TEST BANK FOR #z #z
Survey of Accounting, 7th Edition by
#z #z #z #z #z
Edmonds
#z
Chapter 1-16 #z
Answers Included
#z
✅
Chap 01 7e Edmonds
#z #z #z
1) Which #zof #zthe #zfollowing #zgroups #zhas #zthe #zprimary #zresponsibility #zfor #zestablishing
#z generally #zaccepted #zaccounting #zprinciples #zfor #zbusiness #zentities #zin #zthe #zUnited
#z States?
A) Securities #zand #zExchange #zCommission
B) U.S. #zCongress
C) International #zAccounting #zStandards #zBoard
D) Financial #zAccounting #zStandards #zBoard
2) The #zHeritage #zCompany#zis #za #zmanufacturer #zof #zoffice #zfurniture. #zWhich #zterm #zbest
describes #zHeritage's #zrole #zin #zsociety?
#z
A) Business
B) Regulatory #zagency
C) Consumer
D) Resource #zowner
3) Which #zresource #zproviders #zlend #zfinancial #zresources #zto #za #zbusiness #zwith #zthe
expectation #zof #zrepayment #zwith #zinterest?
#z
A) Consumers
B) Creditors
C) Investors
D) Owners
4) Which #ztype #zof #zaccounting #zinformation #zis #zintended #zto #zsatisfy#zthe #zneeds #zof #zexternal
#z users #zof #zaccounting #zinformation?
A) Cost #zaccounting
B) Managerial #zaccounting
C) Tax #zaccounting
D) Financial #zaccounting
5) Which #zof #zthe #zfollowing #zis #zfalse #zregarding #zmanagerial #zaccounting #zinformation?
A) It #zis #zoften #zused #zby #zinvestors.
B) It #zis #zmore #zdetailed #zthan #zfinancial #zaccounting #zinformation.
C) It #zcan #zinclude #znonfinancial #zinformation.
D) It #zfocuses #zon #zdivisional #zrather #zthan #zoverall #zprofitability.
,6) Financial accounting standards are known collectively as GAAP. What does that acronym
stand for?
A) Generally Accepted Accounting Principles
B) Generally Applied Accounting Procedures
C) Governmentally Approved Accounting Practices
D) Generally Authorized Auditing Principles
7) International accounting standards are formulated by the IASB. What does that acronym
stand for?
A) Internationally Accepted Standards Board
B) International Accounting Standards Board
C) International Accountability Standards Bureau
D) International Accounting and Sustainability Board
8) Jack Henry borrowed $800,000 from Walt Bank to open a new bike store called Wooden
Wheels. Jack transferred $650,000 of the cash that he borrowed to the store on the first day
of the year. How many reporting entities exist in this scenario?
A) One reporting entity
B) Two reporting entities
C) Three reporting entities
D) Four reporting entities
,9) Jack #zHenry #zborrowed #z$800,000 #zfrom #zWalt #zBank #zto #zopen #za #znew #zbike #zstore #zcalled
#zWooden #zWheels. #zJack #ztransferred #z$650,000 #zof #zthe #zcash #zhe #zborrowed #zto #zWooden
#zWheels #zon #zthe #zfirst #zday #zof #zthe #z year. #zWhich #zof #zthe #zfollowing #zappropriately #zreflects
#zthe #zcash #ztransactions #zbetween #zthese #zreporting #zentities?
Option Jack #zHenry Wooden #zWheels Walt #zBank
A. $ 150,000 #zincrease $ #z650,000 $ #z800,000
increase decrease
B. $ 800,000 #zincrease $ #z650,000 $ #z150,000
increase decrease
C. $ 800,000 #zdecrease $ #z800,000 $ #z650,000
increase decrease
D. $ 650,000 #zincrease $ #z150,000 $ #z800,000
increase decrease
A) Option #zA
B) Option #zB
C) Option #zC
D) Option #zD
10) Ellen #zGatsby #zand #zher #zsiblings, #zBen #zand #zSarah, #zstarted #zGatsby #zCompany #zwhen
#zthey #zeach #zinvested #z$100,000 #zin #zthe #zcompany. #zAfter #zthe #zinvestments #zthere #zwill
#zbe
A) one #zreporting #zentity.
B) two #zreporting #zentities.
C) three #zreporting #zentities.
D) four #zreporting #zentities.
11) John #zHamilton #zborrowed #z$528,000 #zfrom #zStone #zCreek #zBank #zto #zopen #za #znew #zrestaurant
#zcalled #zSauce-It-Up. #zJohn #ztransferred #z$475,200 #zof #zthe #zcash #zhe #zborrowed #zto #zthe
#zrestaurant #zon #zthe #zfirst #zday #zof #zthe #z year. #zHow #zmany #zreporting #zentities #zexist #zin #zthis
#zscenario?
