Capital stock ??? USD

Cash????

Accounts receivable 31,000 USD

Accounts payable 45,000 USD

Capital stock 456,000 USD

Building 225,000 USD

Land 190,000 USD

Equipment 35,000 USD

Total assets USD 501,000

please find the missing item:

$ 40 000 USD

$$ 20 000 USD

$ 38 000 USD

$ No answers

$$$ 38. The balance sheet of MANHATTAN FAMILY DENTISTRY includes the following items:

Cash 20 000 USD

Accounts receivable 31,000 USD

Accounts payable 45,000 USD

Capital stock ??? USD

Building 225,000 USD

Land 190,000 USD

Equipment 35,000 USD

Total assets USD 501,000

please find the missing item:

$ 40 000 USD

$$ 456 000 USD

$ 501 000 USD

$ 400 000

$$$ 39. The balance sheet of MANHATTAN FAMILY DENTISTRY includes the following items:

Cash 20 000 USD

Accounts receivable 31,000 USD

Accounts payable 45,000 USD

Capital stock 456,000 USD

Building 225,000 USD

Land 190,000 USD

Equipment 35,000 USD

Please find Total liabilities and owners’ equity:

$ 40 000 USD

$ 456 000 USD

$$ 501 000 USD

$ 400 000

$$$ 40. Cash is …

$ Revenue

$ Expense

$$ Asset

$ Liability

$$$ 41. Accounts receivable is …

$ Revenue

$ Expense

$$ Asset

$ Liability

$$$ 42. Accounts payable is …

$ Revenue

$ Expense

$ Asset

$$ Liability

$$$ 43. Notes payable is …

$ Revenue

$ Expense

$ Asset

$$ Liability

$$$ 44. Capital stock is …

$$ Owner’s equity

$ Expense

$ Asset

$ Liability

$$$ 45. Salary payable is …

$ Owner’s equity

$ Expense

$ Asset

$$ Liability

$$$ 46. Retained earnings is …

$$ Owner’s equity

$ Expense

$ Asset

$ Liability

$$$ 47. Land and buildings is …

$ Owner’s equity

$ Expense

$$ Asset

$ Liability

$$$ 48. Total assets are equal to …

$ Total Owner’s equity

$ Revenue - Expense

$ Total Liabilities

$$ Total Liabilities + Total Owner’s equity

$$$ 49. Total Liabilities are equal to …

$ Total Owner’s equities

$ Revenue - Expense

$ Total Owner’s equity - Total Liabilities

$$ Total assets - Total Owner’s equities

$$$ 50. Total Owner’s equities are equal to …

$ Total assets + Total Liabilities

$ Revenue - Expense

$$ Total assets - Total Liabilities

$ Total Owner’s equity - Total Liabilities

$$$ 51. Cash received from revenue transaction is in …

$$Cash flows from operating activities

$ Cash flows from investing activities

$ Cash flows from financing activity

$ Cash flows from economic activities

$$$ 52. Cash paid for expenses is in …

$$ Cash flows from operating activities

$ Cash flows from investing activities

$ Cash flows from financing activity

$ Cash flows from economic activities

$$$ 53. Purchasing of truck is in …

$ Cash flows from operating activities

$$ Cash flows from investing activities

$ Cash flows from financing activity

$ Cash flows from economic activities

$$$ 54. Purchasing of building is in …

$ Cash flows from operating activities

$$ Cash flows from investing activities

$ Cash flows from financing activity

$ Cash flows from economic activities

$$$ 55. Payment for repair parts (assets) is in …

$ Cash flows from operating activities

$$ Cash flows from investing activities

$ Cash flows from financing activity

$ Cash flows from economic activities

$$$ 56. Investment by the owners is in …

$ Cash flows from operating activities

$ Cash flows from investing activities

$$ Cash flows from financing activity

$ Cash flows from economic activities

$$$ 57. Credit from bank is in …

$ Cash flows from operating activities

$ Cash flows from investing activities

$$ Cash flows from financing activity

$ Cash flows from economic activities

$$$ 58. Accounting equation is …

$ Net income = revenue – expenses

$$Assets = Liabilities + Owners’ Equity

$ Assets> Liabilities + Owners’ Equity

$ Assets < Liabilities + Owners’ Equity

$$$ 59. Accounting equation is described as…

$ Net income = revenue – expenses

$$ Assets = Liabilities + Owners’ Equity

$ Assets> Liabilities + Owners’ Equity

$ Assets < Liabilities + Owners’ Equity

$$$ 60. Which of items is impacted by Net income?

$ Cash

$ Accounts payables

$ Capital stock

$$ Retained earnings

$$$ 61. Which of items is reflected by issuing shares?

$ Accounts receivables

$ Accounts payables

$$ Capital stock

$ Retained earnings

$$$ 62. Which of following is not general forms of business operations?

$ Sole Proprietorships

$ Partnership

$$Individual person

$ Corporation

$$$ 63. Proprietorship is a business?

$$ owned by just one individual

$ owned by two or more individuals

$ owned by individuals who normally are not active in the day-to-day operations of that business

$ owned by other companies

$$$ 64. Partnership is a business?

$ owned by just one individual

$$ owned by two or more individuals

$ owned by individuals who normally are not active in the day-to-day operations of that business

$ owned by other companies

$$$ 65. Corporation is a business?

$ owned by just one individual

$ owned by two or more individuals

$$may become an owner of company by purchasing shares of stock on the Stock Exchange

$ owned by other companies

$$$ 66. Which of business iscontribute in the capital stock?

