TEST BANK For Financial Accounting, 6th Edition By David Spiceland, Wayne Thomas, Verified Chapters 1 - 12, Complete Newest Version

,
,TEST BANK FOR mj mj



Financial Accounting 6th Edition by David Spiceland, Wayne Thomas, Don Her
mj mj mj mj mj mj mj mj mj mj



rmann

Chapter 1 mj A Framework for Financial Accounting
mj mj mj mj




1) Accounting is a system of maintaining records of a company's operations and communicati
mj mj mj mj mj mj mj mj mj mj mj mj


ng that information to decision makers.
mj mj mj mj mj




Answer: TRUE Dif
m j mj


ficulty: 1 Easy
mj mj


Topic: Defining Accounting mj


Learning Objective: 01-
mj


01 Describe the two primary functions of financial accounting. Bloom's:
mj mj mj mj mj mj mj mj mj


Remember
AACSB:
Reflective Thinking mj mj


AICPA:
BB Critical Thinkinmj mj


g

2) Accounting information is used by investors to decide whether to invest in a company's stock.
mj mj mj mj mj mj mj mj mj mj mj mj mj mj




Answer: TRUE Dif
m j mj


ficulty: 1 Easy
mj mj


Topic: Defining Accounting mj


Learning Objective: 01-
mj


01 Describe the two primary functions of financial accounting. Bloom's:
mj mj mj mj mj mj mj mj mj


Remember
AACSB:
Reflective Thinking mj mj


AICPA:
BB Critical Thinkinmj mj


g

3) Accounting information is used by creditors to decide whether to invest in a company's stock.
mj mj mj mj mj mj mj mj mj mj mj mj mj mj




Answer: FALSE m j m j


Explanation:
Creditors lend money to a company mj mj mj mj mj


. Difficulty: 1 Easy
mj mj mj


Topic: Defining Accounting mj


Learning Objective: 01-
mj


01 Describe the two primary functions of financial accounting. Bloom's:
mj mj mj mj mj mj mj mj mj


Remember
AACSB:
Reflective Thinking mj mj


AICPA:
BB Critical Thinkinmj mj


g

, 4) The primary functions of financial accounting are to measure business activities of a compa
mj mj mj mj mj mj mj mj mj mj mj mj mj


ny and to communicate those measurements to internal parties for decision-making purposes.
mj mj mj mj mj mj mj mj mj mj mj




Answer: FALSE m j m j


Explanation:
Financial accounting primarily serves to provide information to external partie
mj mj mj mj mj mj mj mj mj


s. Difficulty: 2 Medium
mj mj mj


Topic: Defining Accounting mj


Learning Objective: 01-01 Describe the two primary functions of financial accounting.
mj mj mj mj mj mj mj mj mj