,ACCESS Test Bank for College Accounting A Practical Approach 15th Edition
Slater
CollegeAccounting, 15e (Slater)
Chapter 1 Accounting Conceptsand Procedures
Learning Objective1-1
1) The type of business organization where the owners are NOT personally liable for the business’s debts
is a:
A) corporation
B) partnership
C) sole proprietorship
D) Alloftheabove
Answer: A
Diff: 2
LO: 1-1
AACSB: Reflective Thinking
Learning Outcome: Define accounting terms, accounting concepts and principles
2) The purpose of the accounting process is to provide financial information about:
v
A) sole proprietorships
B) small businesses
C) large corporations
D) All of these answers are correct
v
Answer: D
Diff: 1
LO: 1-1
AACSB: Reflective Thinking
Learning Outcome: Define accounting terms, accounting concepts and principles
3) Accounting provides information to:
A) investors
B) government
C) managers
D) All of these answers are correct
v v
Answer: D
Diff: 2
LO: 1-1
AACSB: Reflective Thinking
Learning Outcome: Define accounting terms, accounting concepts and principles
1
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,ACCESS Test Bank for College Accounting A Practical Approach 15th Edition
Slater
4) Which of the following is a characteristic of a sole proprietorship?
A) Business owned by more than one person.
B) Easy to form.
C) Each stockholder acts as anowner of the company.
D) Can continueindefinitely.
v
Answer: B
Diff: 1
LO: 1-1
AACSB: Reflective Thinking
Learning Outcome: Define accounting terms, accounting concepts and principles
5) A partnership is a business which:
A) is easy to form
B) ends with the death of a partner
v
C) is owned by more than one person
D) All of these answers are correct
v
Answer: D
Diff: 1
LO: 1-1
AACSB: Reflective Thinking
Learning Outcome: Define accounting terms, accounting concepts and principles
6) Which is an advantage of a sole proprietorship form of business?
v
A) There is limited personal risk.
B) The business can continue indefinitely.
v
C) The owner makes all the decisions.
D) The business is ownedbystockholders.
Answer: C
Diff: 1
LO: 1-1
AACSB: Reflective Thinking
Learning Outcome: Define accounting terms, accounting concepts and principles
7) Which of the following is NOT a type of business organization?
v
A) Corporation
B) Partnership
C) Sole proprietorship
D) LimitedAssetCorporation
Answer: D
Diff: 1
LO: 1-1
AACSB: Reflective Thinking
Learning Outcome: Define accounting terms, accounting concepts and principles
2
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, ACCESS Test Bank for College Accounting A Practical Approach 15th Edition
Slater
8) A corporation:
A) is legally separate from its owners
B) is owned by stockholders
C) has limited risk to stockholders
D) Alloftheabove
Answer: D
Diff: 2
LO: 1-1
AACSB: Reflective Thinking
Learning Outcome: Define accounting terms, accounting concepts and principles
9) The basic accounting equation is:
A) Assets + Liabilities = Owner’s Equity
B) Assets = Liabilities - Owner's Equity
C) Assets = Owner’s Equity - Liabilities
D) Assets=Liabilities +Owner's Equity
Answer: D
Diff: 1
LO: 1-1
AACSB: Reflective Thinking
Learning Outcome: Define accounting terms, accounting concepts and principles
10) A law firm would be considered a:
A) merchandisecompany
B) manufacturer
C) service company
D) retailer
Answer:
C Diff: 1
LO: 1-1
AACSB: Reflective Thinking
Learning Outcome: Define accounting terms, accounting concepts and principles
11) GAAP stand for .