$ Sole Proprietorships

$ Partnership

$ Individual person

$$ Corporation

$$$ 67. Liquidity is?

$ Profit from selling

$$ Ability to pay all bills when due

$ More long-term assets

$ Increase of owners’ equities

$$$ 68. Profitability is?

$ Ability to pay all bills when due

$$ Revenue gained from a business activity exceeds the expenses

$ More long-term assets

$ More cash inflows

$$$ 69. Window dressing is?

$$ when management takes measures to make the company appear as strong as possible in it financial statements

$ when management takes measures to make the company appear as week as possible in it financial statements

$ when management takes measures to make the company appear as week as possible in it managerial statements

$ when management takes measures to make the company appear as strong as possible in it managerial statements

$$$ 70. The account balances for Creative Band, Inc. as of May 31, 2009, are listed below in alphabetical order:

Accounts Payable............................. USD12,000 Equipment..................................... USD18,000

Accounts Receivable........................ USD14,000 Land................................................ USD52,000

Building............................................... USD42,000 Notes Payable............................... USD30,000

Cash................................................... USD8,000 Capital Stock................................. USD92,000

Refer to the above data. In a trial balance prepared on May 31, 2009, the sum of the debit column is:

$ 120,000.

$ 156,000.

$$134,000.

$ Some other amount.

$$$ 71. The account balances for Creative Band, Inc. as of May 31, 2009, are listed below in alphabetical order:

Accounts Payable............................. USD12,000 Equipment..................................... USD18,000

Accounts Receivable........................ USD14,000 Land................................................ USD52,000

Building............................................... USD42,000 Notes Payable............................... USD30,000

Cash................................................... USD8,000 Capital Stock................................. USD92,000

On June 3, Creative Band, Inc collected USD4,000 of its accounts receivable and paidUSD7,000 of its accounts payable.

Refer to the above data. On June 4, the balance in the Cash account is:

$ 8 000.

$ 1 000.

$$ 5 000.

$ Some other amount.

$$$ 72. The account balances for Creative Band, Inc. as of May 31, 2009, are listed below in alphabetical order:

Accounts Payable............................. USD12,000 Equipment..................................... USD18,000

Accounts Receivable........................ USD14,000 Land................................................ USD52,000

Building............................................... USD42,000 Notes Payable............................... USD30,000

Cash................................................... USD8,000 Capital Stock................................. USD92,000

In addition, USD2,000 of additional shares of capital stock are issued for USD5,600.

Refer to the above data. On June 4, the balance in the Capital Stock account is:

$ 86,400.

$$ 97,600.

$ 94,000.

$ Some other amount.

$$$ 73. the bookkeeper for Creative Band, Inc makes this entry:

Equipment 7,400

Cash 4,200

Accounts Payable 3,200

This transaction:

$ Decreases total assets.

$Involves the sale of equipment for USD7,400.

$ Increases total assets USD7,400.

$$ Increases liabilities.

$$$ 74. Purchased auto cleaning supplies from Suppliers for USD750 on account.

General journal is:

$ Debit Cash. Credit auto cleaning supplies

$ Debit auto cleaning supplies. Credit Cash

$$ Debit auto cleaning supplies. Credit Accounts payable

$ Debit Accounts receivables. Credit auto cleaning supplies

$$$ 75. Collected an account receivable of USD525 from a customer.

General journal is:

$$Debit Cash. Credit Accounts receivables

$ Debit Cash. Credit Accounts payable

$ Debit Accounts receivables. Credit Cash

$ Debit Accounts receivables. Credit Accounts payable

$$$ 76. Issued capital stock in exchange for USD5,600 cash.

General journal is:

$$ Debit Cash. Credit capital stock

$ Debit Cash. Debit capital stock

$ Debit Capital stock. Credit Cash

$ Debit Capital stock. Credit exchanges

$$$ 77. Purchased office equipment from Diamond’s Warehouse for USD3,700; paid USD1,700 cash and issued a note payable due in 90 days for the balance.

General journal is:

$ Debit Cash. Credit office equipment and note payable

$ Debit Cash and office equipment. Debit note payable

$$ Debitoffice equipment. Credit Cash and Note payable

$ Debitoffice equipment. Credit Note payable

$$$ 78. Issued to Marvin Tycoon 9,000 shares of capital stock in exchange for his investment of USD45,000 cash

General journal is:

$ Debit Cash. Debit capital stock

$ Debit Capital stock. Credit Cash

$ Debit Capital stock. Credit exchanges

$$ Debit Cash. Credit capital stock

$$$ 79. Borrowed USD30,000 from a bank and signed a note payable due in three months.

General journal is:

$ Debit Cash. Debit capital stock

$ Debit note payable. Credit Cash

$ Debit note payable. Credit capital stock

$$ Debit Cash. Credit Note payable

$$$ 80. Paid USD6,000 of the amount owed for office furniture.

General journal is:

$ Debit Cash. Credit Accounts receivables

$ Debit Cash. Credit Accounts payable

$$ Debit Accounts payable. Credit Cash

$ Debit Accounts receivables. Credit Accounts payable

$$$ 81. Issued an additional 2,000 shares of capital stock to an individual who invests USD10,000 in the business.

General journal is:

$ Debit Cash. Debit capital stock

$ Debit Capital stock. Credit Cash

$ Debit Capital stock. Credit exchanges

$$ Debit Cash. Credit capital stock

$$$ 82. Issued an additional 2,000 shares of capital stock to an individual who invests USD10,000 in the business.

