TEST BANK FOR ACCOUNTING PRINCIPLES 14TH EDITION BY JERRY J WEYGANDT PAUL QUESTIONS WITH REVISED ANSWERS 100% VERIFIED A+

TESTBANK
Accounting Principles 14th Edition
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by Jerry J. Weygandt, Paul D. Kimmel Chapte
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rs 1 - 27, Complete
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,TABLE OF CONTENTSde de




1 Accounting in Action
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2 The Recording Process
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3 Adjusting the Accounts
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4 Completing the Accounting Cycle
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5 Accounting for Merchandising Operations
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6 Inventories
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7 Accounting Information Systems
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8 Fraud, Internal Control, and Cash
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9 Accounting for Receivables
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10 Plant Assets, Natural Resources, and Intangible Assets
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11 Current Liabilities and Payroll Accounting
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12 Accounting for Partnerships
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13 Corporations: Organization and Capital Stock Transactio
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14 Corporations: Dividends, Retained Earnings, and Income
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,de Reporting

15 Long-Term Liabilities
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16 Investments
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17 Statement of Cash Flows
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18 Financial Analysis: The Big Picture
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19 Managerial Accounting
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20 Job Order Costing
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21 Process Costing
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22 Cost-Volume-Profit
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23 Incremental Analysis
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24 Budgetary Planning
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25 Budgetary Control and Responsibility Accounting
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26 Standard Costs and Balanced Scorecard
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27 Planning for Capital Investments
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, CHAPTER 1 d e




ACCOUNTING IN ACTION de de




CHAPTER LEARNING OBJECTIVES
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1. Identifydethedeactivitiesdeanddeusersdeassociateddewithdeaccounting.deAccountingdeisdeandeinformationdesyst
emdethatdeidentifies,derecords,deanddecommunicatesdethedeeconomicdeeventsdeofdeandeorganizationdetodeinter
esteddeusers.deThedemajordeusersdeanddeusesdeofdeaccountingdearedeasdefollows:de(a)deManagementdeusesdeacc
ountingdeinformationdetodeplan,deorganize,deandderundethedebusiness.de(b)deInvestorsde(owners)dedecidedewhe
therdetodebuy,dehold,deordeselldetheirdefinancialdeinterestsdeondethedebasisdeofdeaccountingdedata.de(c)edCreditorsde
(suppliersdeanddebankers)deevaluatedethederisksdeofdegrantingdecreditdeordelendingd e moneyd e ondethedebasisde
ofdeaccountingdeinformation.deOtherdegroupsdethatdeusedeaccountingdeinformationdearedetaxingdeauthorities,
deregulatorydeagencies,decustomers,de anddelabordeunions.


2. Explaindethedebuildingdeblocksdeofdeaccounting:deethics,deprinciples,deanddeassumptions.deEthicsdearedethedes
tandardsdeofdeconductdebydewhichdeactionsdearedejudgeddeasderightdeordewrong.deEffectivedefinancialdereportin
gdedependsdeondesounddeethicaldebehavior.
Generallydeaccepteddeaccountingdeprinciplesdearedeadecommondesetdeofdestandardsdeuseddebydeaccountants.d
eThedeprimarydeaccountingdestandard-

settingdebodydeindethedeUniteddeStatesdeisdethedeFinancialdeAccountingdeStandardsdeBoard.


3. Statedethedeaccountingdeequation,deanddedefinedeitsdecomponents.deThedebasicd e accountingdeequationdeis:
Assetsde=deLiabilitiesde+deOwner'sdeEquity
Assetsd e ared e resourcesd e ad e businessd e owns.d e Liabilitiesd e ared e creditorshipd e claimsd e ond e totald e assets.ed
Owner'sdeequitydeisdethedeownershipdeclaimdeondetotaldeassets.
Thedeexpandeddeaccountingdeequationdeis:
Assetsde de Liabilitiesde+deOwner'sdeCapitalde de Owner'sdeDrawingsde+deRevenuesde
Expenses
Investmentsdebydeownersde(assetsdethedeownerdeputsdeintodethedebusiness)dearederecordeddeindeadecategorydec
alleddeowner‘sdecapital.deOwner‘sdedrawingsdearedethedewithdrawaldeofdeassetsdebydethedeownerdefordeperson
aldeuse.deRevenuesdearedethedegrossdeincreasedeindeowner‘sdeequitydefromdebusinessdeactivitiesdefordethedepur
posedeofdeearningdeincome.deExpensesdearedethedecostsdeofdeassetsdeconsumeddeordeservicesdeuseddeind e thed e
processd e ofd e earningd e revenue.d e Owner‘sd e equityd e isd e increasedd e byd e and e owner‘sd e investmentsedandde
byderevenuesdefromdebusinessdeoperations.deOwner‘sdeequitydeisdedecreaseddebydeandeowner‘sdewithdrawals
deofdeassetsdeanddebydeexpenses.


4. Analyzedethedeeffectsdeofdebusinessdetransactionsdeondethedeaccountingdeequation.deEachdebusinessetd ransac
tiondemustdehavedeadedualdeeffectdeondethedeaccountingdeequation.deFordeexample,deifdeandeindividualdeassetdei
ncreases,detheredemustdebedeadecorrespondingde(1)dedecreasedeindeanotherdeasset,deorde(2)deincreasedeindeadesp
ecificdeliability,deorde(3)deincreasedeindeowner'sdeequity.
5. Describedethedefourdefinancialdestatementsdeanddehowdetheydearedeprepared.deAndeincomedestatementdepre
sentsdethederevenuesdeanddeexpenses,deandderesultingdenetdeincomedeordenetd e lossdefordead e specificdeperiod
deofdetime.deAndeowner'sdeequitydestatementdesummarizesdethedechangesdeindeowner'sdeequitydefordeadespecifi

cdeperioddeofdetime.deAdebalancedesheetdereportsdethedeassets,deliabilities,deanddeowner'sdeequitydeatdeadespecifi
cdedate.deAdestatementdeofdecashdeflowsdesummarizesdeinformationdeaboutdethedecashdeinflowsde(receipts)dea