财务会计相关复习题(英文版)
财务英语试题及答案
财务英语试题及答案一、选择题（每题2分，共20分）1. What is the term for the process of recording, summarizing, and reporting financial transactions?A. BudgetingB. AccountingC. AuditingD. Forecasting答案：B2. Which of the following is a financial statement that showsa company's financial position at a specific point in time?A. Income StatementB. Balance SheetC. Cash Flow StatementD. Statement of Retained Earnings答案：B3. The difference between the purchase price and the fair market value of an asset is known as:A. DepreciationB. AmortizationC. GoodwillD. Capital Gains答案：C4. What is the term for the systematic allocation of the cost of a tangible asset over its useful life?A. DepreciationB. AmortizationC. AccrualD. Provision答案：A5. Which of the following is not a type of revenue recognition?A. Cash basisB. Accrual basisC. Installment methodD. All of the above答案：D6. The process of estimating the cost of completing a project is known as:A. BudgetingB. Cost estimationC. Project managementD. Cost accounting答案：B7. Which of the following is a non-current liability?A. Accounts payableB. Wages payableC. Long-term debtD. Income tax payable答案：C8. The term used to describe the process of adjusting the accounts at the end of an accounting period is:A. Closing the booksB. JournalizingC. PostingD. Adjusting entries答案：D9. What is the term for the financial statement that shows the changes in equity of a company over a period of time?A. Balance SheetB. Income StatementC. Statement of Changes in EquityD. Cash Flow Statement答案：C10. The process of verifying the accuracy of financial records is known as:A. BudgetingB. AuditingC. ForecastingD. Valuation答案：B二、填空题（每空1分，共10分）1. The __________ is the process of determining the value of an asset or liability.答案：valuation2. A __________ is a type of financial instrument that represents a creditor's claim on a company's assets.答案：bond3. The __________ is the difference between the cost of an asset and its depreciation.答案：book value4. __________ is the process of converting non-cash items into cash equivalents.答案：Liquidation5. A __________ is a financial statement that provides information about a company's cash inflows and outflows during a specific period.答案：Cash Flow Statement6. The __________ is the process of estimating the useful life of an asset.答案：depreciation schedule7. __________ is the practice of recording revenues and expenses when they are earned or incurred, not when cash is received or paid.答案：Accrual accounting8. __________ is the process of recording transactions in the order they are received.答案：Journalizing9. __________ is the practice of matching expenses with the revenues they helped to generate.答案：Matching principle10. A __________ is a document that provides evidence of a transaction.答案：voucher三、简答题（每题5分，共20分）1. What are the main components of a balance sheet?答案：The main components of a balance sheet are assets, liabilities, and equity.2. Explain the concept of "double-entry bookkeeping."答案：Double-entry bookkeeping is a system of recording financial transactions in which every entry to an account requires a corresponding and opposite entry to another account, ensuring that the total of debits equals the total of credits.3. What is the purpose of an income statement?答案：The purpose of an income statement is to summarize a company's revenues, expenses, and profits or losses over a specific period of time.4. Describe the role of a financial controller in anorganization.答案：A financial controller is responsible for overseeing the financial operations of an organization, including budgeting, financial reporting, and ensuring compliance with financial regulations and policies.四、论述题（每题15分，共30分）1. Discuss the importance of financial planning in business management.答案：Financial planning is crucial in business management as it helps in setting financial goals。
英语财务笔试题库及答案
英语财务笔试题库及答案1. What is the difference between a balance sheet and an income statement?Answer: A balance sheet is a snapshot of a company's financial condition at a specific point in time, showing assets, liabilities, and equity. An income statement, on the other hand, reports a company's financial performance over a period of time, including revenues, expenses, and net income.2. Define the term 'Depreciation'.Answer: Depreciation is the systematic allocation of the cost of a tangible asset over its useful life to reflect the consumption of the asset.3. Explain the concept of 'Accrual Accounting'.Answer: Accrual accounting is a method of accounting where revenues and expenses are recorded when they are earned or incurred, not when cash is received or paid.4. What is 'Capital Budgeting' and why is it important?Answer: Capital budgeting is the process of evaluating investment opportunities to determine whether they are financially viable and beneficial for a company. It is important as it helps in making long-term financial decisions.5. How do you calculate 'Net Present Value' (NPV)?Answer: Net Present Value (NPV) is calculated bysubtracting