A) Generally Accepted Accounting Practices
B) General Accounting Accepted Practices
v
C) Generally Accepted Accounting Principles
D) GeneralAccountingApplication Practices
v
Answer: C
Diff: 1
LO: 1-1
AACSB: Reflective Thinking
Learning Outcome: Define accounting terms, accounting concepts and principles
3
Copyright © 2023 Pearson Education, Inc.
v v v v
mynursytest.store
Slater
CollegeAccounting, 15e (Slater)
Chapter 1 Accounting Conceptsand Procedures
Learning Objective1-1
1) The type of business organization where the owners are NOT personally liable for the business’s debts
is a:
A) corporation
B) partnership
C) sole proprietorship
D) Alloftheabove
Answer: A
Diff: 2
LO: 1-1
AACSB: Reflective Thinking
Learning Outcome: Define accounting terms, accounting concepts and principles
2) The purpose of the accounting process is to provide financial information about:
v
A) sole proprietorships
B) small businesses
C) large corporations
D) All of these answers are correct
v
Answer: D
Diff: 1
LO: 1-1
AACSB: Reflective Thinking
Learning Outcome: Define accounting terms, accounting concepts and principles
3) Accounting provides information to:
A) investors
B) government
C) managers
D) All of these answers are correct
v v
Answer: D
Diff: 2
LO: 1-1
AACSB: Reflective Thinking
Learning Outcome: Define accounting terms, accounting concepts and principles
1
Copyright © 2023 Pearson Education, Inc.
v v v v
mynursytest.store
,ACCESS Test Bank for College Accounting A Practical Approach 15th Edition
Slater
4) Which of the following is a characteristic of a sole proprietorship?
A) Business owned by more than one person.
B) Easy to form.
C) Each stockholder acts as anowner of the company.
D) Can continueindefinitely.
v
Answer: B
Diff: 1
LO: 1-1
AACSB: Reflective Thinking
Learning Outcome: Define accounting terms, accounting concepts and principles
5) A partnership is a business which:
A) is easy to form
B) ends with the death of a partner
v
C) is owned by more than one person
D) All of these answers are correct
v
Answer: D
Diff: 1
LO: 1-1
AACSB: Reflective Thinking
Learning Outcome: Define accounting terms, accounting concepts and principles
6) Which is an advantage of a sole proprietorship form of business?
v
A) There is limited personal risk.
B) The business can continue indefinitely.
v
C) The owner makes all the decisions.
D) The business is ownedbystockholders.
Answer: C
Diff: 1
LO: 1-1
AACSB: Reflective Thinking
Learning Outcome: Define accounting terms, accounting concepts and principles
7) Which of the following is NOT a type of business organization?
v
A) Corporation
B) Partnership
C) Sole proprietorship
D) LimitedAssetCorporation
Answer: D
Diff: 1
LO: 1-1
AACSB: Reflective Thinking
Learning Outcome: Define accounting terms, accounting concepts and principles
2
Copyright © 2023 Pearson Education, Inc.
v v v v
mynursytest.store
, ACCESS Test Bank for College Accounting A Practical Approach 15th Edition
Slater
8) A corporation:
A) is legally separate from its owners
B) is owned by stockholders
C) has limited risk to stockholders
D) Alloftheabove
Answer: D
Diff: 2
LO: 1-1
AACSB: Reflective Thinking
Learning Outcome: Define accounting terms, accounting concepts and principles
9) The basic accounting equation is:
A) Assets + Liabilities = Owner’s Equity
B) Assets = Liabilities - Owner's Equity
C) Assets = Owner’s Equity - Liabilities
D) Assets=Liabilities +Owner's Equity
Answer: D
Diff: 1
LO: 1-1
AACSB: Reflective Thinking
Learning Outcome: Define accounting terms, accounting concepts and principles
10) A law firm would be considered a:
A) merchandisecompany
B) manufacturer
C) service company
D) retailer
Answer:
C Diff: 1
LO: 1-1
AACSB: Reflective Thinking
Learning Outcome: Define accounting terms, accounting concepts and principles
11) GAAP stand for .
A) Generally Accepted Accounting Practices
B) General Accounting Accepted Practices
v
C) Generally Accepted Accounting Principles
D) GeneralAccountingApplication Practices
v
Answer: C
Diff: 1
LO: 1-1
AACSB: Reflective Thinking
Learning Outcome: Define accounting terms, accounting concepts and principles
3
Copyright © 2023 Pearson Education, Inc.
v v v v
mynursytest.store
