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FinancialAccountingFundamentals,8thEdition
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ByJohnWild,Chapter1-13
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,Chapter1:AccountinginBusiness
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Chapter2:AccountingforBusinessTransactions
fg fg fg fg fg f g f g Chapter3:AdjustingAccountsfor
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FinancialStatements Chapter4:AccountingforMerchandisingOperations
fg fg f gf g fg fg fg fg fg f g f g Chapter
5:Inventories and Cost of Sales
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Chapter 6: Cash,Fraud, andInternal Control
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Receivables
fg f g f g Chapter8:AccountingforLong-TermAssetsfg fg fg fg fg f g f g Chapter
9:AccountingforCurrentLiabilities
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Chapter10:AccountingforLong-TermLiabilities
fg fg fg fg fg f g f g Chapter11:Corporate fg fg
ReportingandAnalysis
fg fg fg f g f g Chapter12:ReportingCashFlows
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Chapter13:AnalysisofFinancialStatements
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, Answers are at the End of Each Chapter
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Chapter1:AccountinginBusiness
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Student name: fgfg fgfg
TRUE/FALSE - Write 'T' if the statement is true and 'F' if the statement is false.
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1) Accounting is an information and measurement system that identifies, records,
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f andcommunicates an organization's business activities.
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⊚ true fgfg fgfg f g f g
⊚ fgfg fgfg f g f g false
2) Accounting includes the analysis and interpretation of information.
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⊚ fgfg fgfg f g f g true
⊚ false fgfg fgfg f g f g
3) Financial accounting focuses on the needs of external users, who get accounting
informationfrom general-purpose financial statements.
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f g f g f g f g fgfg f g f g
⊚ fgfg fgfg f g f g true
⊚ false fgfg fgfg f g f g
4) Internal users of accounting information do not directly manage the organization and
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havelimited access to its accounting information. fgfg fgfg fgfg fgfg fgfg
⊚ fgfg fgfg f g f g true
⊚ fgfg fgfg f g f g false
5) Auditors verify the effectiveness of internal controls.
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⊚ fgfg fgfg f g f g true
⊚ false fgfg fgfg f g f g
6) External auditors examine financial statements to verify that they are prepared
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according
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togenerallyaccepted accounting principles. fg fg fgfg
⊚ fgfg fgfg f g f g true
⊚ fgfg fgfg f g f g false
7) External users include lenders, shareholders, customers, and regulators.
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⊚ fgfg fgfg f g f g true
⊚ fgfg fgfg f g f g false
, 8) Internal users include lenders, shareholders, brokers and nonexecutive employees.
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⊚ fgfg fgfg f g f g true
⊚ fgfg fgfg f g f g false
9) Opportunities in accounting include auditing, consulting, market research, and tax planning.
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⊚ fgfg fgfg f g f g true
⊚ false fgfg fgfg f g f g
10) The fraud triangle shows that three factors that push a person to commit fraud
areopportunity, pressure, and rationalization.
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⊚ fgfg fgfg f g f g true
⊚ false fgfg fgfg f g f g
11) Internal controls are procedures to protect assets, ensure reliable accounting,
promoteefficiency, and uphold company policies.
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fgfg fgfg fgg fgfg
⊚ fgfg fgfg f g f g true
⊚ fgfg fgfg f g f g false
12) A partnership is a business owned by two or more people.
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⊚ fgfg fgfg f g f g true
⊚ fgfg fgfg f g f g false
13) Owners of a corporation are called shareholders or stockholders.
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⊚ fgfg fgfg f g f g true
⊚ fgfg fgfg f g f g false
14) In a partnership, the owners are called stockholders.
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⊚ fgfg fgfg f g f g true
⊚ fgfg fgfg f g f g false
15) The balance sheet shows a company's net income or loss over a period of time.
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⊚ fgfg fgfg f g f g true
⊚ false fgfg fgfg f g f g
16) The Financial Accounting Standards Board (FASB) is given the task of setting generally
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accepted accounting principles (GAAP) from the Securities and Exchange Commission.
