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
, ACCT-3110 QUIZZES | QUESTIONS AND ANSWERS | 100% CORRECT
-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
-accrual accounting - (ANSWER)accrual accounting
the primary objective of financial reporting is to provide information:
-about a firm's financing and investing activities
-that is useful in decision making
-about a firm's management team
-about a firm's product lines - (ANSWER)that is useful in decision making
if the required adjusting entry for depreciation expense is omitted:
-assets will be understated and income understated
-assets will be understated and income overstated
-assets will be overstated and income overstated
-assets will be overstated and income understated - (ANSWER)-assets will be overstated and income
overstated
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
, ACCT-3110 QUIZZES | QUESTIONS AND ANSWERS | 100% CORRECT
-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
-accrual accounting - (ANSWER)accrual accounting
the primary objective of financial reporting is to provide information:
-about a firm's financing and investing activities
-that is useful in decision making
-about a firm's management team
-about a firm's product lines - (ANSWER)that is useful in decision making
if the required adjusting entry for depreciation expense is omitted:
-assets will be understated and income understated
-assets will be understated and income overstated
-assets will be overstated and income overstated
-assets will be overstated and income understated - (ANSWER)-assets will be overstated and income
overstated