A) Two #zreporting #zentities
B) Three #zreporting #zentities
C) One #zreporting #zentity
D) Four #zreporting #zentities
, 12) John #zHamilton #zborrowed #z$540,000 #zfrom #zStone #zCreek #zBank #zto #zopen #za #znew #zrestaurant
#zcalled #zSauce-It-Up. #zJohn #ztransferred #z$486,000 #zof #zthe #zcash #zhe #zborrowed #zto #zthe
#zCompany #zon #zthe #zfirst #zday #zof #zthe #z year. #zWhich #zof #zthe #zfollowing #zappropriately #zreflects
#zthe #zcash #ztransactions #zbetween #zthese #zreporting #zentities?
John #zHamilton Sauce-It-Up Stone #zCreek #zBank
A. $ #z54,000 #z increase $ #z486,000 #z increase $ #z540,000 #z decrease
B. $ #z540,000 # z increase $ #z486,000 # z increase $ #z540,000 # z decrease
C. $ #z540,000 # z decrease $ #z540,000 # z increase $ #z540,000 # z decrease
D. $ #z486,000 # z increase $ #z54,000 # z increase $ #z540,000 # z decrease
A) Option #zA
B) Option #zB
C) Option #zC
D) Option #zD
13) Which #zof #zthe #zfollowing #zis #zan #zaccurate #zdefinition #zof #zthe #zterm #z“asset?”
A) An #zobligation #zto #zcreditors
B) A #zresource #zthat #zwill #zbe #zused #zto #zproduce #zrevenue
C) A #ztransfer #zof #zwealth #zfrom #zthe #zbusiness #zto #zits #zstockholders
D) A #zsacrifice #zincurred #zfrom #zoperating #zthe #zbusiness
14) Which #zof #zthe #zfollowing #zis #z(are) #zsource(s) #zof #zassets #zto #za #zbusiness?
A) Creditors
B) Investors
C) Operations
D) All #zthe #zanswers #zrepresent #zsources #zof #zassets.
15) If #ztotal #zassets #zdecrease, #zthen #zwhich #zof #zthe #zfollowing #zstatements #zis #ztrue?
A) Liabilities #zmust #zincrease #zand #zretained #zearnings #zmust #zdecrease.
B) Common #zstock #zmust #zdecrease #zand #zretained #zearnings #zmust #zincrease.
C) Liabilities, #zcommon #zstock, #zor #zretained #zearnings #zmust #zdecrease.
D) Liabilities, #zcommon #zstock, #zor #zretained #zearnings #zmust #zincrease.
Survey of Accounting, 7th Edition by
#z #z #z #z #z
Edmonds
#z
Chapter 1-16 #z
Answers Included
#z
✅
Chap 01 7e Edmonds
#z #z #z
1) Which #zof #zthe #zfollowing #zgroups #zhas #zthe #zprimary #zresponsibility #zfor #zestablishing
#z generally #zaccepted #zaccounting #zprinciples #zfor #zbusiness #zentities #zin #zthe #zUnited
#z States?
A) Securities #zand #zExchange #zCommission
B) U.S. #zCongress
C) International #zAccounting #zStandards #zBoard
D) Financial #zAccounting #zStandards #zBoard
2) The #zHeritage #zCompany#zis #za #zmanufacturer #zof #zoffice #zfurniture. #zWhich #zterm #zbest
describes #zHeritage's #zrole #zin #zsociety?
#z
A) Business
B) Regulatory #zagency
C) Consumer
D) Resource #zowner
3) Which #zresource #zproviders #zlend #zfinancial #zresources #zto #za #zbusiness #zwith #zthe
expectation #zof #zrepayment #zwith #zinterest?
#z
A) Consumers
B) Creditors
C) Investors
D) Owners
4) Which #ztype #zof #zaccounting #zinformation #zis #zintended #zto #zsatisfy#zthe #zneeds #zof #zexternal
#z users #zof #zaccounting #zinformation?
A) Cost #zaccounting
B) Managerial #zaccounting
C) Tax #zaccounting
D) Financial #zaccounting
5) Which #zof #zthe #zfollowing #zis #zfalse #zregarding #zmanagerial #zaccounting #zinformation?
A) It #zis #zoften #zused #zby #zinvestors.
B) It #zis #zmore #zdetailed #zthan #zfinancial #zaccounting #zinformation.
C) It #zcan #zinclude #znonfinancial #zinformation.
D) It #zfocuses #zon #zdivisional #zrather #zthan #zoverall #zprofitability.
,6) Financial accounting standards are known collectively as GAAP. What does that acronym
stand for?
A) Generally Accepted Accounting Principles
B) Generally Applied Accounting Procedures
C) Governmentally Approved Accounting Practices
D) Generally Authorized Auditing Principles
7) International accounting standards are formulated by the IASB. What does that acronym
stand for?
