SOLUTION MANUAL Financial And Managerial Accounting 4th Edition by Weygandt, Kimmel and Mitchel all chapters covered ISBN: 9781119752622

SOLUTION MANUAL
Financial And Managerial Accounting 4th Edition

by Weygandt, Kimmel and Mitchel

all chapters covered




obtainepermissionetoereuseethisematerialeiseavailableeatehttp://www.wiley.com/go/permission
s.

, CHAPTER 1 e




Accounting in Action e e




ASSIGNMENT CLASSIFICATION TABLE
e e




BriefeExer A
LearningeObjectives Questions cises DoeIt! Exercises Problems

1. 1,e 2,e 3,e 4,e5 1 1,e 2
Identifyetheeactivitiesean
deuserseassociatedewithe
accounting.

2.eExplainetheebuildingeblockseofea 6,e 7,e 8,e 9,e10 2 3,e 4
ccounting:eethics,eprinciples,e
andeassumptions.

3. 11,e 12,e 13,e14. 1,e 2,e 3,e 4,e5 3 5
Stateethee accountingee 22
quation,e andedefineeitsec
omponents.
4. 15,e 16,e 18 6,e 7,e 8,e 9 4 6,e 7,e 8 1A,e 2A,e4A,
Analyzeetheeeffectseofebusin 5A
essetransactionseonetheeacco
untingeequation.
5. 17,e 19,e 20,e21, 10,e 11 5 8,e 9,e 10,e11, 2A,e 3A,e4A,
Describeetheefourefinancialest 12,e 13,e 14,e15, 5A
atementseandehowetheye areep 16,e 17,e 18
repared.




©e2021eJohneWileye&eSons,eInc.eAllerightsereserved.eNoe parteofethisepublicationemayebeereproduced,estoredeineaeretrievalesystem,eoretransmitt
ed,eineanyeformeore byeanyemeans,eelectronic,emechanical,ephotocopying,erecordinge oreotherwise,eexcepte ase permittedebyelaw.eAdvicee onehowe
to




1-2 ©e2021e JohneWileye&eSons,e Inc.eAllerightsereserved.e Weygandt,eFinanciale&eManagerialeAccountinge4e,eSolutionseManualeee (Fore InstructoreUsee
Only)

, SOLUTION MANUAL
Financial And Managerial Accounting 4th Edition

by Weygandt, Kimmel and Mitchel

all chapters covered


ANSWERS TO QUESTIONS e e




1. True.eVirtuallyeeveryeorganizationeandepersoneineouresocietyeuseseaccountingeinformation.eBusines
ses,einvestors,ecreditors,egovernmenteagencies,eandenot-for-
profiteorganizationsemusteuseeaccountingeinformationetoeoperateeeffectively.
LOe 1,e BT:e K,e Difficulty:e Easy,e TOT:e 2e min.,e AACSB:e None,e AICPAe FC:e Reporting,e IMA:e Reporting

2. Accountingeisetheeprocesseofeidentifying,erecording,eande communicatinge theeeconomiceeventseofea
neorganizationetoeinterestedeuserseofetheeinformation.eTheefirsteactivityeofetheeaccountingeprocesseise
toeidentifyeeconomiceeventsethateareerelevantetoeaeparticularebusiness.eOnceeidentifiedeandemeasur
ed,etheeeventseareerecordedetoeprovideeaehistoryeofetheefinancialeactivitieseofetheeorganization.eReco
rdingeconsistseofekeepingeaechronologicalediaryeofetheseemeasuredeeventseineaneorderlyeandesystem
aticemanner.eTheeinformationeisecommunicatedethroughetheepreparationeandedistributioneofeaccount
inge reports,e thee moste commone ofe whichearee calledefinancialestatements.eAevitaleelementeinetheec
ommunicationeprocesseisetheeaccountant’seabilityeanderesponsibilityetoeanalyzeeandeinterpretetheere
portedeinformation.
LOe 1,e BT:e K,e Difficulty:e Easy,e TOT:e 2e min.,e AACSB:e None,e AICPAe FC:e Reporting,e IMA:e Reporting

3. (a)eInternaleuserseareethoseewhoeplan,eorganize,eanderunetheebusinesseandethereforeeareeofficersean
deotheredecisionemakers.
(b) Toeassistemanagement,eaccountingeprovideseinternalereports.eExampleseincludeefinancialecom
parisonseofeoperatingealternatives,eprojectionseofe incomeefromenewesalesecampaigns,eandefor
ecastseofe casheneedseforetheenexteyear.
LOe 1,e BT:e K,e Difficulty:e Easy,e TOT:e 2e min.,e AACSB:e None,e AICPAe FC:e Reporting,e IMA:e Reporting

4. (a) Investorse(owners)euseeaccountingeinformationetoemakeedecisionsetoebuy,ehold,eoresellestock.
(b) Creditorseuseeaccountingeinformationetoeevaluateetheeriskseofegrantingecrediteorelendingemoney.
LOe 1,e BT:e K,e Difficulty:e Easy,e TOT:e 2e min.,e AACSB:e None,e AICPAe FC:e Reporting,e IMA:e Reporting

5. False.eBookkeepingeusuallyeinvolveseonlyetheerecordingeofeeconomiceeventseandethereforeeisejusteo
neeparteofetheeentireeaccountingeprocess.eAccounting,eonetheeotherehand,einvolvesetheeentireeproces
seofeidentifying,erecording,eandecommunicatingeeconomiceevents.
LOe 1,e BT:e C,e Difficulty:e Easy,e TOT:e 2e min.,e AACSB:e None,e AICPAe FC:e Reporting,e IMA:e Reporting

6. HarpereTraveleAgencyeshouldereportetheelandeate$85,000eoneitseDecembere31,e 2022e balanceesheet
.eThiseisetrueenoteonlyeatetheetimeetheelandeisepurchased,ebutealsoeoveretheetimeetheelandeiseheld.eIned
eterminingewhichemeasurementeprincipleetoeusee(historicalecosteorefairevalue)ecompanieseweighethee
factualenatureeofecostefigureseversusetheerelevanceeofefairevalue.eInegeneral,ecompanieseuseehistoric
alecost.eOnlyeinesituationsewhereeassetseareeactivelyetradededoe companieseapplyetheefairevalueeprin
ciple.
LOe 2,e BT:e C,e Difficulty:e Easy,e TOT:e 2e min.,e AACSB:e None,e AICPAe FC:e Measurement,e Analysise ande Interpretatione IMA:eReport
ing

obtainepermissionetoereuseethisematerialeiseavailableeatehttp://www.wiley.com/go/permission
s.

, 7. Theemonetaryeuniteassumptionerequiresethateonlyetransactionedataecapableeofebeingeexpressedeinet
ermseofemoneyebeeincludedeinetheeaccountingerecords.eThiseassumptioneenableseaccountingetoequa
ntifye(measure)eeconomiceevents.
LOe2,eBT:eK,eDifficulty:eEasy,eTOT:e2emin.,eAACSB:eNone,eAICPAeFC:eMeasurement,eAnalysiseandeInterpretatione IMA:eRepo
rting




1-4 ©e2021e JohneWileye&eSons,e Inc.eAllerightsereserved.e Weygandt,eFinanciale&eManagerialeAccountinge4e,eSolutionseManualeee (Fore InstructoreUsee
Only)