Test Bank For Intermediate Accounting, 11th Edition By David Spiceland, Mark Nelson, Wayne Thomas, Jennifer

Test Bank For Intermediate Accounting,
11th Edition
By David Spiceland, Mark Nelson, Wayne Thomas, Jennifer




VersionX 1
1

,AnswerXKey

TestXname:XchapterX

1X1)
TERM PHRASE
TermXnumberX
thatXmatchesX
theXphrase.
1.XPredictiveXva lue InformationXisXusefulXin 1
projectingXcashXflows.
2.XRelevance PertinentXtoXtheXdecisionXat 2
hand.
3.XDistribution to InformationXisXavailableXprior 5
owners toXtheXdecision.
4.XConfirmatory DecreaseXinXequityXdueXtoX 3
value transfersXtoXowners.
5.XTimeliness InformationXconfirms 4
expectations.
2)
TERM PHRASE TermXnumberX
thatXmatches
theXphrase.
1.XGain AlongXwithXrelevance,Xa 5
fundamentalXdecision-
specificXquality.
2.XMateriality ResultsXifXanXassetXisXsold for 1
moreXthanXbookXvalue.
3.XCompleteness ContainsXallXinformation 3
necessaryXforXfaithful
representation.
4.XComprehensive TheXchangeXinXequityXfrom 4
income nonownerXtransactions.




VersionX 2
1

, 5.XFaithfulXre ConcernsXtheXdecision-making 2
presentation impactXofXbothXtheXamountXandXn
atureXofXanXitem.
3)
TERM PHRASE
TermXnumberX
thatXmatchesX
theXphrase.
1. Neutrality ImportantXinXanalysisXbetween 2
firms.
2. Comparability AccountingXinformationXshould 1
beXunbiased.
3. Consistency TheXdecisionXtoXincludeXan 5
amountXinXtheXfinancialX
statements.
4. Cost-effectivenessX ApplyingXtheXsameXaccounting 3
practicesXoverXtime.
5. Recognition ConsidersXtheXvalueXofXusing 4
informationXrelativeXtoXcostXofX
providingXit.
4)
TERM PHRASE
TermXnumberX
thatXmatchesX
theXphrase.
1. MonetaryXunitX ImpliesXconsensusXamong 2
assumption differentXobservers.
2. Verifiability AssumesXallXtransactionsXcanXbe 3
identifiedXwithXaXparticularX
entity.
3. EconomicXentityX AssumesXanXentityXwillXcontinue 4
assumption toXoperateXindefinitely.
4. GoingXconcernX RequiresXreportingXthe 5
assumption financialXlifeXofXanXentityXinXd
iscreteXtimeXframes.
5. PeriodicityX IgnoresXtheXpossibilityXof 1
assumption inflation.
5)
TERM PHRASE TermXnumber
thatXmatches


VersionX 3
1

, theXphrase.
1.XHistorical cost BasisXofXmeasurementXforXfixed 1




VersionX 4
1