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⊚ fgfg fgfg
true
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⊚ fgfg fgfg
fgfg false
fg
FinancialAccountingFundamentals,8thEdition
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ByJohnWild,Chapter1-13
fg fg fg fg fg fg
,Chapter1:AccountinginBusiness
fg fg fg fg
Chapter2:AccountingforBusinessTransactions
fg fg fg fg fg f g f g Chapter3:AdjustingAccountsfor
fg fg fg fg
FinancialStatements Chapter4:AccountingforMerchandisingOperations
fg fg f gf g fg fg fg fg fg f g f g Chapter
5:Inventories and Cost of Sales
fgfg fg fg fg fgfg fg
Chapter 6: Cash,Fraud, andInternal Control
fg fg fg fg fg fg f g f g Chapter7:Accountingfor fg fg fg
Receivables
fg f g f g Chapter8:AccountingforLong-TermAssetsfg fg fg fg fg f g f g Chapter
9:AccountingforCurrentLiabilities
fg fg fg fg fg
Chapter10:AccountingforLong-TermLiabilities
fg fg fg fg fg f g f g Chapter11:Corporate fg fg
ReportingandAnalysis
fg fg fg f g f g Chapter12:ReportingCashFlows
fg fg fg fg
Chapter13:AnalysisofFinancialStatements
fg fg fg fg fg
, Answers are at the End of Each Chapter
fgfg fgfg fgfg fgfg fgfg fgfg fgfg
Chapter1:AccountinginBusiness
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Student name: fgfg fgfg
TRUE/FALSE - Write 'T' if the statement is true and 'F' if the statement is false.
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1) Accounting is an information and measurement system that identifies, records,
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f andcommunicates an organization's business activities.
g f g fgfg fgfg fgfg fgfg
⊚ true fgfg fgfg f g f g
⊚ fgfg fgfg f g f g false
2) Accounting includes the analysis and interpretation of information.
fgfg fgfg fgfg fgfg fgfg fgfg fgfg
⊚ fgfg fgfg f g f g true
⊚ false fgfg fgfg f g f g
3) Financial accounting focuses on the needs of external users, who get accounting
informationfrom general-purpose financial statements.
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f g f g f g f g fgfg f g f g
⊚ fgfg fgfg f g f g true
⊚ false fgfg fgfg f g f g
4) Internal users of accounting information do not directly manage the organization and
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havelimited access to its accounting information. fgfg fgfg fgfg fgfg fgfg
⊚ fgfg fgfg f g f g true
⊚ fgfg fgfg f g f g false
5) Auditors verify the effectiveness of internal controls.
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⊚ fgfg fgfg f g f g true
⊚ false fgfg fgfg f g f g
6) External auditors examine financial statements to verify that they are prepared
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according
fgfg
togenerallyaccepted accounting principles. fg fg fgfg
⊚ fgfg fgfg f g f g true
⊚ fgfg fgfg f g f g false
7) External users include lenders, shareholders, customers, and regulators.
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⊚ fgfg fgfg f g f g true
⊚ fgfg fgfg f g f g false
, 8) Internal users include lenders, shareholders, brokers and nonexecutive employees.
fgfg fgfg fgfg fgfg fgfg fgfg fgfg fgfg
⊚ fgfg fgfg f g f g true
⊚ fgfg fgfg f g f g false
9) Opportunities in accounting include auditing, consulting, market research, and tax planning.
fgfg fgfg fgfg fgfg fgfg fgfg fgfg fgfg fgfg fgfg
⊚ fgfg fgfg f g f g true
⊚ false fgfg fgfg f g f g
10) The fraud triangle shows that three factors that push a person to commit fraud
areopportunity, pressure, and rationalization.
fgfg fgfg fgfg fgfg fgfg fgfg fgfg fgfg fgfg fgfg fgfg fgfg fgfg
fgfg fg fgfg
⊚ fgfg fgfg f g f g true
⊚ false fgfg fgfg f g f g
11) Internal controls are procedures to protect assets, ensure reliable accounting,
promoteefficiency, and uphold company policies.
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fgfg fgfg fgg fgfg
⊚ fgfg fgfg f g f g true
⊚ fgfg fgfg f g f g false
12) A partnership is a business owned by two or more people.
fgfg fgfg fgfg fgfg fgfg fgfg fgfg fgfg fgfg fgfg
⊚ fgfg fgfg f g f g true
⊚ fgfg fgfg f g f g false
13) Owners of a corporation are called shareholders or stockholders.
fgfg fgfg fgfg fgfg fgfg fgfg fgfg fgfg
⊚ fgfg fgfg f g f g true
⊚ fgfg fgfg f g f g false
14) In a partnership, the owners are called stockholders.
fgfg fgfg fgfg fgfg fgfg fgfg fgfg
⊚ fgfg fgfg f g f g true
⊚ fgfg fgfg f g f g false
15) The balance sheet shows a company's net income or loss over a period of time.
fgfg fgfg fgfg fgfg fgfg fgfg fgfg fgfg fgfg fgfg fgfg fgfg fgfg fgfg
⊚ fgfg fgfg f g f g true
⊚ false fgfg fgfg f g f g
16) The Financial Accounting Standards Board (FASB) is given the task of setting generally
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accepted accounting principles (GAAP) from the Securities and Exchange Commission.
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⊚ fgfg fgfg
true
fgfg
⊚ fgfg fgfg
fgfg false
