Exam (elaborations)
WGU D102 Financial Accounting Exam/333 Questions with answers
- Course
- Institution
WGU D102 Financial Accounting Exam/333 Questions with answers
[Show more]
Content preview
WGU D102 Financial AccountingExam/333 Questions with answers
What is a balance sheet?
Report of the total of the balances of all of a company's bank accounts
Report of the assets, liabilities, and equity of a company as of a point in time
Report of the revenues and expenses of a company during a period
Report of the operating, investing, and financing cash flows of a company
during a period - -Report of the assets, liabilities, and equity of a company
as of a point in time
- Which item is a liability?
Accounts payable
Retained earnings
Accounts receivable
Capital stock - -Accounts payable
- Which item is an owners' equity item?
Accounts payable
Accounts receivable
Retained earnings
Inventory - -Retained earnings
- Strime Company's assets equal $104,000, and its stockholders' equity
totals $68,500.
What is the amount of its liabilities?
$35,500
$172,500
$68,500
$104,000 - -$35,500
- The Whole Pine Company's liabilities equal $124,000, and its stockholders'
equity totals $68,500. What is the amount of its assets?
$55,500
$124,000
$68,500
$192,500 - -$192,500
,- Which is the proper description of the accounting equation?
Owners' Equity = Assets
Assets = Liabilities + Owners' Equity
Assets = Liabilities
Owners' Equity = Liabilities - -Assets = Liabilities + Owners' Equity
- After the effects of every transaction are considered and recorded, what
must the accounting equation do?
Equal itself, or balance
Equal total owners' equity
Equal total liabilities
Equal total assets - -Equal itself, or balance
- Which statement best describes the main features of inventories?
Goods due from customers who have purchased on account
Goods purchased and held for sale
Goods used by a company on a long-term basis, usually more than five years
Goods used by company employees on a daily basis - -Goods purchased and
held for sale
- What is a classified balance sheet?
A balance sheet that is not publicly disclosed
A balance sheet that distinguishes between current and long-term assets
A balance sheet that is for a period of time rather than as of a point in time
A balance sheet that separates liabilities from equities - -A balance sheet
that distinguishes between current and long-term assets
- What does owners' equity represent?
The difference between total assets and total liabilities
The difference between current assets and long-term assets
The difference between total liabilities and total owners' equity
The difference between current liabilities and long-term liabilities - -The
difference between total assets and total liabilities
- For most companies, when assets or liabilities are classified as "current" on
the balance sheet, it generally means the related assets or liabilities will be
turned into cash or will be required to be paid, respectively, within what time
frame?
The next quarter
The next six months
,The next month
The next year - -The next year
- What is owners' equity?
An economic resource that is owned or controlled by a company
An obligation to pay cash, transfer other assets, or provide services to
someone else
A residual amount representing the net assets available after all obligations
have been satisfied
The sum of operating, investing, and financing cash flows - -A residual
amount representing the net assets available after all obligations have been
satisfied
- Which item is an asset?
Accounts receivable
Capital stock
Retained earnings
Accounts payable - -Accounts receivable
- According to the accounting equation, what is the correct computation of
owners' equity?
Total Assets + Liabilities
Total Assets - Liabilities
Cash + Bank Loan Balance
Cash - Bank Loan Balance - -Total Assets - Liabilities
- What is an accurate description of accounts payable?
Obligation arising from the purchase of inventory on account
Obligation arising from the sale of office supplies on account
Obligation arising from the payment of income taxes on account
Obligation arising from the sale of equipment on account - -Obligation
arising from the purchase of inventory on account
- Bullzai Company's financial records include these accounts at the end of
the year:
Land
Accounts Receivable
Buildings
Inventory
Loans Payable
Accounts Payable
, Retained Earnings
Capital Stock
Cash
Which set of items composes a complete listing of Bullzai's current assets?
Cash, retained earnings, and capital stock
Cash, buildings, and land
Cash, accounts receivable, and inventory
Cash, inventory, and capital stock - -Cash, accounts receivable, and
inventory
- What is bad debt expense?
Amount of uncollectible accounts created by credit sales during the year
Amount of inventory lost, stolen, or sold during the year
Amount of gross profit divided by sales for the year
Amount of wear and tear on long-lived assets during the year - -Amount of
uncollectible accounts created by credit sales during the year
- Which item is an expense item?
Cost of Goods Sold
Sales
Cash
Accounts Payable - -Cost of Goods Sold
- What is a single-step income statement?
Emphasizes separate computation of gross profit and operating income
Groups and total revenues/groups and total expenses
Omits both interest expense and income tax expense
Includes all other expenses, but omits income tax expense - -Groups and
total revenues/groups and total expenses
- What is "gross profit"?
Sales − Cost of Goods Sold.
Accounts Receivable − Accounts Payable
Total Assets − Total Liabilities
Total Revenues − Total Expenses - -Sales − Cost of Goods Sold.
- What is a company's gross profit percentage?
Net Income ÷ Owners' Equity
Gross Profit ÷ Sales
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 Nursephil2023. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $20.49. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
83637 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy study notes for 14 years now