Exam (elaborations)
ETS Business Exam Study Guide questions n answers
- Course
- Institution
ETS Business Exam Study Guide questions n answers
[Show more]
Content preview
ETS Business Exam Study GuideAccounting: What costs should be considered when making non-routine decisions? (3) - correct answer
✔✔The price of material, Factory overhead costs, and the price of labor
Accounting: Total product/ units produced and sold equals?? - correct answer ✔✔Product Cost per Unit
Accounting: What is a general explanation of what the contribution margin is? - correct answer ✔✔The
difference between variable costs subtracted from sales
Accounting: In a continuous budget plan how many months are generally planned? - correct answer
✔✔12 months
Accounting: Which of the following is not one of the weaknesses of standard costing - correct answer
✔✔It makes accounting for price increases more accurate
Accounting: What are the potential ways to find the price of what a produced products should cost? (3) -
correct answer ✔✔Product cost concept, total cost concept, and variable cost concept
Accounting: Which report is the connecting link between the income statement and the balance sheet? -
correct answer ✔✔Cash flow statement
The net cash flow from operating activities normally differs from the amount of net income for the
period. - correct answer ✔✔True
Accounting: Expense accounts would have a balance on which side? - correct answer ✔✔Left side
Accounting: A profit-making business operating as a separated legal entity and in which ownership is
divided into shares of stock is known as a... - correct answer ✔✔Corporation
,Accounting: A debt may slightly - correct answer ✔✔Increase in an asset account
Accounting: What would be classified as a current asset on the balance sheet - correct answer
✔✔Accounts receivable
Accounting: What are the elements of internal control? (3) - correct answer ✔✔Control environment,
monitoring, and control procedures.
True or False: A cash distribution of earnings by a corporation to its stockholders is called a CASH
DIVIDEND. The 3 conditions that a corporation must meet to pay a cash dividend are: sufficient retained
earnings, sufficient cash, and formal action by the board of directors. - correct answer ✔✔True
Accounting: Factors in computing depreciation are? - correct answer ✔✔Initial cost + residual value =
depreciable
Accounting: The statement of cash flows reports a firm's major cash inflows and outflows for a period. It
provides useful information about a company's ability to do the following?? - correct answer ✔✔Meet
its financial obligations, generate cash from operations, and maintain and expand its operating capacity
Accounting: True or False: Notes receivables are amounts that customers owe for which a formal, written
instrument of credit has been issued. If longer than a year it is considered an investment. - correct
answer ✔✔True
Accounting: The excess of current assets of a business over its current liabilities is called? - correct
answer ✔✔Working capital
Accounting: What 2 categories are considered under period costs? - correct answer ✔✔selling expenses
and administrative expenses
Accounting: The effect of a difference in the number of units sold, assuming no charge in unit sales price
or unit cost is... - correct answer ✔✔Quantity factor
, Accounting: A cost that will not be affected by later decisions is termed an - correct answer ✔✔Sunk
Cost
Accounting: The unfavorable volume variance may be due to all but the following facts... - correct answer
✔✔Unexpected increases in the cost of utilities
Accounting: What budget allows for adjustments in activity levels? - correct answer ✔✔Flexible budget
Accounting: A budget that summarizes future plans for the acquisition of fixed assets is the... - correct
answer ✔✔Capital expenditures budget
Accounting: What are the standard framework of guidelines for financial accounting used in any given
jurisdiction, also known as accounting standards?? - correct answer ✔✔GAAP
Economics: What occurs when the price level rises? - correct answer ✔✔People need to hold more
money, so interest rates rise, making firms borrow and invest less
Economics: The federal government enacted regulation in the 1960's requiring people to wear seatbelt
in their cars. All of the following resulted from this regulation, EXCEPT: - correct answer ✔✔Fewer
pedestrians were killed in car accidents.
Economics: Which of the following is true regarding the production possibilities frontier model of the
economy? - correct answer ✔✔Any point along the PPF represents an efficient level of production.
Economics: If the price in a market happens to be above equilibrium, there will be a _____ in the market,
and the price will tend to _____. - correct answer ✔✔Surplus, drop
Economics: The price elasticity of demand tends to be more elastic... - correct answer ✔✔At points
further up and to the left along the demand curve
Economics: If a tax imposed on a good and the incidence of the tax ends up falling more heavily on the
buyers than on the sellers, this will be because... - correct answer ✔✔Demand is less elastic than supply
for that good
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller BravelRadon. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $17.99. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
72042 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy study notes for 14 years now