the present value of cash outflows (includinginitial investment) from the present value of cash inflows over a period of time, using a discount rate.6. What is 'Financial Leverage' and how does it affect a company?Answer: Financial leverage refers to the use of borrowed funds to increase the return on equity. It affects a company by increasing the risk and potential return on investment.7. Describe the 'Time Value of Money'.Answer: The time value of money is the concept that a sum of money is worth more now than the same sum in the future due to its potential earning capacity.8. What is 'Earnings Per Share' (EPS)?Answer: Earnings Per Share (EPS) is a financial metric calculated as the company's net income divided by the outstanding shares of its common stock, indicating the profit allocated to each share.9. Explain the 'Cash Conversion Cycle'.Answer: The cash conversion cycle is the length of time it takes for a company to convert its investment in inventory and receivables into cash.10. What is 'Break-Even Analysis' and how is it used?Answer: Break-even analysis is a method used to determine the number of units a company must sell to cover its costs and make a profit. It is used to evaluate the financial viability of a project or business.11. Define 'Working Capital'.Answer: Working capital is the difference between a company's current assets and current liabilities, representing the funds available for day-to-day operations.12. What is 'Liquidity Ratio' and how is it calculated?Answer: Liquidity ratio is a measure of a company'sability to pay short-term obligations. It is calculated by dividing current assets by current liabilities.13. Explain 'Return on Investment' (ROI).Answer: Return on Investment (ROI) is a financial metric that measures the profitability of an investment. It is calculated by dividing the net profit from the investment by the initial cost of the investment.14. What is 'Inflation' and how does it affect financial statements?Answer: Inflation is the rate at which the general level of prices for goods and services is rising, and subsequently, purchasing power is falling. It affects financial statements by reducing the real value of assets and increasing the cost of goods and services.15. Define 'Audit' in the context of finance.Answer: An audit is a systematic review and examination of a company's financial records, typically performed by an independent third party, to ensure accuracy, compliance with regulations, and to detect fraud.。
财务会计英文影印版第十版课后练习题含答案
Financial and Managerial Accounting English Version Photocopy Tenth Edition Exercise Questions withAnswersIntroductionThe Financial and Managerial Accounting English Version Photocopy Tenth Edition Exercise Questions with Answers is a comprehensive guide for accounting students to practice and sharpen their skills infinancial and managerial accounting. This guide includes a wide range of exercise questions with detled answers to help students better understand complex accounting concepts. The guide is designed to be an essential study tool for accounting students and professionals who are preparing for certification exams or looking to improve their accounting skills.FeaturesThe guide contns the following features:prehensive coverage of financial and managerialaccounting topics.2.A wide range of exercise questions with detled answers.3.Clear and concise explanations of complex accountingconcepts.4.Easy-to-use format.5.All questions are organized by chapter and topic for easyreference.ContentsThe guide includes the following chapters:1.Accounting in Action2.The Recording Process3.Adjusting the Accountspleting the Accounting Cycle5.Accounting for Merchandising Operations6.Inventories7.Fraud, Internal Control, and Cash8.Accounting for Receivables9.Plant Assets, Natural Resources, and Intangible Assets10.Liabilities11.Corporations: Organization, Stock Transactions, andDividends12.Long-Term Liabilities: Bonds and Notes13.Investments and Fr Value Accounting14.Statement of Cash Flows15.Financial Statement Analysis16.Managerial Accounting Concepts and Principles17.Job Order Costing18.Process Costing19.Cost Behavior and Cost-Volume-Profit Analysis20.Budgeting21.Performance Evaluation Using Variances from StandardCosts22.Performance Evaluation for Decentralized Operations23.Differential Analysis and Product PricingEach chapter includes a series of exercise questions with answers.How to Use the GuideThe guide is designed to be an essential study tool for accounting students and professionals who are preparing for certification exams or looking to improve their accounting skills. Students can use the guide to practice and sharpen their accounting skills. The guide can be used in conjunction with textbooks, lectures, and other study materials. Students are encouraged to work through e ach chapter’s exercises in order, starting with the easier exercises and progressing to the more difficult exercises.ConclusionThe Financial and Managerial Accounting English Version Photocopy Tenth Edition Exercise Questions with Answers is a comprehensive guide for accounting students to practice and sharpen their skills infinancial and managerial accounting. This guide includes a wide range of exercise questions with detled answers to help students better understand complex accounting concepts. The guide is an essential study tool for accounting students and professionals who are preparing for certification exams or looking to improve their accounting skills.。
