Acct 105 - Study guides, Class notes & Summaries

Question 1 of 10 10.0/ 10.0 Points The most important reason for preparing a statement of cash flows is to compute the change in cash. A. True B. False Answer Key: False Question 2 of 10 10.0/ 10.0 Points What is the stockholders’ equity to debt ratio for the following data? Total current liabilities (noninterest bearing) - $300,000; bonds payable, 5% (issued in 2007, due in 20 years) - $600,000; preferred 6% stock, $200 par - $240,000; common stock, $20 par - $480,000; premium on ...

Question 1 of 10 10.0/ 10.0 Points Because automobiles differ so much, their manufacture is likely to be accounted for in a job costing system. A. True B. False Answer Key: False Question 2 of 10 10.0/ 10.0 Points Which of the following would be classified as manufacturing overhead? (1) marketing research; (2) depreciation on president’s office facilities; (3) advertising; (4) factory taxes; (5) indirect materials; (6) machinery maintenance. A.1, 3, 4 are manufacturing overhead co...

Question 1 of 10 10.0/ 10.0 Points Inventory costs include only the seller’s invoice price less any purchase discounts. A. True B. False Answer Key: False Question 2 of 10 10.0/ 10.0 Points The following principle requires a company to show in its financial statements by means of a footnote or other manner, the inventory costing method used: A.conservation principle. B.full-disclosure

uestion 1 of 10 10.0/ 10.0 Points Section 404 of Sarbanes-Oxley levies duties on both management and outside auditors of public reporting companies. A. True B. False Answer Key: True Question 2 of 10 10.0/ 10.0 Points Which of the following is not one of the four specific responsibilities that PCAOB Auditing Standard No. 2 levies on company management? A.Accept responsibility for the effectiveness of the company’s internal control over financial reporting. B.Evaluate the effective...

Question 1 of 10 10.0/ 10.0 Points Depreciation provides cash for replacing plant assets; and this is the reason depreciation is shown as an inflow of cash on the statement of cash flows. A. True B. False Answer Key: False Question 2 of 10 10.0/ 10.0 Points Cash received from the issuance of long-term debt is a financing activity. A. True B. False Answer Key: True Question 3 of 10 10.0/ 10.0 Points When net income is used as a starting point in measuring cash flows from operating...

Question 1 of 10 10.0/ 10.0 Points Any reputable company has a cash flow liquidity ratio of greater than 1.0. A. True B. False Answer Key: False Question 2 of 10 10.0/ 10.0 Points The amount of depreciation expense in a period is added back to net income under the indirect method. A. True B. False Answer Key: True Question 3 of 10 0.0/ 10.0 Points What is the current ratio for the following data? Cash - $34,000; marketable securities - $16,000; accounts and notes receivable, net...

Question 1 of 10 10.0/ 10.0 Points Effective internal control systems successfully eliminate all misstatements in financial statements. A. True B. False Answer Key: False Question 2 of 10 10.0/ 10.0 Points SEC rules do not allow management to assert that a company has effective internal controls if: A.one or more material weaknesses exist. B.two or more material weaknesses exist. C.two or more immaterial weaknesses exist. D.one material weakness and one immaterial weakness exist. ...

Question 1 of 10 10.0/ 10.0 Points Recognizing revenue at the time of completion of production is called the installment basis of accounting. A. True B. False Answer Key: False Question 2 of 10 10.0/ 10.0 Points Many accounting measurements are estimates and involve approximation and judgment. A. True B. False Answer Key: True Question 3 of 10 10.0/ 10.0 Points Salaries Expense before adjustment at September 30, the end of the fiscal year, has a balance of $140,000. The amount o...

GFEBS L250E Acquisition Process Overview Exam Questions and Answers 100% Pass Spending Chain Process - Answer- The Acquisition process: Material Master Data Vendor Master Data Procurement with Logistics The Accounts Payable process Material Master Data - Answer- sub-process encompasses the creation and maintenance of material master data. The main activity associated with this sub-process is: Perform Material Configuration: Source, maintain, and apply material master data. Vendor Mas...

Question 1 of 10 0.0/ 10.0 Points An overstated ending inventory leads to understated net income. A. True B. False Answer Key: False Question 2 of 10 10.0/ 10.0 Points During a period of rising prices, which inventory costing method might be expected to give the lowest valuation for inventory on the balance sheet? A.LIFO B.FIFO C.Weighted-average cost D.Specific identification Answer Key: A Question 3 of 10