General journal is:

$ Debit Cash. Debit capital stock

$ Debit Capital stock. Credit Cash

$ Debit Capital stock. Credit exchanges

$$ Debit Cash. Credit capital stock

$$$ 83. Issued 60,000 shares of capital stock to the owners of the corporation in exchange for USD600,000 cash.

General journal is:

$ Debit Cash. Debit capital stock

$$ Debit Cash. Credit capital stock

$ Debit Capital stock. Credit Cash

$ Debit Capital stock. Credit exchanges

$$$ 84. Assets and liabilities are increase:

$ Only on the Debit side

$$ Debit and Credit

$ Only on the Credit side

$ Credit and Debit

$$$ 85. Assets and owners ‘equity are increase:

$ Only on the Debit side

$$ Debit and Credit

$ Only on the Credit side

$ Credit and Debit

$$$ 86. liabilities and owners ‘equity are increase:

$ Only on the Debit side

$ Debit and Credit

$$ Only on the Credit side

$ Credit and Debit

$$$ 87. Cash and Accounts payable are increase:

$ Only on the Debit side

$$ Debit and Credit

$ Only on the Credit side

$ Credit and Debit

$$$ 88. Accounts payable and Accounts receivables are increase:

$ Only on the Debit side

$ Debit and Credit

$ Only on the Credit side

$$ Credit and Debit

$$$ 89. Equipment and Accounts receivables are increase:

$$ Only on the Debit side

$ Debit and Credit

$ Only on the Credit side

$ Credit and Debit

$$$ 90. Cash and Capital stock are increase:

$ Only on the Debit side

$$ Debit and Credit

$ Only on the Credit side

$ Credit and Debit

$$$ 91. Cash and Capital stock are decrease:

$ Only on the Debit side

$ Debit and Credit

$ Only on the Credit side

$$ Credit and Debit

$$$ 92. Equipment and Accounts receivables are decrease:

$ Only on the Debit side

$ Debit and Credit

$$ Only on the Credit side

$ Credit and Debit

$$$ 93. Note payable and Capital stock are increase:

$ Only on the Debit side

$ Debit and Credit

$$ Only on the Credit side

$ Credit and Debit

$$$ 94. Revenue and Capital stock are increase:

$ Only on the Debit side

$ Debit and Credit

$$ Only on the Credit side

$ Credit and Debit

$$$ 95. Revenue and Expense are increase:

$ Only on the Debit side

$ Debit and Credit

$ Only on the Credit side

$$ Credit and Debit

$$$ 96. Dividends and Expense are increase:

$$ Only on the Debit side

$ Debit and Credit

$ Only on the Credit side

$ Credit and Debit

$$$ 97. Dividends and Dividend payable are increase:

$ Only on the Debit side

$$ Debit and Credit

$ Only on the Credit side

$ Credit and Debit

$$$ 98. Tax payable and Salaries payable are decrease:

$$ Only on the Debit side

$ Debit and Credit

$ Only on the Credit side

$ Credit and Debit

$$$ 99. Tax payable and retained earnings are decrease:

$$ Only on the Debit side

$ Debit and Credit

$ Only on the Credit side

$ Credit and Debit

$$$ 100. liabilities and owners ‘equity are decrease:

$$ Only on the Debit side

$ Debit and Credit

$ Only on the Credit side

$ Credit and Debit

$$$ 101. T accounts are simplified versions of the:

$$ ledger account

$ accounting system

$ balance sheet

$ journal

$$$ 102. What is Net Income?

$ It is an asset

$$it’s an increase in owners’ equity from profits of the business

$ it’s an increase in liability from profits of the business

$ it’s a liability

$$$ 103. Owners’ equity is comprised of...

$ Payables and capital stock

$$ capital stock and retained earnings

$ cash and receivables

$ revenue and expenses

$$$ 104. Revenue Recognition is in …

$ IAS 11

$$ IAS 18

$ IAS 20

$ IAS 25

$$$ 105. Matching Principle is …

$$ Expenses should be recorded in the period in which they are used up

$ Expenses should be recorded in the next period in which they are used up

$ Expenses should be recorded before period in which they are used up

$ no answers

$$$ 106. the accrual basis of accounting is …

$ recognizing revenue based on cash inflow

$$ recognizing revenue in the accounting records when it is earned and recognizing expenses when the related goods or services

$ expenses are recorded when the cash is paid

$ no answers

$$$ 107. Trial balance shows

$ only balance sheet items

$ only revenue and expense

$$ balance sheet items, revenue, expense and dividend

$ only revenue, expense and dividend

$$$ 108. GAAP is …

$$ generally accepted accounting principles

$ gross accrual accounting principles

$ general auditing accounting principles

$ general academicals accounting principles

$$$ 109. Which international standards are used in Kazakhstan

$ GAAP

$$IFRS

$ ACCA

$ National standards

$$$ 110. If we purchase of the insurance policy for year, what will be in debit side at the beginning time?

$ Expired Insurance

$ Cash

$$ Unexpired Insurance

$ Insurance expense

$$$ 111. Every month Unexpired Insurance converted into the?

