TEST BANK r
Intermediate Accounting, 18th Edition By
r r r r
r Kieso,Warfield, Complete Chapters 1 To 23
r r r r r r
, TABLE OF CONTENTS
r r
Ch. r1: rThe rEnvironment rand rConceptual rFramework rof rFinancial rReporting
r Ch. r2: rAccounting rInformation rSystem
Ch. r3: rIncome rStatement r& rRevenue rRecognition
r Ch. r4: rBalance rSheet rand rStatement rof rCash rFlows
r Ch. r5: rTime rValue rof rMoney
Ch. r6: rCash rand rAccounts rReceivable
Ch. r7: rValuation rof rInventories: rA rCost-Basis rApproach
Ch. r8: rInventories: rAdditional rValuation rIssues
r
Ch. r9: rAcquisition rand rDisposition rof rProperty, rPlant, rand rEquipment
Ch. r10: rDepreciation, rImpairments, rand rDepletion
r
Ch. r11: rIntangible rAsset
Ch. r12: rCurrent rLiabilities rand rContingencies
Ch. r13: rLong-Term rLiabilities
r
Ch. r14: rStockholders’ rEquity
Ch. r15: rDilutive rSecurities rand rEarnings rper rShare
Ch. r16: rInvestments
r
Ch. r17: rRevenue rRecognition
Ch. r18 rAccounting rfor rIncome rTaxes
Ch. r19: rPensions
r
Ch. r20: rLeases
To rget rthis rCOMPLETE rPDF rEmail rus rat
Ch. r21: rAccounting rChanges rand rError rAnalysis
Ch. r22: rStatement rof rCash rFlows
r
Ch. r23: rFull rdisclosure
,
Test Bank for Intermediate Accounting, 18th Edition 18e by Donald E. Kieso,Terry D. Warfield
r r r r r r r r r r r r r
CHAPTER 1 r All Chapters
r ✅
THE ENVIRONMENT AND CONCEPTUAL FRAMEWORKOF
r r r r
FINANCIAL REPORTING r r
IFRS rquestions rare ravailable rat rthe rend rof rthis rchapter.
TRUE-FALSE—Conceptual
1. Financial rstatements rare rthe rprincipal rmeans rthrough rwhich ra rcompany rcommunicates rits rfinancial
r information rto rthose routside rit.
Ans: rT, rLO: r1, rBloom: rK, rDifficulty: rEasy, rMin: r1, rAACSB: rKnowledge, rAICPA rBC: rNone, rAICPA rAC: rReporting, rAICPA rPC: rNone, rIMA: rReporting r& rControl:
rFinancial r Statement rPreparation, rIFRS: rNone
2. Users rof rfinancial rreports rof ra rcompany ruse rthe rinformation rprovided rby rthese rreports rtomake
rcapital rallocation rdecisions.
Ans: rT, rLO: r1, rBloom: rK, rDifficulty: rEasy, rMin: r1, rAACSB: rKnowledge, rAICPA rBC: rNone, rAICPA rAC: rReporting, rAICPA rPC: rNone, rIMA: rReporting r& rControl:
rFinancial r Statement rPreparation, rIFRS: rNone
3. Anreffective rprocess rofrcapital rallocationrprovides ran refficient rmarket rfor rbuyingrandrselling
rsecurities rand robtaining rand rgranting rcredit.
Ans: rT, rLO: r1, rBloom: rK, rDifficulty: rEasy, rMin: r1, rAACSB: rKnowledge, rAICPA rBC: rNone, rAICPA rAC: rReporting, rAICPA rPC: rNone, rIMA: rReporting r& rControl:
rFinancial r Statement rPreparation, rIFRS: rNone
4. Investors rare rinterested rin rfinancial rreporting rbecause rit rprovides rinformation rthat ris rusefulfor
rmaking rdecisions.
Ans: rT, rLO: r1, rBloom: rK, rDifficulty: rEasy, rMin: r1, rAACSB: rKnowledge, rAICPA rBC: rNone, rAICPA rAC: rReporting, rAICPA rPC: rNone, rIMA: rReporting r& rControl:
rFinancial r Statement rPreparation, rIFRS: rNone
5. Users rof rfinancial raccounting r statements rhave rboth rcoinciding rand rconflicting rneeds rfor
rinformation rof rvarious rtypes.
