TEST BANK for Financial Accounting, 13th Edition by C William Thomas and Wendy M. Tietz Verified Chapters 1 - 12, Complete Newest Version

TEST BANK
Financial Accounting
13th Edition By Thomas and Tietz
Verified Chapter's 1 - 12 | Complete

,TABLE OF CONTENTS g g g




1. The Financial Statements
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2. Transaction Analysis
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3. Accrual Accounting and Income
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4. Internal Control and Cash
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5. Receivables and Revenue
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6. Inventory and Cost of Goods Sold
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7. Plant Assets, Natural Resources, and Intangibles
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8. Current and Contingent Liabilities
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9. Long-Term Liabilities
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10. Stockholders' Equity
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11. The Statement of Cash Flows
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12. Financial Statement Analysis
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,1. The Financial Statements
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FullgTestgBankgforgFinancialgAccountingg13thgEditiongC.gWilliamgThomas,gWendygMgTietz

FinancialgAccounting,g13eg(Thomas/Tietz)
Chapterg 1 ThegFinancialgStatements

LearninggObjectiveg1-1

1) Accountinggisganginformationgsystemgthatgmeasuresgbusinessgactivities.gAnswe
r:g TRUE
Diff:g1
LO:g 1-1
AACSB:g ReflectivegThinking
AICPAgBusgPersp:g Legal/RegulatorygAI
CPAgFunctional:g Measurement

2) Bookkeepinggisgagmechanicalgpartgofgaccounting.gAns
wer:g TRUE
Diff:g1
LO:g 1-1
AACSB:g ReflectivegThinking
AICPAgBusgPersp:g Legal/RegulatorygAI
CPAgFunctional:g Measurement

3) Accountinggisgoftengcalledgtheglanguagegofgbusiness.gAns
wer:g TRUE
Diff:g1
LO:g 1-1
AACSB:g ReflectivegThinking
AICPAgBusgPersp:g Legal/RegulatorygAI
CPAgFunctional:g Measurement

4) Accountinggproducesgfinancialgstatements,gwhichgreportginformationgaboutgagbusiness.gAnswer:g
TRUE
Diff:g1
LO:g 1-1
AACSB:g ReflectivegThinking
AICPAgBusgPersp:g Legal/Regulatory
AICPAgFunctional:g Measurement,gReporting

5) Thegaccountinggprocessgbeginsgandgendsgwithgpeoplegmakinggdecisions.gAnswer
:g TRUE
Diff:g1
LO:g 1-1
AACSB:g ReflectivegThinking
AICPAgBusgPersp:g Legal/RegulatorygAI
CPAgFunctional:g Measurement

, 6) Accountingginformationgisgusedgbyginvestorsgandgcreditors,gbutgnotgbygregulatorygbodies.gAnswer:g
FALSE
Explanation:g Itgisgusedgbygindividuals,ginvestors,gcreditors,gnonprofits,gandgregulatorygbodies.
Diff:g1
LO:g 1-1
AACSB:g ReflectivegThinking
AICPAgBusgPersp:g IndustrygSector,gLegal/RegulatorygAICPAgFu
nctional:g Measurement,gReporting

7) SincegHabitatgforgHumanitygisgnotgconcernedgaboutgmakinggagprofit,gthegentitygdoesgnotgneedgtogusegaccountin
gginformation.
Answer:g FALSE
Diff:g1
LO:g 1-1
AACSB:g ReflectivegThinking
AICPAgBusgPersp:g IndustrygSector,gLegal/RegulatorygAICPAgFu
nctional:g Measurement,gReporting

8) Thegbusinessgrecordsgofgagsolegproprietorshipgshouldgincludegthegproprietor'sgpersonalgfinances.gAnswer:g
FALSE
Diff:g1
LO:g 1-1
AACSB:g ReflectivegThinking
AICPAgBusgPersp:g Legal/RegulatorygAI
CPAgFunctional:g Measurement

9) Agpartnershipgisgagtaxpayinggentity.gAns
wer:g FALSE
Diff:g1
LO:g 1-1
AACSB:g ReflectivegThinking
AICPAgBusgPersp:g Legal/RegulatorygAI
CPAgFunctional:g Measurement

10) Stockholdersghavegnogpersonalgobligation gforgthegcorporation'sgdebts.gAnswe
r:g TRUE
Diff:g1
LO:g 1-1
AACSB:g ReflectivegThinking
AICPAgBusgPersp:g Legal/RegulatorygAI
CPAgFunctional:g Measurement



11) Accounting:
A) measuresgbusinessgactivities.
B) processesgdatagintogreportsgandgcommunicatesgthegdatagtogdecisiongmakers.
C) isgoftengcalledgtheglanguagegofgbusiness.
D) isgallgofgthegabove.g
Answer:g D
Diff:g2
LO:g 1-1