$ Revenue

$ Cash

$$ Expense

$ Asset

$$$ 112. Depreciation is?

$$ the systematic and rational allocation of the cost of an asset

$ asset

$ the systematically increase value of asset

$ expenses based in cash

$$$ 113. Depreciation expense is equal to?

$$ the cost of asset less any anticipated salvage value divided estimated useful life

$ revenue minus expense

$ salvage value divided estimated useful life

$ salvage value divided 12 month

$$$ 114. Accumulated Depreciation on Equipment is?

$ an asset

$$ a contra asset

$ expense

$ liability

$$$ 115. JJ’s Lawn Care purchased a truck for USD15,000 on May 1st. The truck has an estimated useful life of five years, or 60 months. Can you calculate depreciation expense for the month of May on the newly acquired truck?

$ 200

$$ 250

$ 300

$ 350

$$$ 116. Unexpired Insurance is …

$$ an asset

$ a contra asset

$ expense

$ liability

$$$ 117. Interest Receivable is …

$$ an asset

$ a contra asset

$ expense

$ liability

$$$ 118. Unearned Rent Revenue is …

$ an asset

$ a contra asset

$ expense

$$ liability

$$$ 119. Joseph Jewelers purchased display shelves on March 1 forUSD36,000. If this asset has an estimated useful life of five years, what is the book value of the display shelves on April 30?

$ 600.

$$34,800.

$ 33,600.

$ 900.

$$$ 120. Joseph Jewelers purchased display shelves on March 1 for USD36,000. If this asset has an estimated useful life of five years, what is the depreciation expense per month?

$$ 600.

$ 34,800.

$ 33,600.

$ 900.

$$$ 121. The adjusting entry to recognize an unrecorded expense is necessary:?

$ When an expense is paid in advance.

$$ When an expense has been neither paid nor recorded as of the end of the accounting period.

$ Whenever an expense remains unpaid at the end of an accounting period

$ Because the accountant is likely to forget to pay these unrecorded expenses.

$$$ 122. When expenses are more than revenues, the result is …

$$ net loss

$ cash inflows

$ net income

$ assets

$$$ 123. Which of the following activities is in the statement of cash flows?

$ economic activities

$ political activities

$$ investing activities

$ company’s activities

$$$ 124. Which of the following activities is in the statement of cash flows?

$ economic activities

$ political activities

$$ financing activities

$ company’s activities

$$$ 125. Which if following is include an asset and liability?

$$ balance sheet

$ income statement

$ statement of capital

$ statement of cash flows shows

$$$ 126. Which if following is include owner’s equity and liability?

$ income statement

$ statement of capital

$ statement of cash flows shows

$$ balance sheet

$$$ 127. Which if following is include assets, owner’s equity and liability?

$ income statement

$ statement of capital

$$ balance sheet

$ statement of cash flows shows

$$$ 128. Which if following is include expense and revenue?

$ balance sheet

$ statement of retained earnings

$ statement of cash flows shows

$$ income statement

$$$ 129. Which if following is not included in balance sheet?

$ asset

$ liability

$ owners’ equity

$$ revenue

$$$ 130. Which if following items is not included in balance sheet?

$$ expenses

$ capital stock

$ buildings

$ cash

$$$ 131. Which if following items is not included in balance sheet?

$ land

$ buildings

$ payable

$$ dividends

$$$ 132. Which if following items is not included in balance sheet?

$ equipment

$ land

$$ revenue

$ note payable

$$$ 133. Which if following items is not included in balance sheet?

$ cash

$$ net income

$ land

$ note payable

$$$ 134. Cash and accounts receivables is …

$ Revenue

$ Expense

$ Liability

$$ Asset

$$$ 135. Land and accounts receivables is …

$$ Asset

$ Revenue

$ Expense

$ Liability

$$$ 136. Equipment, building and land is …

$ Revenue

$ Expense

$ Liability

$$ Asset

$$$ 137. Note and accounts payables is …

$ Revenue

$ Expense

$$ Liability

$ Asset

$$$ 138. Tax and accounts payables is …

$ Revenue

$ Expense

$$ Liability

$ Asset

$$$ 139. Tax and salaries payables is …

$$ Liability

$ Revenue

$ Expense

$ Asset

$$$ 140. Which of the following statement is also referred to as balance sheet?

$ income statement

$$ statement of position

$ statement of retained earnings

$ statement of cash flows shows

$$$ 141. Purchasing building on account is?

$$Debit buildings

$ Credit buildings

$ Debit account payable

$ no effect to balance sheet

$$$ 142. Purchasing building for cash?

$ increase total liability

$ decrease total assets

$ increase total assets

$$ no effect for total assets

$$$ 143. Purchasing land for cash?

$ increase total liability

$ decrease total assets

$ increase total assets

$$ no effect for total assets

$$$ 144. Collect cash from customers for previous month?

$$ no effect for total assets

$ increase total liability

$ decrease total assets

$ increase total assets

$$$ 145. Paid cash for credits which was taken in previous month?