中级财务会计习题(英文)
Chapter 1 A. An example of a business stakeholder is the federal government.B. A corporation is a business that is legally separate and distinct from its owners.C. Accounting is a service that provides many different users with financial information to make economic decisions.D. Small ethical lapses are harmless in and of themselves.E. Managerial accounting is primarily concerned with the recording and reporting of economic data and activities of an entity for use by owners, creditors, governmental agencies, and the public.F. The unit of measurement concept requires that economic data be recorded in a common unit of measurement.G. If a building is appraised for $90,000, offered for sale at $95,000, and the buyer pays $85,000 cash for it, the buyer would record the building at $90,000.H. The owner’s rights to the assets rank ahead of the creditors’ rights to the assets.I. Business transactions are economic events that directly or indirectly change an entity’s financial condition or results f rom operations.J. If net income for a proprietorship was $25,000, the owner withdrew $10,000 in cash and the owner invested $5,000 in cash, the capital of the owner increased by $20,000. K. The owner is only allowed to withdraw cash from the business.L. Receiving a bill or otherwise being notified that an amount is owed is amount is paid.M. The principal financial statements of a proprietorship are the income statement, statement of owner’s equity, and the balance sheet.N. An income statement is a summary of the revenues and expenses of a business as of a specific date.O. A low ratio of liabilities to owner’s equity indicates that a business is near bankruptcy. 1. Profit is the difference betweena. assets and liabilitiesb. the incoming cash and outgoing cashc. the assets purchased with cash contributed by the owner and the cash spent to operate the businessd. the assets received for goods and services and the amounts used to provide the goods and services2. Which of the items below is not a business organization form?a. entrepreneurshipb. proprietorshipc. partnershipd. corporation3. Which of the following is not a step in providing accounting information to stakeholders? a. design the accounting information systemb. prepare accounting surveysc. identify stakeholdersd. record economic data4. For accounting purposes, the business entity should be considered separate from its owners if the entity isa. a corporationb. a proprietorshipc. a partnershipd. all of the above5. Which of the following is not a business transaction?a. make a sales offerb. sell goods for cashc. receive cash for services to be rendered laterd. pay for supplies6. The Reynolds Company estimated that the value of its land had increased from $10,000 to $16,000 and therefore wrote up the land account to $16,000. Which accounting concept(s) was (were) violated?a. cost conceptb. objectivity conceptc. all of the aboved. none of the above7. Goods purchased on account for future use in the business, such as supplies, are called a. prepaid liabilities b. revenuesc. prepaid expensesd. liabilities8. All of the following are financial statement(s) of a proprietorship except thea. statement of retained ear ningsb. statement of owner’s equityc. income statementd. statement of cash flowsChapter 2 A. A chart of accounts is a listing of accounts that make up the journal.B. Drawings are an example of an expense.C. To determine the balance in an account, always subtract credits from debits.D. The double-entry accounting system records each transaction twice.E. The increase side of all accounts is the normal balance.F. The journal is the book of original entry.G. Journalizing transactions using the double-entry bookkeeping system will eliminate fraud. H. The process of transferring the data from the journal to the ledger accounts is posting. I. The post reference notation used in the journal is the page number.J. When a business receives a bill from the utility company, no entry should be made until the invoice is paid.K. A proof of the equality of debits and credits in the ledger at the end of an accounting period is called a balance sheet.L. Even when a trial balance is in balance, there may be errors in the individual accounts. M. Posting a part of a transaction to the wrong account will cause the trial balance totals to be unequal.N. Horizontal analysis is used to compare the financial statements of the same company for different periods. 