Acct304 Quiz

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acct304 midterm exam Click Link Below To Buy: http://hwcampus.com/shop/acct304-midterm-exam/ midterm Question 1. Question : (TCO 1) Which of the following has the authority to set accounting standards in the United States? FASB IRS SEC AICPA : 1 Question 2. Question : (TCO 2) SFAC No.5 focuses on: objectives of financial reporting. qualitative characteristics of accounting information. Recognition and measurement concepts in accounting, including assumptions and principles. elements of financial statements. : 1 5 of 5 Question 3. Question : (TCO 3) Mary Parker Co. invested $15,000 in ABC Corporation and received capital stock in exchange. Mary Parker Co.’s journal entry to record this transaction would include a: debit…show more content…
a credit to liability. : 2 5 of 5 Question 5. Question : (TCO 3) Temporary accounts would not include: salaries payable. depreciation expense. supplies expense. cost of goods sold. : 2 5 of 5 Question 6. Question : (TCO 4) Notes payable: is a current liability account. usually has a debit balance. is a non-current liability account. cannot determine its classification without additional information. : 2 5 of 5 Question 7. Question : (TCO 4) The current ratio is given by: current assets divided by non-current assets. current assets divided by total assets. current assets divided by current liabilities. current assets divided by total liabilities. : 3 5 of 5 Question 8. Question : (TCO 5) The distinction between operating and non-operating income relates to: continuity of income. principal activities of the reporting entity. consistency of income stream. reliability of measurements. : 4 5 of 5 Question 9. Question : (TCO 5) A voluntary change in accounting principle is accounted for by: a cumulative effect on income in the year of the change. a retrospective reporting of all comparative financial statements shown. a prior period adjustment. a separate line component of…show more content…
dividends received. : 4 5 of 5 Question 13. Question : (TCO 4) Which is a shareholders’ equity account in the balance sheet? Accumulated depreciation Paid-in capital Dividends payable Marketable securities : 3 5 of 5 Question 14. Question : (TCO 4) Which of the following groups is not among the external users for whom financial statements are prepared? Customers Suppliers Employees All of the above are external users of financial statements. (TCO 5) Misty Company reported the following before-tax items during the current year: Misty’s effective tax rate is 40% and there were 1,000 shares of common stock outstanding. What would be Misty’s income before extraordinary item(s)? Question 2. Question : (TCO 4) Listed below are account balances (in $millions) taken from the records of Symphony Stores. All of these are permanent accounts, except the last two that have yet to be closed. The installment receivables are current. Symphony uses a perpetual inventory system. What would Symphony report as total assets? Hint: Don’t forget to deduct the contra assets. (TCO 4) Explain how management’s discussion and analysis of its operations and liquidity may be helpful to

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