Accounting for Managers, 1st Canadian Edition 1e — Paul Collier, Sandy Kizan & Eckhard Schumann | Answer Key for Self-Test Questions, All Chapters

Accounting for Managers, 1st Canadian Edition 1e Paul Collier
Sandy Kizan Eckhard Schumann (Answer Key For Self-Test
Questions, All Chapters, 100% Original Verified, A+ Grade)
Chapter 1

Answer Key for Self-Test Questions




S1.1 d

S1.2 c

S1.3 e

S1.4 b

S1.5 e

S1.6 c

S1.7 c

S1.8 c

S1.9 b

,Collier, Accounting for Managers, 1ce




Chapter 2

Answer Key for Self-Test Questions




S2.1 a

S2.2 b

S2.3 b

S2.4 d

S2.5 d

S2.6 a

,Collier, Accounting for Managers, 1ce




Chapter 3

Answer Key for Self-Test Questions




S3.1 c

S3.2 d

S3.3 d

S3.4 c

S3.5 a • cash = $15,000 + $25,000 = $40,000

• profit = $50,000 – $35,000 = $15,000

S3.6 b • profit = $150,000 – $80,000 – $30,000 – $12,000 – $8,000 = $20,000

• cash = $100,000 – $90,000 + $150,000 – $30,000 – $12,000 – $8,000 =
$100,000.

• equity = $100,000

S3.7 c assets = liabilities + equity

$600,000 = $500,000 + equity

Thus, equity = $100,000

S3.8 c

S3.9 d

S3.10 b • profit = $100,000 – $35,000 – $15,000 – $4,000 – $8,000 = $38,000

• cash = $100,000 – $35,000 – $15,000 – $4,000 – $8,000 + $25,000 –
$30,000 = $33,000

• shareholders’ equity = share capital + retained earnings (which equals
profit in first year of business) = $25,000 + $38,000 = $63,000

, Collier, Accounting for Managers, 1ce



S3.11 b Recall that shareholders’ equity = share capital + retained earnings

Using the basic accounting equation:

assets = liabilities + shareholders’ equity

assets = liabilities + (share capital + retained earnings)

$240,000 = $125,000 + (share capital + ($80,000 – $35,000))

share capital = $70,000

Thus, total capital (equity) = $70,000 + $45,000 = $115,000

S3.12 c