MANAGERIAL ACCOUNTING FOR DECISION
MAKERS HANLON COMPLETE COURSE
REVIEW GUIDE
◉ Statement of cash flows.
Answer: Which report summarizes cash collections and cash
expenditures from operating, investing, and financing activities over
a period of time?
◉ Employees.
Answer: Which users would have a primary concern with an
organization's ability to provide healthcare benefits?
◉ An increase in its compatibility to other companies.
Answer: Which benefit does a corporation gain by following
Generally Accepted Accounting Principles (GAPP)?
◉ The Public Company Accounting Oversight Board (PACOB).
Answer: Which body regulates a certified public accounting firm's
audit practices when the firm is auditing a large publicly traded
company?
◉ Information technology.
,Answer: What has had the most significant impact on Accounting
practices?
◉ Ownership and Debt.
Answer: What two items of information are revealed on the balance
sheet?
◉ Owners equity.
Answer: Which term is defined as the residual in the net assets of a
company?
◉ In 2014, a company provides services to a customer for which
cash will be collected the next year (2015)..
Answer: Which situation should result in revenue recognition on the
income statement for the year ending 12/31/14 if the firm is using
accrual accounting?
◉ Cash from financing activities.
Answer: Which category on the statement of cash flows summarizes
cash receipts and payments to owners and creditors of the
company?
◉ In the notes to financial statements.
,Answer: Where would an investor find a summary of a company's
significant accounting policies?
◉ The company's financial statements fairly reflect its financial
position.
Answer: Which assurance does an external audit report provide for
its readers?
◉ Reliable.
Answer: Information that can be verified
◉ Relevant.
Answer: Information having to do with the matter at hand
◉ Material.
Answer: Information that is important enough to make a difference
◉ Conservatism.
Answer: Information related to recognizing losses as they occur
◉ Continual decrease in sales.
Answer: What is consistent with a continual decline in gross profit if
the firm's cost of goods sold remains the same?
, ◉ Notes payable expected to be paid in 18 months.
Answer: Which form of debt should be reported in the long-term
liability category?
◉ Operating expenses &
Ordinary gains and losses.
Answer: Which values affect the measurement of net income?
◉ Gross profit &
Income from operations.
Answer: Which items' subtotals are included in a multi-step income
statement?
◉ Cash from investing activities.
Answer: What is a common category in a statement of cash flows?
◉ Cash from financing activities.
Answer: Which cash flow category would include "cash received
from investors"?
◉ Cash payments for purchase of plant assets.
MAKERS HANLON COMPLETE COURSE
REVIEW GUIDE
◉ Statement of cash flows.
Answer: Which report summarizes cash collections and cash
expenditures from operating, investing, and financing activities over
a period of time?
◉ Employees.
Answer: Which users would have a primary concern with an
organization's ability to provide healthcare benefits?
◉ An increase in its compatibility to other companies.
Answer: Which benefit does a corporation gain by following
Generally Accepted Accounting Principles (GAPP)?
◉ The Public Company Accounting Oversight Board (PACOB).
Answer: Which body regulates a certified public accounting firm's
audit practices when the firm is auditing a large publicly traded
company?
◉ Information technology.
,Answer: What has had the most significant impact on Accounting
practices?
◉ Ownership and Debt.
Answer: What two items of information are revealed on the balance
sheet?
◉ Owners equity.
Answer: Which term is defined as the residual in the net assets of a
company?
◉ In 2014, a company provides services to a customer for which
cash will be collected the next year (2015)..
Answer: Which situation should result in revenue recognition on the
income statement for the year ending 12/31/14 if the firm is using
accrual accounting?
◉ Cash from financing activities.
Answer: Which category on the statement of cash flows summarizes
cash receipts and payments to owners and creditors of the
company?
◉ In the notes to financial statements.
,Answer: Where would an investor find a summary of a company's
significant accounting policies?
◉ The company's financial statements fairly reflect its financial
position.
Answer: Which assurance does an external audit report provide for
its readers?
◉ Reliable.
Answer: Information that can be verified
◉ Relevant.
Answer: Information having to do with the matter at hand
◉ Material.
Answer: Information that is important enough to make a difference
◉ Conservatism.
Answer: Information related to recognizing losses as they occur
◉ Continual decrease in sales.
Answer: What is consistent with a continual decline in gross profit if
the firm's cost of goods sold remains the same?
, ◉ Notes payable expected to be paid in 18 months.
Answer: Which form of debt should be reported in the long-term
liability category?
◉ Operating expenses &
Ordinary gains and losses.
Answer: Which values affect the measurement of net income?
◉ Gross profit &
Income from operations.
Answer: Which items' subtotals are included in a multi-step income
statement?
◉ Cash from investing activities.
Answer: What is a common category in a statement of cash flows?
◉ Cash from financing activities.
Answer: Which cash flow category would include "cash received
from investors"?
◉ Cash payments for purchase of plant assets.