Ans: rT, rLO: r1, rBloom: rK, rDifficulty: rEasy, rMin: r1, rAACSB: rKnowledge, rAICPA rBC: rNone, rAICPA rAC: rReporting, rAICPA rPC: rNone, rIMA: rReporting r& rControl:
rFinancial r Statement rPreparation, rIFRS: rNone
6. Although rthe rFASB rhas rdeveloped ra rconceptual rframework, rno rStatements rof rFinancial rAccounting
r Concepts rhave rbeen rissued rto rdate.
Ans: rF, rLO: r1, rBloom: rK, rDifficulty: rModerate, rMin: r1, rAACSB: rKnowledge, rAICPA r BC: rNone, rAICPA rAC: rReporting, rAICPA rPC: rNone, rIMA: rReporting r& rControl:
rFinancial r Statement rAnalysis, rIFRS: rNone
7. The rpassage rof ra rnew rFASB rAccounting rStandards rUpdate rrequires rthe rsupport rof rfive rofthe rseven
rboard rmembers.
Ans: rF, rLO: r1, rBloom: rK, rDifficulty: rEasy, rMin: r1, rAACSB: rKnowledge, rAICPA rBC: rNone, rAICPA rAC: rReporting, rAICPA rPC: rNone, rIMA: rReporting r& rControl:
rFinancial r Statement rPreparation, rIFRS: rNone
8. Statements rof rFinancial rAccounting rConcepts rset rforth rfundamental robjectives rand rconcepts rthat rare
rused rby rthe rFASB rin rdeveloping rfuture rstandards rof rfinancial raccounting rand rreporting.
Ans: rT, rLO: r1, rBloom: rK, rDifficulty: rEasy, rMin: r1, rAACSB: rKnowledge, rAICPA rBC: rNone, rAICPA rAC: rReporting, rAICPA rPC: rNone, rIMA: rReporting r& rControl:
rFinancial r Statement rAnalysis, rIFRS: rNone
9. The rFASB’s rCodification r creates r a rnew r set rof r GAAP.
Ans: rF, rLO: r1, rBloom: rK, rDifficulty: rEasy, rMin: r1, rAACSB: rKnowledge, rAICPA rBC: rNone, rAICPA rAC: rReporting, rAICPA rPC: rNone, rIMA: rReporting r& rControl:
rFinancial r Statement rAnalysis, rIFRS: rNone
, 1 r- r2 Test rBank rfor rIntermediate rAccounting, rEighteenth rEdition
10. The robjective rof rfinancial rreporting ris rto rreport rthe rplans rmade rby ra rcompany rto rimprove rthe
rproductivity rof rits remployees.
Ans: rF, rLO: r1, rBloom: rK, rDifficulty: rEasy, rMin: r1, rAACSB: rKnowledge, rAICPA rBC: rNone, rAICPA rAC: rReporting, rAICPA rPC: rNone, rIMA: rReporting r& rControl:
rFinancial r Statement rPreparation, rIFRS: rNone
11. A rsoundly rdeveloped rconceptual rframework renables rthe rFASB rto rissue rmore ruseful randconsistent
rpronouncements rover rtime.
Ans: rT, rLO: r2, rBloom: rK, rDifficulty: rEasy, rMin: r1, rAACSB: rKnowledge, rAICPA rBC: rNone, rAICPA rAC: rReporting, rAICPA rPC: rNone, rIMA: rReporting r& rControl:
rFinancial r Statement rAnalysis, rIFRS: rNone
12. A rconceptual rframework ris ra rcoherent rsystem rof rconcepts rthat rflow rfrom ran robjective.
Ans: rT, rLO: r2, rBloom: rK, rDifficulty: rEasy, rMin: r1, rAACSB: rKnowledge, rAICPA rBC: rNone, rAICPA rAC: rReporting, rAICPA rPC: rNone, rIMA: rReporting r& rControl:
rFinancial r Statement rAnalysis, rIFRS: rNone
13. The rfirst rlevel rof rthe rconceptual rframework ridentifies rthe rrecognition, rmeasurement, randdisclosure
r concepts rused rin restablishing raccounting rstandards.
