Accounting Exam 3 Questions And Answers
2026 Update!!!
the sum of all depreciation expense over all the
Accounting Depreciation
years the asset has been in service
Book Value ( Net) Cost - Accumulated Depreciation
Book Value should equal? the salvage value at the end of the an assets life
Accumulated depreciation reported where? in the balance sheet
Tangible assets? depreciation expense
intangible events? have identifiable lives with amortization expense
natural resources ? with depletion expense
recognize the loss of value in goodwill with? impairment loss
Accounts Receivable - Allowance for Doubtful
Net Realizable Value
accounts
FICA taxes and income taxes are withheld from? the employee’s paycheck
Unemployement taxes are a payroll related? expense the employer has to pay
cap on social security 110,000
Cap on medicare no cap on medicare
cap on unemployment taxes 7,000
when a bank collects an account receivable for a the depositor is notified through a credit memo
depositor, that is included with the bank statement
they are help responsible for their actions and
Employees are more likely to exercise
when they have the authority to use their own
reasonable caution when?
judgement
keeping account records in a fireproof vault
physical control examples are:
anannounced physical equipment counts
, few people can evaluate their own performance
performance evalutions are necessary because?
objectively
effect on the financial statement when the bank
total assets will not be affected, cash inflow of
collected a $100 account receivable for
$100
company ING?
the journal entry to recognize a non-sufficient a credit to the cash account and a debit to the
funds (NSF) check includes a credit? accounts receivable account
insurance that protects a company from losses
fidelity bond
caused by employee dishonesty
appropriate accounting operations should be
documented in a that is routinely procedures manuel
updated
if an auditor is unable to perform the audit
procedures necessary to determine whether the
the auditor must issue a disclaimer of opinion
statements are prepared in accorance with
GAAP?
the bank statement is reconciled when the true
unadjusted bank balance is adjusted to equal
cash balance is the same when determined from
the true cash balance
two different perspectives and
when a bank collects an account receivable for a the depositor is notified through a credit memo
depositor, that is included with the bank statement
keeping a record of the serial number on a
computer and the name of the individual that is an example of a physical control
responsible for the equipment is ?
without opportunity, could not exist fraud
Pizza oven, land, filing cabinet, silver mine, office
building, drill press, oil well, and desk are tangible long-term operational assets
examples of ?
franchise, copyright, patent, and goodwill are
intangible long term operational assets
examples of
term used to describe the process of expense
depreciation
recognition for property, plant, and equipment
a bank reconciliation normally begins with the ? unadjusted bank balance
when a bank charges depositors for services or debit memo
failure to maintain a specific balance the
2026 Update!!!
the sum of all depreciation expense over all the
Accounting Depreciation
years the asset has been in service
Book Value ( Net) Cost - Accumulated Depreciation
Book Value should equal? the salvage value at the end of the an assets life
Accumulated depreciation reported where? in the balance sheet
Tangible assets? depreciation expense
intangible events? have identifiable lives with amortization expense
natural resources ? with depletion expense
recognize the loss of value in goodwill with? impairment loss
Accounts Receivable - Allowance for Doubtful
Net Realizable Value
accounts
FICA taxes and income taxes are withheld from? the employee’s paycheck
Unemployement taxes are a payroll related? expense the employer has to pay
cap on social security 110,000
Cap on medicare no cap on medicare
cap on unemployment taxes 7,000
when a bank collects an account receivable for a the depositor is notified through a credit memo
depositor, that is included with the bank statement
they are help responsible for their actions and
Employees are more likely to exercise
when they have the authority to use their own
reasonable caution when?
judgement
keeping account records in a fireproof vault
physical control examples are:
anannounced physical equipment counts
, few people can evaluate their own performance
performance evalutions are necessary because?
objectively
effect on the financial statement when the bank
total assets will not be affected, cash inflow of
collected a $100 account receivable for
$100
company ING?
the journal entry to recognize a non-sufficient a credit to the cash account and a debit to the
funds (NSF) check includes a credit? accounts receivable account
insurance that protects a company from losses
fidelity bond
caused by employee dishonesty
appropriate accounting operations should be
documented in a that is routinely procedures manuel
updated
if an auditor is unable to perform the audit
procedures necessary to determine whether the
the auditor must issue a disclaimer of opinion
statements are prepared in accorance with
GAAP?
the bank statement is reconciled when the true
unadjusted bank balance is adjusted to equal
cash balance is the same when determined from
the true cash balance
two different perspectives and
when a bank collects an account receivable for a the depositor is notified through a credit memo
depositor, that is included with the bank statement
keeping a record of the serial number on a
computer and the name of the individual that is an example of a physical control
responsible for the equipment is ?
without opportunity, could not exist fraud
Pizza oven, land, filing cabinet, silver mine, office
building, drill press, oil well, and desk are tangible long-term operational assets
examples of ?
franchise, copyright, patent, and goodwill are
intangible long term operational assets
examples of
term used to describe the process of expense
depreciation
recognition for property, plant, and equipment
a bank reconciliation normally begins with the ? unadjusted bank balance
when a bank charges depositors for services or debit memo
failure to maintain a specific balance the
