Solution Manual For Financial Accounting, 11th Edition by Jerry J. Weygandt, Paul D. Kimmel, Verified Chapters 1 - 13, Complete Newest Version

,
,CHAPTERQ1
AccountingQinQAction

ASSIGNMENTQCLASSIFICATIONQTABLE

BriefQExer A
LearningQObjectives Questions cises DoQIt! Exercises Problems

1. 1,Q2,Q3,Q4,Q5 1 1,Q2
IdentifyQtheQactivitiesQa
ndQusersQassociatedQwit
hQaccounting.

2.QExplainQtheQbuildingQblocksQof 6,Q7,Q8,Q9,Q10 2 3,Q4
Qaccounting:Qethics,Qprinciple
s,QandQassumptions.

3. 11,Q12,Q13,Q14 1,Q2,Q3,Q4,Q5 3 5
StateQtheQaccountingQ .
equation,QandQdefineQi 22
tsQcomponents.

4. 15,Q16,Q18 6,Q7,Q8,Q9 4 6,Q7,Q8 1A,Q2A,Q4A,
AnalyzeQtheQeffectsQofQbusi 5A
nessQtransactionsQonQtheQac
countingQequation.
5. 17,Q19,Q20,Q21 10,Q11 5 8,Q9,Q10,Q11, 2A,Q3A,Q4A,
DescribeQtheQfourQfinancial , 12,Q13,Q14,Q15 5A
QstatementsQandQhowQthey ,
QareQprepared. 16,Q17,Q18

, ANSWERSQTOQQUESTIONS

1. True.QVirtuallyQeveryQorganizationQandQpersonQinQourQsocietyQusesQaccountingQinformation.QBusi
nesses,Qinvestors,Qcreditors,QgovernmentQagencies,QandQnot-for-
profitQorganizationsQmustQuseQaccountingQinformationQtoQoperateQeffectively.
LOQ 1,Q BT:Q K,Q Difficulty:Q Easy,Q TOT:Q 2Q min.,Q AACSB:Q None,Q AICPAQ FC:Q Reporting,Q IMA:Q Reporting


2. AccountingQisQtheQprocessQofQidentifying,Qrecording,QandQ communicatingQ theQeconomicQeventsQ
ofQanQorganizationQtoQinterestedQusersQofQtheQinformation.QTheQfirstQactivityQofQtheQaccounting
QprocessQisQtoQidentifyQeconomicQeventsQthatQareQrelevantQtoQaQparticularQbusiness.QOnceQident
ifiedQandQmeasured,QtheQeventsQareQrecordedQtoQprovideQaQhistoryQofQtheQfinancialQactivitiesQo
fQtheQorganization.QRecordingQconsistsQofQkeepingQaQchronologicalQdiaryQofQtheseQmeasuredQeve
ntsQinQanQorderlyQandQsystematicQmanner.QTheQinformationQisQcommunicatedQthroughQtheQprepa
rationQandQdistributionQofQaccountingQ reports,Q theQ mostQ commonQ ofQ whichQareQ calledQfinan
cialQstatements.QAQvitalQelementQinQtheQcommunicationQprocessQisQtheQaccountant’sQabilityQandQ
responsibilityQtoQanalyzeQandQinterpretQtheQreportedQinformation.
LOQ 1,Q BT:Q K,Q Difficulty:Q Easy,Q TOT:Q 2Q min.,Q AACSB:Q None,Q AICPAQ FC:Q Reporting,Q IMA:Q Reporting


3. (a)QInternalQusersQareQthoseQwhoQplan,Qorganize,QandQrunQtheQbusinessQandQthereforeQareQoffic
ersQandQotherQdecisionQmakers.
(b) ToQassistQmanagement,QaccountingQprovidesQinternalQreports.QExamplesQincludeQfinancialQco
mparisonsQofQoperatingQalternatives,QprojectionsQofQ incomeQfromQnewQsalesQ campaigns,Qan
dQforecastsQofQ cashQneedsQforQtheQnextQyear.
LOQ 1,Q BT:Q K,Q Difficulty:Q Easy,Q TOT:Q 2Q min.,Q AACSB:Q None,Q AICPAQ FC:Q Reporting,Q IMA:Q Reporting


4. (a) InvestorsQ(owners)QuseQaccountingQinformationQtoQmakeQdecisionsQtoQbuy,Qhold,QorQsellQstock.
(b) CreditorsQuseQaccountingQinformationQtoQevaluateQtheQrisksQofQgrantingQcreditQorQlendingQmoney.
LOQ 1,Q BT:Q K,Q Difficulty:Q Easy,Q TOT:Q 2Q min.,Q AACSB:Q None,Q AICPAQ FC:Q Reporting,Q IMA:Q Reporting


5. False.QBookkeepingQusuallyQinvolvesQonlyQtheQrecordingQofQeconomicQeventsQandQthereforeQisQju
stQoneQpartQofQtheQentireQaccountingQprocess.QAccounting,QonQtheQotherQhand,QinvolvesQtheQen
tireQprocessQofQidentifying,Qrecording,QandQcommunicatingQeconomicQevents.
LOQ 1,Q BT:Q C,Q Difficulty:Q Easy,Q TOT:Q 2Q min.,Q AACSB:Q None,Q AICPAQ FC:Q Reporting,Q IMA:Q Reporting


6. HarperQTravelQAgencyQshouldQreportQtheQlandQatQ$85,000QonQitsQDecemberQ31,Q 2022Q balance
Qsheet.QThisQisQtrueQnotQonlyQatQtheQtimeQtheQlandQisQpurchased,QbutQalsoQoverQtheQtimeQthe
QlandQisQheld.QInQdeterminingQwhichQmeasurementQprincipleQtoQuseQ(historicalQcostQorQfairQvalu
e)QcompaniesQweighQtheQfactualQnatureQofQcostQfiguresQversusQtheQrelevanceQofQfairQvalue.QInQ
general,QcompaniesQuseQhistoricalQcost.QOnlyQinQsituationsQwhereQassetsQareQactivelyQtradedQdo
Q companiesQapplyQtheQfairQvalueQprinciple.
LOQ 2,Q BT:Q C,Q Difficulty:Q Easy,Q TOT:Q 2Q min.,Q AACSB:Q None,Q AICPAQ FC:Q Measurement,Q AnalysisQ andQ Interpretation
Q IMA:QReporting

7. TheQmonetaryQunitQassumptionQrequiresQthatQonlyQtransactionQdataQcapableQofQbeingQexpressed
QinQtermsQofQmoneyQbeQincludedQinQtheQaccountingQrecords.QThisQassumptionQenablesQaccounti
ngQtoQquantifyQ(measure)QeconomicQevents.
LOQ2,QBT:QK,QDifficulty:QEasy,QTOT:Q2Qmin.,QAACSB:QNone,QAICPAQFC:QMeasurement,QAnalysisQandQInterpretationQ IMA:Q