ACCT-3110 QUIZZES | QUESTIONS AND ANSWERS |
100% CORRECT
which of the following is not a factor in encouraging high-quality financial
reporting?
*the sarbanes-oxley act
*auditors who attest to a company's financial statements
*internal control systems
*all of the these are factor encouraging high-quality financial reporting Answer
- all of these are factors encouraging high-quality financial reporting
the underlying assumption that assumes that the life of a company can be
divided into artificial time periods is:
-monetary unit
-economic entity
-going concern
-periodicity Answer - periodicity
GAAP included which of the following pronouncements:
-statements of financial accounting standards
-accounting research bulletins
-accounting principles board opinions Answer - all of the choices are correct
, the documents that set forth fundamental concepts on which financial
accounting and reporting standards will be based are:
-statements of financial accounting standards
-statements of financial accounting concepts
-accounting principles board opinions Answer - all of the choices
which of the following is considered a practical constraint on the qualitative
characteristics?
-timeliness
-cost effectiveness
-verifiability
-conservatism Answer - cost effectiveness
the two primary decision-specific qualities that make accounting information
useful are:
-predictive value and feedback value
-verifiability and representational faithfulness
-relevance and faithful representation
cost effectiveness and materiality Answer - relevance and faithful
representation
Fernblatt Inc. recognizes revenue in the period in which it records an asset for
the related account receivable, rather than in the period in which the account
receivable is collected in cash. Fernblatt's accounting approach is an example
of:
-matching
-periodicity
-cash basis accounting
100% CORRECT
which of the following is not a factor in encouraging high-quality financial
reporting?
*the sarbanes-oxley act
*auditors who attest to a company's financial statements
*internal control systems
*all of the these are factor encouraging high-quality financial reporting Answer
- all of these are factors encouraging high-quality financial reporting
the underlying assumption that assumes that the life of a company can be
divided into artificial time periods is:
-monetary unit
-economic entity
-going concern
-periodicity Answer - periodicity
GAAP included which of the following pronouncements:
-statements of financial accounting standards
-accounting research bulletins
-accounting principles board opinions Answer - all of the choices are correct
, the documents that set forth fundamental concepts on which financial
accounting and reporting standards will be based are:
-statements of financial accounting standards
-statements of financial accounting concepts
-accounting principles board opinions Answer - all of the choices
which of the following is considered a practical constraint on the qualitative
characteristics?
-timeliness
-cost effectiveness
-verifiability
-conservatism Answer - cost effectiveness
the two primary decision-specific qualities that make accounting information
useful are:
-predictive value and feedback value
-verifiability and representational faithfulness
-relevance and faithful representation
cost effectiveness and materiality Answer - relevance and faithful
representation
Fernblatt Inc. recognizes revenue in the period in which it records an asset for
the related account receivable, rather than in the period in which the account
receivable is collected in cash. Fernblatt's accounting approach is an example
of:
-matching
-periodicity
-cash basis accounting