1. A group of related accounts that comprise a complete unit is called aa. Journalb. liability2.3.4.5.6. c. ledger d. transaction Which statement(s) concerning cash is (are) true? a. cash will always have more debits than credits b. cash will never have a credit balance c.cash is increased by debiting d. all of the above Which of the following types of accounts have a normal credit balance? a. assets and liabilities b. liabilities and expenses c. revenues and liabilities d. capital and drawing Which of the following entries records the receipt of cash from patients on account? a. Accounts Payable, debit; Fees Earned, credit b. Accounts Receivable, debit; Fees Earned, credit c. Accounts Receivable, debit; Cash, credit d. Cash, debit; Accounts Receivable, credit If the two totals of a trial balance are not equal, it could be due to a. failure to record a transaction b. recording the same erroneous amount for both the debit and the credit parts of a transaction c. an error in determining the account balances, such as a balance being incorrectly computed d. recording the same transaction more than once Which of the following errors, each considered individually, would cause the trial balance totals to be unequal?a. a transaction was not postedb. a payment of $96 for insurance was posted as a debit of $46 to Prepaid Insurance and a credit of $46 to Cashc. a payment of $311 to a creditor was posted as a debit of $3,111 to Accounts Payable and a debit of $311 to Accounts Receivabled. cash received from customers on account was posted as a debit of $140 to Cash and a credit of $140 to Accounts PayableChapter 3 1. The accrual basis of accounting requires revenue be recorded when cash is received from customers.2. The matching concept requires expenses be recorded in the same period that the related revenue is recorded.3. Adjusting entries are made at the end of an accounting period to adjust accounts on the balance sheet.4. The difference between deferred revenue and accrued revenue is that accrued revenue has been recorded and needs adjusting and deferred revenue has never been recorded.5. The systematic allocation of land’s cost to expense is called depreciation.6. The difference between the balance of a fixed asset account and the balance of its related accumulated depreciation account is termed the book value of the asset.7. If the adjustment for accrued salaries at the end of the period is inadvertently omitted, both liabilities and owner’s equity will be overstated for the period.8. The financial statements are prepared from the unadjusted trial balance.9. Vertical analysis compares each item in a statement with another item in the same statement.The correct: 2,6,91. Which account would normally not require an adjusting entry?a. Wages Expenseb. Accounts Receivablec. Accumulated Depreciationd. Smith, Capital2. What is the proper adjusting entry at June 30, the end of the fiscal year, based on a prepaid insurance account balance before adjustment, $15,500, and unexpired amounts per analysis of policies, $4,500?a. debit Insurance Expense, $4,500; credit Prepaid Insurance, $4,500b. debit Insurance Expense, $15,500; credit Prepaid Insurance, $15,500c. debit Prepaid Insurance, $11,500; credit Insurance Expense, $11,500d. debit Insurance Expense, $11,000; credit Prepaid Insurance, $11,0003. Depreciation Expense and Accumulated Depreciation are classified, respectively, asa. expense, contra assetb. asset, contra liabilityc. revenue, assetd. contra asset, expense4. If there is a balance in the unearned subscriptions account after adjusting entries are made, it represents a(n)a. deferralb. accrualc. drawingd. revenue5. What is the proper adjusting entry at June 30, the end of the fiscal year, based on a prepaid insurance account balance before adjustment, $15,500, and unexpired amounts per analysis of policies, $4,500?a. debit Insurance Expense, $4,500; credit Prepaid Insurance, $4,500b. debit Insurance Expense, $15,500; credit Prepaid Insurance, $15,500c. debit Prepaid Insurance, $11,500; credit Insurance Expense, $11,500d. debit Insurance Expense, $11,000; credit Prepaid Insurance, $11,0006. Depreciation Expense and Accumulated Depreciation are classified, respectively, asa. expense, contra assetb. asset, contra liabilityc. revenue, assetd. contra asset, expense7. If there is a balance in the unearned subscriptions account after adjusting entries are made, it represents a(n)a. deferralb. accrualc. drawingd. revenueMultiple choice: d d a aChapter 41. The most important output of the accounting cycle is the financial statements.2. A net loss is shown on the work sheet in the credit columns of both the Income Statement columns and the Balance Sheet columns.3. The difference between a classified balance sheet and one that is not classified is that the classified one has subheadings.4. Since the adjustments are entered on the work sheet, it is not necessary to record them in the journal or post them to the ledger.5. The post-closing trial balance will generally have fewer accounts than the trial balance.6. Solvency