$$ no effect for total assets

$ increase total liability

$ decrease total assets and decrease lability

$ increase total assets

$$$ 146. Total Owner’s equities formula is …

$ Total assets + Total Liabilities

$ Revenue - Expense

$$ Total assets - Total Liabilities

$ Total Owner’s equity - Total Liabilities

$$$ 147. Total Liabilities formula is …

$ Total Owner’s equities

$ Revenue - Expense

$ Total Owner’s equity - Total Liabilities

$$ Total assets - Total Owner’s equities

$$$ 148. Total asset formula is …

$ Total Owner’s equities

$ Revenue - Expense

$$ Total Owner’s equity + Total Liabilities

$ Total assets - Total Owner’s equities

$$$ 149. Receive Cash for our service is in …

$$ Cash flows from operating activities

$ Cash flows from investing activities

$ Cash flows from financing activity

$ Cash flows from economic activities

$$$ 150. Receive Cash for our product is in …

$$ Cash flows from operating activities

$ Cash flows from investing activities

$ Cash flows from financing activity

$ Cash flows from economic activities

$$$ 151. Publicly owned companies should … to their stockholders and to the public

$$ publish annual reports

$ publish monthly reports

$ report everyday

$ all of them

$$$ 152. Companies with shares listed on a stock exchange should … to their stockholders and to the public

$$ publish annual reports

$ publish monthly reports

$ everyday report

$ all of them

$$$ 153. Publicly owned companies (big corporations) should not … to their stockholders and to the public

$ publish annual reports

$ publish quarterly reports

$$ report everyday

$ all of them

$$$ 154. Publicly owned companies before the annual report is issued, the financial statements must be …

$$ audit by a firm of certified public accounts (CPAs) or ACCA.

$ audit internal audit

$ audit managers

$ all of them

$$$ 155. Companies with shares listed on a stock exchange before the annual report is issued, the financial statements must be …

$$ audit by a firm of certified ACCA.

$ audit internal audit

$ audit managers

$ all of them

$$$ 156. Net income also appears on …

$ Balance sheet

$ Cash flow

$$ Statement of Retained Earnings

$ all of them

$$$ 157. Net income is not appeared on …

$$ Balance sheet

$ Income statement

$ Statement of Retained Earnings

$ all of them

$$$ 158. Net income is not appeared on …

$$ Cash flows

$ Income statement

$ Statement of Retained Earnings

$ all of them

$$$ 159. Net income increases …

$$ retained earnings

$ asset

$ cash

$ all of them

$$$ 160. Dividends and net losses decrease …

$ asset

$$ retained earnings

$ cash

$ all of them

$$$ 161. Accumulated Depreciation is …

$ reduce income

$$ reduce the balance in the related asset accounts

$ increase the balance in the related asset accounts

$ all of them

$$$ 162. Accumulated Depreciation of Tools and Equipment is …

$ reduce income

$$ contra accounts

$ expense

$ all of them

$$$ 163. Accumulated Depreciation of Truck is …

$ reduce income

$ expense

$$ contra accounts

$ none of them

$$$ 164. Account that reduce the balance in the related asset accounts

$$Accumulated Depreciation

$ Revenue

$ Expense

$ none of them

$$$ 165. Accounts (items) that decrease the balance in the related asset accounts

$ Revenue

$ Expense

$$ Accumulated Depreciation

$ none of them

$$$ 166. Accounts (items) that increase the balance in the related asset accounts

$ Revenue

$ Expense

$ Accumulated Depreciation

$$ none of them

$$$ 167. retained earnings not appears on the...

$ Balance sheet

$$ Income statement

$ Statement of Retained Earnings

$ none of them

$$$ 168. retained earnings appears on the...

$ Cash flows

$ Income statement

$$ Statement of Retained Earnings

$ none of them

$$$ 169. retained earnings appears on the...

$$ Balance sheet

$ Income statement

$ Cash flows

$ none of them

$$$ 170. The closing of a company’s books is a four step process. Which step is not appropriated?

$ Close Revenue accounts to Income Summary

$ Close Expense accounts to Income Summary

$$ Close assets account to Retained Earnings

$ Close Dividends to Retained Earnings

$$$ 171. The closing of a company’s books is a four step process. Which step is not appropriated?

$$ Close payable account to Retained Earnings

$ Close Revenue accounts to Income Summary

$ Close Expense accounts to Income Summary

$ Close Income Summary account to Retained Earnings.

$$$ 172. The closing of a company’s books is a four step process. Which step is not appropriated?

$ Close Dividends to Retained Earnings.

$ Close Expense accounts to Income Summary

$ Close Income Summary account to Retained Earnings.

$$ Close capital stock account to Retained Earnings

$$$ 173. The closing of a company’s books is a four step process. Which step has mistaken?

$ Close Dividends to Retained Earnings.

$ Close Expense accounts to Income Summary

$ Close Income Summary account to Retained Earnings.

$$ Close assets account to Retained Earnings

$$$ 174. Closing Entries for Revenue Accounts.

$$ credited to Income Summary

$ debited to Income Summary

$ credited to Retained Earnings

$ debited to Retained Earnings

$$$ 175. Closing Entries for Sales Revenue.

$$ credited to Income Summary

$ debited to Income Summary

$ credited to Retained Earnings

$ debited to Retained Earnings

$$$ 176. Closing Entries for Expense Accounts.

$ credited to Income Summary

$$ debited to Income Summary

$ credited to Retained Earnings

$ debited to Retained Earnings

$$$ 177. Closing Entries for Expense.

$ credited to Income Summary

$$ debited to Income Summary

$ credited to Retained Earnings

$ debited to Retained Earnings

$$$ 178. Income Summary has a credit balance of USD400. To close this account, Income Summary must be debited for USD400 and a credit must be made to …. for that amount.

$$ Retained Earnings

$ Income Summary

$ Dividend

$ none of them

$$$ 179. Income Summary has a credit balance of USD6000. To close this account, Income Summary must be debited for USD6000 and a credit must be made to …. for that amount.

$ Income Summary

$ Revenue

$$ Retained Earnings

$ none of them

$$$ 180. The Dividends account has a debit balance. To close this account a credit is made to the Dividends account and debit to...

