ACCOUNTING 211 PRACTICE QUESTIONS AND
DETAILED SOLUTIONS
◉ An external user of accounting information.
Answer: does not directly run the organization
◉ A process of analyzing data to identify meaningful relations and
trends is called data....
Answer: analytics/analysis
◉ According to the fraud triangle, the three factors that must exist
for a person to commit fraud include.
Answer: opportunity, rationalization, pressure/incentive
◉ What are Generally Accepted Accounting Principles?.
Answer: The concepts and rules that govern financial accounting
practice.
◉ The FASB conceptual framework consists of.
Answer: objectives, qualitative characteristics, elements, recognition
and measurement
, ◉ A(n) _____ user of accounting information does not directly run the
organization..
Answer: external
◉ Which of the statement(s) below define(s) an asset?.
Answer: Resources with expected future benefits, resources
controlled by the business, an amount owned
◉ A graphical presentation of data to help in understanding their
significance is called data.
Answer: visualization
◉ Which of the following statements explain(s) how the accounting
equation applies to businesses?.
Answer: The relation of assets, liabilities and equity is reflected in
the equatio; the equation states that Assets = Liabilities + Equity; the
equation reflects that the total of what a business owns at any point
in time will equal the total of what it owes creditors and owners; the
equation applies to all transactions and events.
◉ An employee that is having trouble paying his personal bills might
exhibit the following fraud factor.
Answer: pressure
DETAILED SOLUTIONS
◉ An external user of accounting information.
Answer: does not directly run the organization
◉ A process of analyzing data to identify meaningful relations and
trends is called data....
Answer: analytics/analysis
◉ According to the fraud triangle, the three factors that must exist
for a person to commit fraud include.
Answer: opportunity, rationalization, pressure/incentive
◉ What are Generally Accepted Accounting Principles?.
Answer: The concepts and rules that govern financial accounting
practice.
◉ The FASB conceptual framework consists of.
Answer: objectives, qualitative characteristics, elements, recognition
and measurement
, ◉ A(n) _____ user of accounting information does not directly run the
organization..
Answer: external
◉ Which of the statement(s) below define(s) an asset?.
Answer: Resources with expected future benefits, resources
controlled by the business, an amount owned
◉ A graphical presentation of data to help in understanding their
significance is called data.
Answer: visualization
◉ Which of the following statements explain(s) how the accounting
equation applies to businesses?.
Answer: The relation of assets, liabilities and equity is reflected in
the equatio; the equation states that Assets = Liabilities + Equity; the
equation reflects that the total of what a business owns at any point
in time will equal the total of what it owes creditors and owners; the
equation applies to all transactions and events.
◉ An employee that is having trouble paying his personal bills might
exhibit the following fraud factor.
Answer: pressure
