1
,2
,TABLE OF CONTENTS
APPENDIX B: The Time Value of Money
APPENDIX C: Forms of Business Organization
Chapter 1: Accounting: Information for Decision Making
Chapter 2: Basic Financial Statements
Chapter 3: The Accounting Cycle: Capturing Economic Events
Chapter 4: The Accounting Cycle: Accruals and Deferrals
Chapter 5: The Accounting Cycle: Reporting Financial Results
Chapter 6: Merchandising Activities
Chapter 7: Financial Assets
Chapter 8: Inventories and the Cost of Goods Sold
Chapter 9: Plant and Intangible Assets
Chapter 10: Liabilities
Chapter 11: Stockholder’s Equity: Paid-in Capital
Chapter 12: Revenue Recognition and Reporting Results of Operations
Chapter 13: Statement of Cash Flows
Chapter 14: Financial Statement Analysis
Chapter 15: Global Business and Accounting
Chapter 16: Management Accounting: A Business Partner
Chapter 17: Job Order Cost Systems and Overhead Allocations
Chapter 18: Process Costing
Chapter 19: Costing and the Value Chain
Chapter 20: Cost-Volume-Profit Analysis
Chapter 21: Incremental Analysis
Chapter 22: Responsibility Accounting and Transfer Pricing
Chapter 23: Operational Budgeting
Chapter 24: Standard Cost Systems
Chapter 25: Rewarding Business Performance
Chapter 26: Capital Budgeting
3
, Appendix B n
1) Future nvalue nis nthe namount nthat nmust nbe ninvested ntoday nat na nspecific ninterest nrate nto nreceive
n anparticular namount nat nsome nfuture ndate.
⊚ n true
⊚ n false
2) The npresent nvalue nof nan nordinary nannuity nis nthe namount nthat nmust nbe ninvested ntoday
at na nspecific ninterest nrate nto nin norder nto nreceive na nparticular namount nat nthe nend nof na
n
specified nnumber nof nfuture nperiods.
n
⊚ n true
⊚ n false
3) The nfuture nvalue nof nan ninvestment ngraduallynincreases ntoward nits npresent nvalue namount.
⊚ n true
⊚ n false
4) Compound ninterest nassumes nthat nthe ninterest nearned non na nparticular ninvestment nis nreinvested.
⊚ n true
⊚ n false
5) Discounting na nfuture nvalue namount nwill ndetermine nits npresent nvalue namount.
⊚ n true
⊚ n false
6) The nlower nthe ndiscount nrate nof nan ninvestment, nthe nlower nthe npresent nvalue nof nthe ninvestment.
⊚ n true
⊚ n false
7) Annuities nprovide na nseries nof ncash nflows nto ninvestors nat nregular nintervals nfor na nspecified
periodnof ntime.
n
⊚ n true
⊚ n false
4
,2
,TABLE OF CONTENTS
APPENDIX B: The Time Value of Money
APPENDIX C: Forms of Business Organization
Chapter 1: Accounting: Information for Decision Making
Chapter 2: Basic Financial Statements
Chapter 3: The Accounting Cycle: Capturing Economic Events
Chapter 4: The Accounting Cycle: Accruals and Deferrals
Chapter 5: The Accounting Cycle: Reporting Financial Results
Chapter 6: Merchandising Activities
Chapter 7: Financial Assets
Chapter 8: Inventories and the Cost of Goods Sold
Chapter 9: Plant and Intangible Assets
Chapter 10: Liabilities
Chapter 11: Stockholder’s Equity: Paid-in Capital
Chapter 12: Revenue Recognition and Reporting Results of Operations
Chapter 13: Statement of Cash Flows
Chapter 14: Financial Statement Analysis
Chapter 15: Global Business and Accounting
Chapter 16: Management Accounting: A Business Partner
Chapter 17: Job Order Cost Systems and Overhead Allocations
Chapter 18: Process Costing
Chapter 19: Costing and the Value Chain
Chapter 20: Cost-Volume-Profit Analysis
Chapter 21: Incremental Analysis
Chapter 22: Responsibility Accounting and Transfer Pricing
Chapter 23: Operational Budgeting
Chapter 24: Standard Cost Systems
Chapter 25: Rewarding Business Performance
Chapter 26: Capital Budgeting
3
, Appendix B n
1) Future nvalue nis nthe namount nthat nmust nbe ninvested ntoday nat na nspecific ninterest nrate nto nreceive
n anparticular namount nat nsome nfuture ndate.
⊚ n true
⊚ n false
2) The npresent nvalue nof nan nordinary nannuity nis nthe namount nthat nmust nbe ninvested ntoday
at na nspecific ninterest nrate nto nin norder nto nreceive na nparticular namount nat nthe nend nof na
n
specified nnumber nof nfuture nperiods.
n
⊚ n true
⊚ n false
3) The nfuture nvalue nof nan ninvestment ngraduallynincreases ntoward nits npresent nvalue namount.
⊚ n true
⊚ n false
4) Compound ninterest nassumes nthat nthe ninterest nearned non na nparticular ninvestment nis nreinvested.
⊚ n true
⊚ n false
5) Discounting na nfuture nvalue namount nwill ndetermine nits npresent nvalue namount.
⊚ n true
⊚ n false
6) The nlower nthe ndiscount nrate nof nan ninvestment, nthe nlower nthe npresent nvalue nof nthe ninvestment.
⊚ n true
⊚ n false
7) Annuities nprovide na nseries nof ncash nflows nto ninvestors nat nregular nintervals nfor na nspecified
periodnof ntime.
n
⊚ n true
⊚ n false
4
