ACCY 200 Exam 1 All CQ Questions & Answers
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The balance sheet might also be called:
- Statement of Financial Position.
- Statement of Assets.
- Statement of Changes in
Financial Position.
- None of the above. Correct answer-- Statement of Financial Position.
The Statement of Cash Flows:
- shows the dividends that will be paid in the future.
- shows the change in the fair value of the entity's common stock during the period.
- shows how cash changed during the period.
- is an optional financial statement. Correct answer-- shows how cash changed during the
period.
, ACCY 200 Exam 1 All CQ Questions & Answers
100% Verified
Transactions are summarized in:
- The notes for the financial statements.
- The independent auditor's opinion letter.
- The entity's accounts.
- None of the above. Correct answer-- The entity's accounts.
The time frame associated with a balance sheet is:
- a one-year past period of time.
- a function of the information included in it.
- a single date in the future.
- a point in time in the past. Correct answer-- a point in time in the past.
, ACCY 200 Exam 1 All CQ Questions & Answers
100% Verified
Accrual accounting:
- means that expenses are recorded when they are paid.
- results in the balance sheet showing the fair value of the entity's assets.
- is designed to match revenues and expenses.
- cannot result in the entity having net income unless cash is received from customers.
Correct answer-- is designed to match revenues and expenses.
The effect of an adjustment on the financial statements is usually to:
- increase net income.
- make the balance sheet balance.
- match revenues and assets.
100% Verified
The balance sheet might also be called:
- Statement of Financial Position.
- Statement of Assets.
- Statement of Changes in
Financial Position.
- None of the above. Correct answer-- Statement of Financial Position.
The Statement of Cash Flows:
- shows the dividends that will be paid in the future.
- shows the change in the fair value of the entity's common stock during the period.
- shows how cash changed during the period.
- is an optional financial statement. Correct answer-- shows how cash changed during the
period.
, ACCY 200 Exam 1 All CQ Questions & Answers
100% Verified
Transactions are summarized in:
- The notes for the financial statements.
- The independent auditor's opinion letter.
- The entity's accounts.
- None of the above. Correct answer-- The entity's accounts.
The time frame associated with a balance sheet is:
- a one-year past period of time.
- a function of the information included in it.
- a single date in the future.
- a point in time in the past. Correct answer-- a point in time in the past.
, ACCY 200 Exam 1 All CQ Questions & Answers
100% Verified
Accrual accounting:
- means that expenses are recorded when they are paid.
- results in the balance sheet showing the fair value of the entity's assets.
- is designed to match revenues and expenses.
- cannot result in the entity having net income unless cash is received from customers.
Correct answer-- is designed to match revenues and expenses.
The effect of an adjustment on the financial statements is usually to:
- increase net income.
- make the balance sheet balance.
- match revenues and assets.
