Accounting for Decision Makers - C213
Pre Assessment
Which of the following is the most correct definition of accounting? - CORRECT
ANSWER-A system for providing quantitative information, primarily financial in
nature, about economic entities that is intended to be useful in making economic
decisions
What is NOT typically true of accounting information? - CORRECT
ANSWER-The information relates to future time periods.
Which is NOT a key component of the definition of accounting? - CORRECT
ANSWER-Qualitative
What is true about the double-entry system of bookkeeping? - CORRECT
ANSWER-It was developed in the 1300s−1400s in Italy.
Businesses use accounting systems to - CORRECT ANSWER-Analyze
transactions; Handle routine bookkeeping tasks; Evaluate performance and
health of the business.
What is not a function of accounting? - CORRECT ANSWER-Executing sales
transactions for organizations
What is NOT one of the three primary financial statements? - CORRECT
ANSWER-Statement of retained earnings
Generally accepted accounting principles are - CORRECT ANSWER-Developed
by accounting rule makers
The initials GAAP stand for - CORRECT ANSWER-Generally Accepted
Accounting Principles
The current standard-setting board for accounting in the private sector is the -
CORRECT ANSWER-Financial Accounting Standards Board (FASB)
,Which of the following organizations has specific legal authority to establish
accounting standards for publicly held companies? - CORRECT
ANSWER-Securities and Exchange Commission (SEC)
Which is NOT a service typically provided by large public accounting firms? -
CORRECT ANSWER-Making management decisions
The organization that develops worldwide accounting standards is the -
CORRECT ANSWER-International Accounting Standards Board (IASB)
The initials CPA stand for - CORRECT ANSWER-Certified Public Accountant
Which of the following financial statements reports a company's resources,
obligations, and owner's equity? - CORRECT ANSWER-Balance sheet
Which of the following financial statements reports the excess of a company's
revenues over its expenses? - CORRECT ANSWER-Income statement
Which of the following financial statements reports the amount of cash collected
and paid out by a company? - CORRECT ANSWER-Statement of cash flows
The emphasis in financial accounting is on which of the following external user
groups? - CORRECT ANSWER-Investors and creditors
The primary internal group that uses accounting information is - CORRECT
ANSWER-Management
Internal reports are generally used by - CORRECT ANSWER-Management
Which of the following is NOT an external user of financial information? -
CORRECT ANSWER-Management
Which of the following is NOT true of the Financial Accounting Standards Board
(FASB)? - CORRECT ANSWER-It is a government agency
, Generally accepted accounting principles are - CORRECT ANSWER-Developed
by accounting rule makers
The initials GAAP stand for - CORRECT ANSWER-Generally Accepted
Accounting Principles
The current standard-setting board for accounting in the private sector is the -
CORRECT ANSWER-Financial Accounting Standards Board (FASB)
Which of the following organizations has specific legal authority to establish
accounting standards for publicly held companies? - CORRECT
ANSWER-Securities and Exchange Commission (SEC)
Which of the following is NOT a service typically provided by large public
accounting firms? - CORRECT ANSWER-Making management decisions
The organization that develops worldwide accounting standards is the -
CORRECT ANSWER-International Accounting Standards Board (IASB)
The initials CPA stand for - CORRECT ANSWER-Certified Public Accountant
Standards established by the International Accounting Standards Board are
referred to as - CORRECT ANSWER-International Financial Accounting
Standards
Which of the following is NOT a reason for the integration of worldwide
accounting standards? - CORRECT ANSWER-the theoretical necessity of a
common set of accounting standards
The International Accounting Standards Board (IASB) is charged with developing
worldwide accounting practices - CORRECT ANSWER-True
With the current state of information technology, investors outside a company are
now allowed access to a company's internal database of financial information
and do their own customized analysis of a firm's performance. - CORRECT
ANSWER-False
Pre Assessment
Which of the following is the most correct definition of accounting? - CORRECT
ANSWER-A system for providing quantitative information, primarily financial in
nature, about economic entities that is intended to be useful in making economic
decisions
What is NOT typically true of accounting information? - CORRECT
ANSWER-The information relates to future time periods.
Which is NOT a key component of the definition of accounting? - CORRECT
ANSWER-Qualitative
What is true about the double-entry system of bookkeeping? - CORRECT
ANSWER-It was developed in the 1300s−1400s in Italy.
Businesses use accounting systems to - CORRECT ANSWER-Analyze
transactions; Handle routine bookkeeping tasks; Evaluate performance and
health of the business.
What is not a function of accounting? - CORRECT ANSWER-Executing sales
transactions for organizations
What is NOT one of the three primary financial statements? - CORRECT
ANSWER-Statement of retained earnings
Generally accepted accounting principles are - CORRECT ANSWER-Developed
by accounting rule makers
The initials GAAP stand for - CORRECT ANSWER-Generally Accepted
Accounting Principles
The current standard-setting board for accounting in the private sector is the -
CORRECT ANSWER-Financial Accounting Standards Board (FASB)
,Which of the following organizations has specific legal authority to establish
accounting standards for publicly held companies? - CORRECT
ANSWER-Securities and Exchange Commission (SEC)
Which is NOT a service typically provided by large public accounting firms? -
CORRECT ANSWER-Making management decisions
The organization that develops worldwide accounting standards is the -
CORRECT ANSWER-International Accounting Standards Board (IASB)
The initials CPA stand for - CORRECT ANSWER-Certified Public Accountant
Which of the following financial statements reports a company's resources,
obligations, and owner's equity? - CORRECT ANSWER-Balance sheet
Which of the following financial statements reports the excess of a company's
revenues over its expenses? - CORRECT ANSWER-Income statement
Which of the following financial statements reports the amount of cash collected
and paid out by a company? - CORRECT ANSWER-Statement of cash flows
The emphasis in financial accounting is on which of the following external user
groups? - CORRECT ANSWER-Investors and creditors
The primary internal group that uses accounting information is - CORRECT
ANSWER-Management
Internal reports are generally used by - CORRECT ANSWER-Management
Which of the following is NOT an external user of financial information? -
CORRECT ANSWER-Management
Which of the following is NOT true of the Financial Accounting Standards Board
(FASB)? - CORRECT ANSWER-It is a government agency
, Generally accepted accounting principles are - CORRECT ANSWER-Developed
by accounting rule makers
The initials GAAP stand for - CORRECT ANSWER-Generally Accepted
Accounting Principles
The current standard-setting board for accounting in the private sector is the -
CORRECT ANSWER-Financial Accounting Standards Board (FASB)
Which of the following organizations has specific legal authority to establish
accounting standards for publicly held companies? - CORRECT
ANSWER-Securities and Exchange Commission (SEC)
Which of the following is NOT a service typically provided by large public
accounting firms? - CORRECT ANSWER-Making management decisions
The organization that develops worldwide accounting standards is the -
CORRECT ANSWER-International Accounting Standards Board (IASB)
The initials CPA stand for - CORRECT ANSWER-Certified Public Accountant
Standards established by the International Accounting Standards Board are
referred to as - CORRECT ANSWER-International Financial Accounting
Standards
Which of the following is NOT a reason for the integration of worldwide
accounting standards? - CORRECT ANSWER-the theoretical necessity of a
common set of accounting standards
The International Accounting Standards Board (IASB) is charged with developing
worldwide accounting practices - CORRECT ANSWER-True
With the current state of information technology, investors outside a company are
now allowed access to a company's internal database of financial information
and do their own customized analysis of a firm's performance. - CORRECT
ANSWER-False