Ans: rF, rLO: r2, rBloom: rK, rDifficulty: rEasy, rMin: r1, rAACSB: rKnowledge, rAICPA rBC: rNone, rAICPA rAC: rReporting, rAICPA rPC: rNone, rIMA: rReporting r& rControl:
rFinancial r Statement rAnalysis, rIFRS: rNone
14. The robjective rof rfinancial rreporting rserves ras rthe rfoundation rof rthe rconceptual rframework.
Ans: rT, rLO: r2, rBloom: rK, rDifficulty: rEasy, rMin: r1, rAACSB: rKnowledge, rAICPA rBC: rNone, rAICPA rAC: rReporting, rAICPA rPC: rNone, rIMA: rReporting r& rControl:
rFinancial r Statement rAnalysis, rIFRS: rNone
15. Users rof rfinancial rstatements rare rassumed rto rneed rno rknowledge rof rbusiness rand rfinancialaccounting
rmatters rto runderstand rthe rinformation rcontained rin rfinancial rstatements.
Ans: rF, rLO: r2, rBloom: rK, rDifficulty: rEasy, rMin: r1, rAACSB: rKnowledge, rAICPA rBC: rNone, rAICPA rAC: rReporting, rAICPA rPC: rNone, rIMA: rReporting r& rControl:
rFinancial r Statement rAnalysis, rIFRS: rNone
16. Relevance r and rfaithful rrepresentation r are r the r two r fundamental rqualities r that
rmakeaccounting rinformation ruseful rfor rdecision-making.
Ans: rT, rLO: r2, rBloom: rK, rDifficulty: rEasy, rMin: r1, rAACSB: rKnowledge, rAICPA rBC: rNone, rAICPA rAC: rReporting, rAICPA rPC: rNone, rIMA: rReporting r& rControl:
rFinancial r Statement rAnalysis, rIFRS: rNone
17. The ridea rof rconsistency rdoes rnot rmean rthat rcompanies rcannot rswitch rfrom rone raccountingmethod rto
r another.
Ans: rT, rLO: r2, rBloom: rC, rDifficulty: rModerate, rMin: r1, rAACSB: rKnowledge, rAICPA rBC: rNone, rAICPA rAC: rReporting, rAICPA rPC: rNone, rIMA: rReporting r& rControl:
rFinancial r Statement rAnalysis, rIFRS: rNone
18. Timeliness rand rneutrality rare rtwo ringredients rof rrelevance.
Ans: rF, rLO: r2, rBloom: rK, rDifficulty: rEasy, rMin: r1, rAACSB: rKnowledge, rAICPA rBC: rNone, rAICPA rAC: rReporting, rAICPA rPC: rNone, rIMA: rReporting r& rControl:
rFinancial r Statement rAnalysis, rIFRS: rNone
19. Verifiability rand rpredictive r value rare rtwo ringredients rof rfaithful rrepresentation.
Ans: rF, rLO: r2, rBloom: rK, rDifficulty: rEasy, rMin: r1, rAACSB: rKnowledge, rAICPA rBC: rNone, rAICPA rAC: rReporting, rAICPA rPC: rNone, rIMA: rReporting r& rControl:
rFinancial r Statement rAnalysis, rIFRS: rNone
20. Revenues, r gains, r and rdistributions r to rowners rall rincrease r equity.
Ans: rF, rLO: r2, rBloom: rC, rDifficulty: rModerate, r Min: r 1, r AACSB: r Knowledge, r AICPA r BC: r None, r AICPA r AC: r Measurement r Analysis r and r Interpretation, rAICPA
r PC: rNone, r IMA: rReporting r& rControl: rFinancial rStatement rAnalysis, rIFRS: rNone
21. Comprehensive rincome rincludes rall rchanges rin requity rduring ra rperiod rexcept rthoseresulting rfrom
rinvestments rby rowners rand rdistributions rto rowners.
