MBA 601 Exam 1 | Questions and Answers | 2025 Update | 100% Correct.

MBA 601 Exam 1 | Questions and Answers | 2025 Update | 100% Correct.



Question 1 2..5 pts


West Company issued common stock for cash. With respect to this
event, indicate whether the following statement is true or false.


Total assets would increase.


True

False




Question 2 2..5 pts


West Company issued common stock for cash. With respect to this
event, indicate whether the following statement is true or false.


Total equity would not change.


True

False

,Question 3 2..5 pts


West Company paid cash to purchased land. With respect to this
event, indicate whether the following statement is true or false.


The investing activities section of the statement of cash flows would
show a cash outflow.


True

False

, Question 4 2..5 pts


XYZ received cash for accounts receivable. With respect to this
event, indicate whether the following statement is true or false.


Total assets would decrease.


True

False




Question 5 2..5 pts


XYZ incurred accrued rent expense. With respect to this event,
indicate whether the following statement is true or false.


Net income would decrease.


True

False




Question 6 2..5 pts


XYZ received cash for accounts receivable. With respect to this
event, indicate whether the following statement is true or false.


Liabilities would increase


True

False