TEST BANK FOR FUNDAMENTALS OF FINANCIAL
ACCOUNTING 7TH EDITION BY FRED PHILLIPS || SHANA
CLOR-PROELL ||, ROBERT LIBBY ||, PATRICIA LIBBY LATEST
UPDATE 2025 A+
TEST BANK
1
,TABLE OF CONTENTS
Chapter 1: Business Decisions and Financial Accounting
Chapter 2: The Balance Sheet
Chapter 3: The Income Statement
Chapter 4: Adjustments, Financial Statements, And Financial Results
Chapter 5: Fraud, Internal Control, and Cash
Chapter 6: Merchandising Operations and the Multistep Income
Statement
Chapter 7: Inventory and Cost of Goods Sold
Chapter 8: Receivables, Bad Debt Expense, and Interest Revenue
Chapter 9: Long-Lived Tangible and Intangible Assets
Chapter 10: Liabilities
Chapter 11: Stockholders' Equity
Chapter 12: Statement Cash Flow s
Chapter 13: Measuring and Evaluating Financial Performance
Appendix A: Excerpts from the Fiscal 2016 Annual Report of The Home
Depot, Inc.
Appendix B: Excerpts from the Fiscal 2016 Annual Report of Low e's
Companies, Inc.
Appendix C: Present and Future Value Concepts
Appendix D: Investments in Other Corporations
2
,ANSWERS ARE LOCATED AT THE END OF THIS DOCUMENT
SHORT ANSWER. Write The Word Or Phrase That Best Completes Each Statement Or
Answers The Question.
1)
Choose The Appropriate Letter To Match The Characteristics With The Type Of Company. A
Given Characteristic May Match More Than One Type Of Company.
CHARACTERISTIC
1. ________ Issues Shares Of Stock That Are Traded On A Stock Exchange Such As The
NYSE
2. ________ The Owner(S) Of The Business Are Personally Liable For The Debts Of The
Company
3. ________ Shares Of Stock Must Be Purchased Directly From Current Owners And Not Sold
On
An Exchange
4. ________ Can Raise More Financial Capital By Selling Stock To The Greatest Number Of
Investors
5. ________ The Easiest Form Of Business To Start
6. ________ The Business Ceases To Exist Upon The Departure Of One Of The Owners
7. ________ The Owner(S) Pay Taxes On The Profits Of The Business
TYPE OF COMPANY
A. Partnership
B. Publicly Traded Corporation
C. Privately Traded Corporation
D. Sole Proprietorship
Question Details
AACSB : Analytical Thinking
AICPA : FN Reporting
Difficulty : 2 Medium
Bloom's : Analyze
Accessibility : Keyboard Navigation
Type : Static
3
, Gradable : Manual
Accessibility : Screen Reader Compatible
Bloom's : Understand
Topic : Organizational Forms
Learning Objective : 01-01 Describe Various Organizational Forms And Business Decision
Makers.
AICPA : BB Legal
Source : Exclude Learnsmart
2
2)
Match The Business Activity To The Appropriate Category.
The Purchase Of A New Line Of Assembly Equipment
Company Payment Of A Dividend
The Purchase Of Office Supplies
The Purchase Of An Online Advertising Slot Time By The Company
The Building Of A New Factory Facility
Company Repayment Of The Principal Amount Of A Bank Loan
A) Financing Activity
B) Operating Activity
C) Investing Activity
4
ACCOUNTING 7TH EDITION BY FRED PHILLIPS || SHANA
CLOR-PROELL ||, ROBERT LIBBY ||, PATRICIA LIBBY LATEST
UPDATE 2025 A+
TEST BANK
1
,TABLE OF CONTENTS
Chapter 1: Business Decisions and Financial Accounting
Chapter 2: The Balance Sheet
Chapter 3: The Income Statement
Chapter 4: Adjustments, Financial Statements, And Financial Results
Chapter 5: Fraud, Internal Control, and Cash
Chapter 6: Merchandising Operations and the Multistep Income
Statement
Chapter 7: Inventory and Cost of Goods Sold
Chapter 8: Receivables, Bad Debt Expense, and Interest Revenue
Chapter 9: Long-Lived Tangible and Intangible Assets
Chapter 10: Liabilities
Chapter 11: Stockholders' Equity
Chapter 12: Statement Cash Flow s
Chapter 13: Measuring and Evaluating Financial Performance
Appendix A: Excerpts from the Fiscal 2016 Annual Report of The Home
Depot, Inc.
Appendix B: Excerpts from the Fiscal 2016 Annual Report of Low e's
Companies, Inc.
Appendix C: Present and Future Value Concepts
Appendix D: Investments in Other Corporations
2
,ANSWERS ARE LOCATED AT THE END OF THIS DOCUMENT
SHORT ANSWER. Write The Word Or Phrase That Best Completes Each Statement Or
Answers The Question.
1)
Choose The Appropriate Letter To Match The Characteristics With The Type Of Company. A
Given Characteristic May Match More Than One Type Of Company.
CHARACTERISTIC
1. ________ Issues Shares Of Stock That Are Traded On A Stock Exchange Such As The
NYSE
2. ________ The Owner(S) Of The Business Are Personally Liable For The Debts Of The
Company
3. ________ Shares Of Stock Must Be Purchased Directly From Current Owners And Not Sold
On
An Exchange
4. ________ Can Raise More Financial Capital By Selling Stock To The Greatest Number Of
Investors
5. ________ The Easiest Form Of Business To Start
6. ________ The Business Ceases To Exist Upon The Departure Of One Of The Owners
7. ________ The Owner(S) Pay Taxes On The Profits Of The Business
TYPE OF COMPANY
A. Partnership
B. Publicly Traded Corporation
C. Privately Traded Corporation
D. Sole Proprietorship
Question Details
AACSB : Analytical Thinking
AICPA : FN Reporting
Difficulty : 2 Medium
Bloom's : Analyze
Accessibility : Keyboard Navigation
Type : Static
3
, Gradable : Manual
Accessibility : Screen Reader Compatible
Bloom's : Understand
Topic : Organizational Forms
Learning Objective : 01-01 Describe Various Organizational Forms And Business Decision
Makers.
AICPA : BB Legal
Source : Exclude Learnsmart
2
2)
Match The Business Activity To The Appropriate Category.
The Purchase Of A New Line Of Assembly Equipment
Company Payment Of A Dividend
The Purchase Of Office Supplies
The Purchase Of An Online Advertising Slot Time By The Company
The Building Of A New Factory Facility
Company Repayment Of The Principal Amount Of A Bank Loan
A) Financing Activity
B) Operating Activity
C) Investing Activity
4