Ans: rT, rLO: r2, r Bloom: rK, rDifficulty: rEasy, rMin: r1, rAACSB: r Knowledge, rAICPA r BC: rNone, rAICPA r AC: rMeasurement r Analysis r and r Interpretation, rAICPA rPC: rNone,
rIMA: r Reporting r& rControl: rFinancial rStatement rAnalysis, rIFRS: rNone
To rget rthis rCOMPLETE rPDF rEmail rus r
rat
Intermediate Accounting, 18th Edition By
r r r r
r Kieso,Warfield, Complete Chapters 1 To 23
r r r r r r
, TABLE OF CONTENTS
r r
Ch. r1: rThe rEnvironment rand rConceptual rFramework rof rFinancial rReporting
r Ch. r2: rAccounting rInformation rSystem
Ch. r3: rIncome rStatement r& rRevenue rRecognition
r Ch. r4: rBalance rSheet rand rStatement rof rCash rFlows
r Ch. r5: rTime rValue rof rMoney
Ch. r6: rCash rand rAccounts rReceivable
Ch. r7: rValuation rof rInventories: rA rCost-Basis rApproach
Ch. r8: rInventories: rAdditional rValuation rIssues
r
Ch. r9: rAcquisition rand rDisposition rof rProperty, rPlant, rand rEquipment
Ch. r10: rDepreciation, rImpairments, rand rDepletion
r
Ch. r11: rIntangible rAsset
Ch. r12: rCurrent rLiabilities rand rContingencies
Ch. r13: rLong-Term rLiabilities
r
Ch. r14: rStockholders’ rEquity
Ch. r15: rDilutive rSecurities rand rEarnings rper rShare
Ch. r16: rInvestments
r
Ch. r17: rRevenue rRecognition
Ch. r18 rAccounting rfor rIncome rTaxes
Ch. r19: rPensions
r
Ch. r20: rLeases
To rget rthis rCOMPLETE rPDF rEmail rus rat
Ch. r21: rAccounting rChanges rand rError rAnalysis
Ch. r22: rStatement rof rCash rFlows
r
Ch. r23: rFull rdisclosure
,
Test Bank for Intermediate Accounting, 18th Edition 18e by Donald E. Kieso,Terry D. Warfield
r r r r r r r r r r r r r
CHAPTER 1 r All Chapters
r ✅
THE ENVIRONMENT AND CONCEPTUAL FRAMEWORKOF
r r r r
FINANCIAL REPORTING r r
IFRS rquestions rare ravailable rat rthe rend rof rthis rchapter.
TRUE-FALSE—Conceptual
1. Financial rstatements rare rthe rprincipal rmeans rthrough rwhich ra rcompany rcommunicates rits rfinancial
r information rto rthose routside rit.
Ans: rT, rLO: r1, rBloom: rK, rDifficulty: rEasy, rMin: r1, rAACSB: rKnowledge, rAICPA rBC: rNone, rAICPA rAC: rReporting, rAICPA rPC: rNone, rIMA: rReporting r& rControl:
rFinancial r Statement rPreparation, rIFRS: rNone
2. Users rof rfinancial rreports rof ra rcompany ruse rthe rinformation rprovided rby rthese rreports rtomake
rcapital rallocation rdecisions.
Ans: rT, rLO: r1, rBloom: rK, rDifficulty: rEasy, rMin: r1, rAACSB: rKnowledge, rAICPA rBC: rNone, rAICPA rAC: rReporting, rAICPA rPC: rNone, rIMA: rReporting r& rControl:
rFinancial r Statement rPreparation, rIFRS: rNone
3. Anreffective rprocess rofrcapital rallocationrprovides ran refficient rmarket rfor rbuyingrandrselling
rsecurities rand robtaining rand rgranting rcredit.
Ans: rT, rLO: r1, rBloom: rK, rDifficulty: rEasy, rMin: r1, rAACSB: rKnowledge, rAICPA rBC: rNone, rAICPA rAC: rReporting, rAICPA rPC: rNone, rIMA: rReporting r& rControl:
rFinancial r Statement rPreparation, rIFRS: rNone
4. Investors rare rinterested rin rfinancial rreporting rbecause rit rprovides rinformation rthat ris rusefulfor
rmaking rdecisions.
Ans: rT, rLO: r1, rBloom: rK, rDifficulty: rEasy, rMin: r1, rAACSB: rKnowledge, rAICPA rBC: rNone, rAICPA rAC: rReporting, rAICPA rPC: rNone, rIMA: rReporting r& rControl:
rFinancial r Statement rPreparation, rIFRS: rNone
5. Users rof rfinancial raccounting r statements rhave rboth rcoinciding rand rconflicting rneeds rfor
rinformation rof rvarious rtypes.