$ Income Summary

$ Revenue

$$ Retained Earnings

$ none of them

$$$ 181. The Dividends account has a debit balance. To close this account...

$$ Credit Dividends and Debit Retained Earnings

$ Debit Dividends and Credit Retained Earnings

$ Credit Dividends and Debit income summary

$ none of them

$$$ 182. Closing entry transfers the amount of dividends to the...

$ Income Summary

$$ Retained Earnings

$ Revenue

$ none of them

$$$ 183. Closing entry transfers the amount of Income Summary to the...

$$ Retained Earnings

$ Income Summary

$ Revenue

$ none of them

$$$ 184. Closing entry transfers the amount of Expense to the...

$ Retained Earnings

$$ Income Summary

$ Revenue

$ none of them

$$$ 185. Closing entry transfers the amount of Revenue to the...

$ Retained Earnings

$ Revenue

$$ Income Summary

$ none of them

$$$ 186. After posting the closing entry, the Dividends account has a

$ credit balance

$ debit balance

$$ zero balance

$ none of them

$$$ 187. After posting the closing entry, the Dividends account has a … balance

$ credit

$ debit

$ equal

$$ zero

$$$ 188. After preparing all the closing entries... is prepared.

$$ after-closingtrial balance

$ before-closingtrial balance

$ Balance sheet

$ income statement

$$$ 189. After preparing all the closing entries... is created.

$ before-closingtrial balance

$$ after-closingtrial balance

$ Balance sheet

$ income statement

$$$ 190. Measures of profitability help users of financial information assess …

$$ current profitability of a company

$ current assets of a company

$ Balance sheet

$ Cash flow

$$$ 191. Measures of profitability help users of financial information evaluate …

$$ future potential for increased profits

$ current assets of a company

$ Balance sheet

$ Cash flow

$$$ 192. Measures of profitability help users of financial information estimate …

$ current assets of a company

$$ future potential for increased profits

$ Balance sheet

$ Cash flow

$$$ 193. Profitability measures help answer questions like …

$$ “Did the business earn a profit or loss in the current period?”

$ “Did the business have big assets?”

$ “Did the business earn cash in the current period?”

$ “Did the business lead in the market?”

$$$ 194. Profitability measures help answer questions like …

$ “Did the business have big assets?”

$$ “What is the business’s future potential for a profit?”

$ “Did the business earn cash in the current period?”

$ “Did the business lead in the market?”

$$$ 195. Net Income Percentage

$$ net income divided by total revenue

$ net income plus total revenue

$ net income minus total revenue

$ none of them

$$$ 196. Net Income Percentage is calculated

$ net income plus total revenue

$$ net income divided by total revenue

$ net income minus total revenue

$ none of them

$$$ 197. Formula of Net Income Percentage is

$ net income plus total revenue

$ net income minus total revenue

$$ net income divided by total revenue

$ none of them

$$$ 198. Formula of Return on Equity is

$ net income plus Avg. Stockholders’ Equity

$ net income minus Avg. Stockholders’ Equity

$$ net income divided by Avg. Stockholders’ Equity

$ none of them

$$$ 199. Return on Equity is calculated

$$ net income divided by Avg. Stockholders’ Equity

$ net income plus Avg. Stockholders’ Equity

$ net income minus Avg. Stockholders’ Equity

$ none of them

$$$ 200. Return on Equity is

$ net income plus Avg. Stockholders’ Equity

$$ net income divided by Avg. Stockholders’ Equity

$ net income minus Avg. Stockholders’ Equity

$ none of them

$$$ 201. Avg. Stockholders’Equity is calculated as

$$ the beginning balance in stockholders’ equity plus the ending balance, then divide by two

$ the beginning balance in stockholders’ equity plus the ending balance

$ the beginning balance in stockholders’ equity

$ the ending balance in stockholders’ equity

$$$ 202. The formula of Avg. Stockholders’Equityis …

$ the beginning balance in stockholders’ equity plus the ending balance

$ the beginning balance in stockholders’ equity

$ the ending balance in stockholders’ equity

$$ the beginning balance in stockholders’ equity plus the ending balance, then divide by two

$$$ 203. Measures of liquidity help users assess …

$$ the ability of the company to pay its debts when they fall due

$ future potential for increased profits

$ Cash flow

$ none of them

$$$ 204. Liquidity help users to know …

$ future potential for increased profits

$$ the ability of the company to pay its debts when they fall due

$ Cash flow

$ none of them

$$$ 205. Liquidity measures help answer a question like

$$ “Does the business have assets available to pay debts as they become due?”

$ “What is the business’s future potential for a profit?”

$ “Did the business earn a profit or loss in the current period?”

$ none of them

$$$ 206. Evaluating Liquidity includes …

$ net income percent

$$ working capital and current ratio

$ return on equity

$ return on invetment

$$$ 207. Which of following is help to Evaluate Liquidity?

$ net income percent

$ return on equity

$ return on invetment

$$ working capital and current ratio

$$$ 208. Which of following is made to Evaluate Liquidity of the company?

$ net income percent

$ return on equity

$ return on investment

$$ current ratio

$$$ 209. Which of following is not to Evaluate Liquidity of the company?

