ACCT 5312 EXAM 1 With Questions
And Answers 2026|100% Correct
The authoritative financial accounting standards-setting body in the United States is presently the: -
ANSWER>Financial Accounting Standards Board (FASB)
Retained Earnings represents: - ANSWER>cumulative net income that has not been distributed to stockholders as
dividends.
The Statement of Cash Flows: - ANSWER>shows how cash changed during the period.
Accrual accounting: - ANSWER>is designed to match revenues and expenses.
Additional paid-in capital represents: - ANSWER>the difference between the total amounts invested by the
stockholders and the par or stated value of the stock.
On January 31, an entity's balance sheet showed total assets of $2,250 and liabilities of $750. Stockholders' equity
at January 31 was: - ANSWER>$1,500
, Which of the following accounting methods accomplishes much of the matching of revenues and expenses? -
ANSWER>Accrual accounting.
The principle of consistency means that - ANSWER>the effect of any change in an accounting method will be
disclosed in the financial statements or notes thereto.
Balance Statement - ANSWER>A financial statement that summarizes a company's assets, liabilities and
shareholders' equity at a specific point in time.
Balance Statement is also called - ANSWER>Statement of Financial Position
Income Statement - ANSWER>A financial statement that reports a company's revenues and expenses and resulting
net income or net loss for a specific period of time.
Three Principal forms of Business Organizations - ANSWER>Proprietorship, Partnership, and Corporation
Accounting Equation - ANSWER>Assets = Liabilities + Stockholders' Equity
And Answers 2026|100% Correct
The authoritative financial accounting standards-setting body in the United States is presently the: -
ANSWER>Financial Accounting Standards Board (FASB)
Retained Earnings represents: - ANSWER>cumulative net income that has not been distributed to stockholders as
dividends.
The Statement of Cash Flows: - ANSWER>shows how cash changed during the period.
Accrual accounting: - ANSWER>is designed to match revenues and expenses.
Additional paid-in capital represents: - ANSWER>the difference between the total amounts invested by the
stockholders and the par or stated value of the stock.
On January 31, an entity's balance sheet showed total assets of $2,250 and liabilities of $750. Stockholders' equity
at January 31 was: - ANSWER>$1,500
, Which of the following accounting methods accomplishes much of the matching of revenues and expenses? -
ANSWER>Accrual accounting.
The principle of consistency means that - ANSWER>the effect of any change in an accounting method will be
disclosed in the financial statements or notes thereto.
Balance Statement - ANSWER>A financial statement that summarizes a company's assets, liabilities and
shareholders' equity at a specific point in time.
Balance Statement is also called - ANSWER>Statement of Financial Position
Income Statement - ANSWER>A financial statement that reports a company's revenues and expenses and resulting
net income or net loss for a specific period of time.
Three Principal forms of Business Organizations - ANSWER>Proprietorship, Partnership, and Corporation
Accounting Equation - ANSWER>Assets = Liabilities + Stockholders' Equity