Ans: rT, rLO: r1, rBloom: rK, rDifficulty: rEasy, rMin: r1, rAACSB: rKnowledge, rAICPA rBC: rNone, rAICPA rAC: rReporting, rAICPA rPC: rNone, rIMA: rReporting r& rControl:
rFinancial r Statement rPreparation, rIFRS: rNone
6. Although rthe rFASB rhas rdeveloped ra rconceptual rframework, rno rStatements rof rFinancial rAccounting
r Concepts rhave rbeen rissued rto rdate.
Ans: rF, rLO: r1, rBloom: rK, rDifficulty: rModerate, rMin: r1, rAACSB: rKnowledge, rAICPA r BC: rNone, rAICPA rAC: rReporting, rAICPA rPC: rNone, rIMA: rReporting r& rControl:
rFinancial r Statement rAnalysis, rIFRS: rNone
7. The rpassage rof ra rnew rFASB rAccounting rStandards rUpdate rrequires rthe rsupport rof rfive rofthe rseven
rboard rmembers.
Ans: rF, rLO: r1, rBloom: rK, rDifficulty: rEasy, rMin: r1, rAACSB: rKnowledge, rAICPA rBC: rNone, rAICPA rAC: rReporting, rAICPA rPC: rNone, rIMA: rReporting r& rControl:
rFinancial r Statement rPreparation, rIFRS: rNone
8. Statements rof rFinancial rAccounting rConcepts rset rforth rfundamental robjectives rand rconcepts rthat rare
rused rby rthe rFASB rin rdeveloping rfuture rstandards rof rfinancial raccounting rand rreporting.
Ans: rT, rLO: r1, rBloom: rK, rDifficulty: rEasy, rMin: r1, rAACSB: rKnowledge, rAICPA rBC: rNone, rAICPA rAC: rReporting, rAICPA rPC: rNone, rIMA: rReporting r& rControl:
rFinancial r Statement rAnalysis, rIFRS: rNone
9. The rFASB’s rCodification r creates r a rnew r set rof r GAAP.
Ans: rF, rLO: r1, rBloom: rK, rDifficulty: rEasy, rMin: r1, rAACSB: rKnowledge, rAICPA rBC: rNone, rAICPA rAC: rReporting, rAICPA rPC: rNone, rIMA: rReporting r& rControl:
rFinancial r Statement rAnalysis, rIFRS: rNone
, 1 r- r2 Test rBank rfor rIntermediate rAccounting, rEighteenth rEdition
10. The robjective rof rfinancial rreporting ris rto rreport rthe rplans rmade rby ra rcompany rto rimprove rthe
rproductivity rof rits remployees.
Ans: rF, rLO: r1, rBloom: rK, rDifficulty: rEasy, rMin: r1, rAACSB: rKnowledge, rAICPA rBC: rNone, rAICPA rAC: rReporting, rAICPA rPC: rNone, rIMA: rReporting r& rControl:
rFinancial r Statement rPreparation, rIFRS: rNone
11. A rsoundly rdeveloped rconceptual rframework renables rthe rFASB rto rissue rmore ruseful randconsistent
rpronouncements rover rtime.
Ans: rT, rLO: r2, rBloom: rK, rDifficulty: rEasy, rMin: r1, rAACSB: rKnowledge, rAICPA rBC: rNone, rAICPA rAC: rReporting, rAICPA rPC: rNone, rIMA: rReporting r& rControl:
rFinancial r Statement rAnalysis, rIFRS: rNone
12. A rconceptual rframework ris ra rcoherent rsystem rof rconcepts rthat rflow rfrom ran robjective.
Ans: rT, rLO: r2, rBloom: rK, rDifficulty: rEasy, rMin: r1, rAACSB: rKnowledge, rAICPA rBC: rNone, rAICPA rAC: rReporting, rAICPA rPC: rNone, rIMA: rReporting r& rControl:
rFinancial r Statement rAnalysis, rIFRS: rNone
13. The rfirst rlevel rof rthe rconceptual rframework ridentifies rthe rrecognition, rmeasurement, randdisclosure
r concepts rused rin restablishing raccounting rstandards.