$ working capital

$$ return on equity

$ working capital and current ratio

$ current ratio

$$$ 210. Working capital is …

$$ current assets less current liabilities

$ current assets add current liabilities

$ current assets divided current liabilities

$ current assets multiply current liabilities

$$$ 211. How to calculate Working capital?

$$ current assets - current liabilities

$ current assets + current liabilities

$ current assets / current liabilities

$ current assets * current liabilities

$$$ 212. How to find Working capital is …

$ current assets + current liabilities

$$ current assets - current liabilities

$ current assets / current liabilities

$ current assets * current liabilities

$$$ 213. How to find the current ratio?

$ current assets + current liabilities

$ current assets - current liabilities

$$ current assets / current liabilities

$ current assets * current liabilities

$$$ 214. How to calculate the current ratio?

$ current assets less current liabilities

$ current assets add current liabilities

$ current assets multiply current liabilities

$$ current assets divided current liabilities

$$$ 215. The current ratio is

$$ current assets divided current liabilities

$ current assets less current liabilities

$ current assets add current liabilities

$ current assets multiply current liabilities

$$$ 216. Which of the following is not accounting information?

$$ Operational

$ Financial

$ Managerial

$ Tax

$$$ 217. Which of the following is not in list of accounting information?

$ Financial

$$ Operational

$ Managerial

$ Tax

$$$ 218. Which of the following is in list of accounting information?

$$ Financial

$ Operational

$ Investment

$ Political

$$$ 219. Which of the following is accounting information?

$ Operational

$ Investment

$ Political

$$ Managerial

$$$ 220. Which of the following users is external users?

$ CFO

$ General director

$$ Investors

$ Manager

$$$ 221. Which of the following users is external users?

$ CFO

$ General director

$ Manager

$$ Customers

$$$ 222. Which of the following users is not external users?

$$ CFO

$ Labor union

$ Creditors

$ Customers

$$$ 223. Which of the following users is not external users?

$$ General director

$ Labor union

$ Creditors

$ Customers

$$$ 224. Which of the following users is not external users?

$ Labor union

$ Banks

$ Customers

$$ Vice president of company

$$$ 225. Which of the following users is not internal users?

$ CFO

$ General director

$ Manager

$$ Customers

$$$ 226. Which of the following users is not internal users?

$ CFO

$ General director

$ Manager

$$ Labor union

$$$ 227. Which of the following users is not internal users?

$$ Shareholder

$ CFO

$ General director

$ Manager

$$$ 228. Which of the following is not financial statement?

$ income statement

$ balance sheet

$$ environmental report

$ statement of cash flows shows

$$$ 229. Which of the following is financial statement?

$$ income statement

$ Tax report

$ environmental report

$ operational report

$$$ 230. Which of the following is financial statement?

$ Tax report

$ environmental report

$ operational report

$$ Balance sheet

$$$ 231. The balance sheet of MANHATTAN FAMILY DENTISTRY includes the following items:

Cash 20 000 USD

Accounts receivable 31,000 USD

Accounts payable 45,000 USD

Capital stock 456,000 USD

Building 225,000 USD

Land 190,000 USD

Equipment 35,000 USD

Please find Total assets:

$ 40 000 USD

$ 456 000 USD

$$ 501 000 USD

$ 400 000

$$$ 232. Which of the following activities is not in the statement of cash flows?

$ operating activities

$$ political activities

$ investing activities

$ financing activities

$$$ 233. Which of the following activities is not in the statement of cash flows?

$ operating activities

$$ tax activities

$ investing activities

$ financing activities

$$$ 234. Which of the following activities is in the statement of cash flows?

$ political activities

$ tax activities

$$ investing activities

$ economical activities

$$$ 235. Which of the following activities is in the statement of cash flows?

$ political activities

$ tax activities

$$ Financing activities

$ economical activities

$$$ 236. Which of the following activities is in the statement of cash flows?

$ political activities

$ tax activities

$ economical activities

$$ operating activities

$$$ 237. Trial balance includes …

$ only balance sheet items

$ only revenue and expense

$$ balance sheet items, revenue, expense and dividend

$ only revenue, expense and dividend

$$$ 238. Trial balance is not including …

$ assets

$ liabilities

$ revenue

$$ ratios

$$$ 239. Dividend is shown in …

$$ Trial balance

$ Balance sheet

$ Income statement

$ Cash flow

$$$ 240. Dividend appearing in …

$ Balance sheet

$ Income statement

$ Cash flow

$$ statement of retained earnings

$$$ 241. Full Operating Cycle of a Merchandising Company

$ collect cash from customers, purchase inventory, sell the inventory

$ sell the inventory

$ purchase inventory

$$ purchase inventory, sell the inventory, and finally collect cash from customers

$$$ 242. Full Operating Cycle of a Merchandising of a business

$$ purchase inventory, sell the inventory, and finally collect cash from customers

$ collect cash from customers, purchase inventory, sell the inventory

$ sell the inventory

$ purchase inventory

$$$ 243. The income statements of merchandising companies have an additional expense itemcalled

$ expense

$$ Cost of Goods Sold

$ cash

$ profit

$$$ 244. Merchandising companies have an additional expense itemcalled...

$$ Cost of Goods Sold

$ expense

$ cash

$ profit

$$$ 245. Merchandising companies have expense before gross profit...