A) Internationally Accepted Standards Board
B) International Accounting Standards Board
C) International Accountability Standards Bureau
D) International Accounting and Sustainability Board
8) Jack Henry borrowed $800,000 from Walt Bank to open a new bike store called Wooden
Wheels. Jack transferred $650,000 of the cash that he borrowed to the store on the first day
of the year. How many reporting entities exist in this scenario?
A) One reporting entity
B) Two reporting entities
C) Three reporting entities
D) Four reporting entities
,9) Jack #zHenry #zborrowed #z$800,000 #zfrom #zWalt #zBank #zto #zopen #za #znew #zbike #zstore #zcalled
#zWooden #zWheels. #zJack #ztransferred #z$650,000 #zof #zthe #zcash #zhe #zborrowed #zto #zWooden
#zWheels #zon #zthe #zfirst #zday #zof #zthe #z year. #zWhich #zof #zthe #zfollowing #zappropriately #zreflects
#zthe #zcash #ztransactions #zbetween #zthese #zreporting #zentities?
Option Jack #zHenry Wooden #zWheels Walt #zBank
A. $ 150,000 #zincrease $ #z650,000 $ #z800,000
increase decrease
B. $ 800,000 #zincrease $ #z650,000 $ #z150,000
increase decrease
C. $ 800,000 #zdecrease $ #z800,000 $ #z650,000
increase decrease
D. $ 650,000 #zincrease $ #z150,000 $ #z800,000
increase decrease
A) Option #zA
B) Option #zB
C) Option #zC
D) Option #zD
10) Ellen #zGatsby #zand #zher #zsiblings, #zBen #zand #zSarah, #zstarted #zGatsby #zCompany #zwhen
#zthey #zeach #zinvested #z$100,000 #zin #zthe #zcompany. #zAfter #zthe #zinvestments #zthere #zwill
#zbe
A) one #zreporting #zentity.
B) two #zreporting #zentities.
C) three #zreporting #zentities.
D) four #zreporting #zentities.
11) John #zHamilton #zborrowed #z$528,000 #zfrom #zStone #zCreek #zBank #zto #zopen #za #znew #zrestaurant
#zcalled #zSauce-It-Up. #zJohn #ztransferred #z$475,200 #zof #zthe #zcash #zhe #zborrowed #zto #zthe
#zrestaurant #zon #zthe #zfirst #zday #zof #zthe #z year. #zHow #zmany #zreporting #zentities #zexist #zin #zthis
#zscenario?
A) Two #zreporting #zentities
B) Three #zreporting #zentities
C) One #zreporting #zentity
D) Four #zreporting #zentities
, 12) John #zHamilton #zborrowed #z$540,000 #zfrom #zStone #zCreek #zBank #zto #zopen #za #znew #zrestaurant
#zcalled #zSauce-It-Up. #zJohn #ztransferred #z$486,000 #zof #zthe #zcash #zhe #zborrowed #zto #zthe
#zCompany #zon #zthe #zfirst #zday #zof #zthe #z year. #zWhich #zof #zthe #zfollowing #zappropriately #zreflects
#zthe #zcash #ztransactions #zbetween #zthese #zreporting #zentities?
John #zHamilton Sauce-It-Up Stone #zCreek #zBank
A. $ #z54,000 #z increase $ #z486,000 #z increase $ #z540,000 #z decrease
B. $ #z540,000 # z increase $ #z486,000 # z increase $ #z540,000 # z decrease
C. $ #z540,000 # z decrease $ #z540,000 # z increase $ #z540,000 # z decrease
D. $ #z486,000 # z increase $ #z54,000 # z increase $ #z540,000 # z decrease
A) Option #zA
B) Option #zB
C) Option #zC
D) Option #zD
13) Which #zof #zthe #zfollowing #zis #zan #zaccurate #zdefinition #zof #zthe #zterm #z“asset?”
A) An #zobligation #zto #zcreditors
B) A #zresource #zthat #zwill #zbe #zused #zto #zproduce #zrevenue
C) A #ztransfer #zof #zwealth #zfrom #zthe #zbusiness #zto #zits #zstockholders
D) A #zsacrifice #zincurred #zfrom #zoperating #zthe #zbusiness
14) Which #zof #zthe #zfollowing #zis #z(are) #zsource(s) #zof #zassets #zto #za #zbusiness?
A) Creditors
B) Investors
C) Operations
D) All #zthe #zanswers #zrepresent #zsources #zof #zassets.
15) If #ztotal #zassets #zdecrease, #zthen #zwhich #zof #zthe #zfollowing #zstatements #zis #ztrue?
A) Liabilities #zmust #zincrease #zand #zretained #zearnings #zmust #zdecrease.
B) Common #zstock #zmust #zdecrease #zand #zretained #zearnings #zmust #zincrease.
C) Liabilities, #zcommon #zstock, #zor #zretained #zearnings #zmust #zdecrease.
D) Liabilities, #zcommon #zstock, #zor #zretained #zearnings #zmust #zincrease.