Ans: rF, rLO: r2, rBloom: rK, rDifficulty: rEasy, rMin: r1, rAACSB: rKnowledge, rAICPA rBC: rNone, rAICPA rAC: rReporting, rAICPA rPC: rNone, rIMA: rReporting r& rControl:
rFinancial r Statement rAnalysis, rIFRS: rNone
14. The robjective rof rfinancial rreporting rserves ras rthe rfoundation rof rthe rconceptual rframework.
Ans: rT, rLO: r2, rBloom: rK, rDifficulty: rEasy, rMin: r1, rAACSB: rKnowledge, rAICPA rBC: rNone, rAICPA rAC: rReporting, rAICPA rPC: rNone, rIMA: rReporting r& rControl:
rFinancial r Statement rAnalysis, rIFRS: rNone
15. Users rof rfinancial rstatements rare rassumed rto rneed rno rknowledge rof rbusiness rand rfinancialaccounting
rmatters rto runderstand rthe rinformation rcontained rin rfinancial rstatements.
Ans: rF, rLO: r2, rBloom: rK, rDifficulty: rEasy, rMin: r1, rAACSB: rKnowledge, rAICPA rBC: rNone, rAICPA rAC: rReporting, rAICPA rPC: rNone, rIMA: rReporting r& rControl:
rFinancial r Statement rAnalysis, rIFRS: rNone
16. Relevance r and rfaithful rrepresentation r are r the r two r fundamental rqualities r that
rmakeaccounting rinformation ruseful rfor rdecision-making.
Ans: rT, rLO: r2, rBloom: rK, rDifficulty: rEasy, rMin: r1, rAACSB: rKnowledge, rAICPA rBC: rNone, rAICPA rAC: rReporting, rAICPA rPC: rNone, rIMA: rReporting r& rControl:
rFinancial r Statement rAnalysis, rIFRS: rNone
17. The ridea rof rconsistency rdoes rnot rmean rthat rcompanies rcannot rswitch rfrom rone raccountingmethod rto
r another.
Ans: rT, rLO: r2, rBloom: rC, rDifficulty: rModerate, rMin: r1, rAACSB: rKnowledge, rAICPA rBC: rNone, rAICPA rAC: rReporting, rAICPA rPC: rNone, rIMA: rReporting r& rControl:
rFinancial r Statement rAnalysis, rIFRS: rNone
18. Timeliness rand rneutrality rare rtwo ringredients rof rrelevance.
Ans: rF, rLO: r2, rBloom: rK, rDifficulty: rEasy, rMin: r1, rAACSB: rKnowledge, rAICPA rBC: rNone, rAICPA rAC: rReporting, rAICPA rPC: rNone, rIMA: rReporting r& rControl:
rFinancial r Statement rAnalysis, rIFRS: rNone
19. Verifiability rand rpredictive r value rare rtwo ringredients rof rfaithful rrepresentation.
Ans: rF, rLO: r2, rBloom: rK, rDifficulty: rEasy, rMin: r1, rAACSB: rKnowledge, rAICPA rBC: rNone, rAICPA rAC: rReporting, rAICPA rPC: rNone, rIMA: rReporting r& rControl:
rFinancial r Statement rAnalysis, rIFRS: rNone
20. Revenues, r gains, r and rdistributions r to rowners rall rincrease r equity.
Ans: rF, rLO: r2, rBloom: rC, rDifficulty: rModerate, r Min: r 1, r AACSB: r Knowledge, r AICPA r BC: r None, r AICPA r AC: r Measurement r Analysis r and r Interpretation, rAICPA
r PC: rNone, r IMA: rReporting r& rControl: rFinancial rStatement rAnalysis, rIFRS: rNone
21. Comprehensive rincome rincludes rall rchanges rin requity rduring ra rperiod rexcept rthoseresulting rfrom
rinvestments rby rowners rand rdistributions rto rowners.
Ans: rT, rLO: r2, r Bloom: rK, rDifficulty: rEasy, rMin: r1, rAACSB: r Knowledge, rAICPA r BC: rNone, rAICPA r AC: rMeasurement r Analysis r and r Interpretation, rAICPA rPC: rNone,
rIMA: r Reporting r& rControl: rFinancial rStatement rAnalysis, rIFRS: rNone
To rget rthis rCOMPLETE rPDF rEmail rus r
rat