$ expense

$ cash

$ profit

$$ Cost of Goods Sold

$$$ 246. Gross Profit is...

$$ Sales minus Cost of Goods Sold

$ Sales minus expenses

$ Net income minus Cost of Goods Sold

$ Net income plus Cost of Goods Sold

$$$ 247. Gross Profit calculated as …

$$ Net Sales - COGS

$ Sales - expenses

$ Net income - COGS

$ Net income + COGS

$$$ 248. Gross Profit equals to …

$ Sales - expenses

$ Net income - COGS

$ Net income + COGS

$$ Net Sales - COGS

$$$ 249. Difference between gross profit and net profit is

$$ expenses

$ revenue

$ assets

$ COGS

$$$ 250. gross profit minus net profit is

$ revenue

$ assets

$ COGS

$$ expenses

$$$ 251. gross profit minus expenses is equal to

$ revenue

$ assets

$ COGS

$$ net profit

$$$ 252. gross profit – all expenses is called

$ revenue

$$ net profit

$ assets

$ COGS

$$$ 253. Revenue (net sales) – COGS – all expenses is equal to …

$ revenue

$ assets

$$ net profit

$ COGS

$$$ 254. Net profit plus all expenses is equal to …

$ liabilities

$ assets

$$ gross profit

$ COGS

$$$ 255. Gross profit plus COGS is equal to …

$ liabilities

$ assets

$$ Net Sales (revenue)

$ COGS

$$$ 256. In order to ensure the accuracy of their perpetual records, most businesses take a

$$ physical count of inventory

$ count cash

$ check liabilities

$ count expenses

$$$ 257. due to spoilage, breakage, damage, obsolescence, and theft most businesses take a

$ count cash

$$ physical count of inventory

$ check liabilities

$ count expenses

$$$ 258. The physical count does not match the records due to

$$ spoilage, breakage, damage, obsolescence, and theft

$ accountant not certified ACCA

$ professional staff

$ cash is less than net income

$$$ 259. When a physical count identifies inventory shrinkage, an entry is made to

$$ debit Cost of Goods Sold and credit Inventory

$ doing nothing

$ credit Cost of Goods Sold and debit Inventory

$ none of them

$$$ 260. When a physical count identifies inventory loss, an entry is made to

$$ debit Cost of Goods Sold and credit Inventory

$ doing nothing

$ credit Cost of Goods Sold and debit Inventory

$ none of them

$$$ 261. If a physical count identifies inventory damage, an entry is made to

$ decreases Cost of Goods Sold and increase the Inventory account

$ no effect

$$ increases Cost of Goods Sold and decreases the Inventory account

$ none of them

$$$ 262. Sales Returns and Allowances is

$ an asset

$$ a contra revenue

$ expense

$ liability

$$$ 263. Sales Returns is

$ an asset

$ expense

$ liability

$$ a contra revenue

$$$ 264. Allowances is …

$ an asset

$ expense

$ liability

$$ a contra revenue

$$$ 265. Sales Discounts is …

$ an asset

$ expense

$$ a contra revenue

$ liability

$$$ 266. When sellers incur transportation costs, they are …

$$ debited to an operating expense

$ credited to an operating expense

$ credited liability

$ contra revenue

$$$ 267. When sellers incur transportation costs, they are debited to an operating expense account called …

$$ Delivery Expense

$ COGS

$ Maintains cost

$ Discount expense

$$$ 268. gross profit margin…

$$ gross profit divided by net sales

$ gross profit divided by COGS

$ gross profit plus COGS

$ gross profit less net sales

$$$ 269. gross profit margin calculated as…

$ gross profit / COGS

$ gross profit + COGS

$$ gross profit / net sales

$ gross profit - net sales

$$$ 270. Formula of gross profit margin is…

$ gross profit / COGS

$ gross profit + COGS

$ gross profit - net sales

$$ gross profit / net sales

$$$ 271. Which accounts are closed to Income Summary?

$ All accounts.

$$Revenue and expenses.

$ Revenue, expenses, and dividends

$ All accounts that are in balance sheet

$$$ 272. Interest =?

$ Interest Rate × Time

$ Principal × Interest Rate

$$ Principal × Interest Rate × Time

$ none of them

$$$ 273. Interest is calculated as …

$ Interest Rate × Time

$ Principal × Interest Rate

$$ Principal × Interest Rate × Time

$ none of them

$$$ 274. Interest is calculated as …

$$ Principal times the Interest Rate times the Time the note was outstanding.

$ the Interest Rate times the Time

$ Principal times the Interest Rate

$ none of them

$$$ 275. On November 1, Hall Company loans USD10,000 to Porter Company on 90-day note earning 12 percent interest. On December 31^st, Hall Company needs an adjusting entry to record the interest revenue on the Porter Company note.

$ 100

$$ 200

$ 1000

$ none of them

$$$ 276. On November 1, Hall Company loans USD10,000 to Porter Company on 90-day note earning 12 percent interest. On December 31^st, Hall Company needs an adjusting entry to record the interest revenue on the Porter Company note.

$$ 200

$ 300

$ 500

$ 1000

$$$ 277. On October 1, Hall Company loans USD10,000 to Porter Company on 90-day note earning 12 percent interest. On December 31^st, Hall Company needs an adjusting entry to record the interest revenue on the Porter Company note.

$ 200

$$ 300

$ 500

$ 1000

$$$ 278. Accounts Receivable Turnover ratio …

$$ Net Sales divided by Average Accounts Receivable

$ Net Sales less Average Accounts Receivable

$ Net Sales times Average Accounts Receivable

$ Net Sales plus Average Accounts Receivable

$$$ 279. Accounts Receivable Turnover ratio …

$$ Net Sales divided by Average Accounts Receivable

$ Net Sales less Average Accounts Receivable