is essentially the ability of an organization to pay its bills.7. Working capital is current assets plus current liabilities.ANS:T F T F T T F1. The worksheeta. is an integral part of the accounting cycleb. eliminates the need to rewrite the financial statementsc. is a working paper that is requiredd. is used to summarize account balances and adjustments for the financial statements2. Which one of the fixed asset accounts listed below will not have a related contra asset account? a. Office Equipment b. Land c. Delivery Equipment d. Building3. Which of the accounts below would be closed by making a debit to the account?a. Unearned Revenueb. Fees Earnedc. Jeff Ritter, Drawingd. Rent Expense4. Which of the following accounts ordinarily appears in the post-closing trial balance?a. Bill Smith, Drawingb. Supplies Expensec. Fees Earnedd. Unearned Rent5. A fiscal yeara. ordinarily begins on the first day of a month and ends on the last day of the following twelfth monthb. for a business is determined by the federal governmentc. always begins on January 1 and ends on December 31 of the same yeard. should end at the height of the business’s annual operating cycle6. A current ratio of 4.3 means thata. there are $4.30 in current assets available to pay each dollar of current liabilitiesb. the company cannot pay its debts as they come duec. there are $4.30 in current assets for every $4.30 in current liabilitiesd. there are $4 in current assets for every $3 in current liabilitiesANS: dbbdaaChapter 61. In a merchandise business, sales minus operating expenses equals net income.2. In a perpetual inventory system, the Merchandise Inventory account is only used to reflect the beginning inventory.3. The single-step income statement is easier to prepare, but a criticism of this format is that gross profit and income from operations are not readily available.4. Under the perpetual inventory system, when a sale is made, both the retail and cost values are recorded.5. Sales Discounts is a revenue account with a credit balance.6. Discounts taken by the buyer for early payment of an invoice are credited to Cash Discounts by the buyer.7. If the ownership of merchandise passes to the buyer when the seller delivers the merchandise for shipment, the terms are stated as FOB destination.8. If merchandise costing $2,500, terms FOB destination, 2/10, n/30, with prepaid transportation costs of $100, is paid within 10 days, the amount of the purchases discount is $50.9. The adjusting entry to record inventory shrinkage would generally include a debit to Cost of Merchandise Sold. 1. The primary difference between a periodic and perpetual inventory system is that aa. periodic system determines the inventory on hand only at the end of the accounting periodb. periodic system keeps a record showing the inventory on hand at all timesc. periodic system provides an easy means to determine inventory shrinkaged. periodic system records the cost of the sale on the date the sale is made2. A sales invoice included the following information: merchandise price, $4,000; transportation, $300; terms 1/10, n/eom, FOB shipping point. Assuming that a credit for merchandise returned of $600 is granted prior to payment, that the transportation is prepaid by the seller, and that the invoice is paid within the discount period, what is the amount of cash received by the seller? a.$3,366 b.$3,400c.$3,666d.$3,9503. The net sales to asset s ratio measures a company’sa. working capitalb. net worthc. effective use of sales to support the purchase of new assetsd. effective use of assets to generate salesThe correct: 3,4,8,9 Multiple choice: a c dChapter 74. A customer’s c heck received in settlement of an account receivable is considered cash.5. If the balance in Cash Short and Over at the end of a period is a credit, it indicates that cash shortages have exceeded cash overages for the period.6. A voucher system is an example of an internal control procedure over cash payments.7. A remittance advice is the notification accompanying the check issued to a creditor that states the specific invoice being paid.8. The amount of the "adjusted balance" appearing on the bank reconciliation as ofa given date is the amount that is shown on the balance sheet for that date.9. When the petty cash fund is replenished, the petty cash account is credited for the total of all expenditures made since the fund was last replenished.10. Cash equivalents are short -term investments that will be converted to cash within 120 days.11. The doomsday ratio is almost always less than one.ANS:T F T T T F F T1. Credit memorandums from the banka. decrease a bank custom er’s accountb. are used to show a bank service chargec. show that a company has deposited a customer’s NSF checkd. show the bank has collected a note receivable for the customer2. Journal entries based on the bank reconciliation are required in the depositor’s accounts for a. outstanding checks b. deposits in transitc. bank errorsd. book errorsANS: d dChapter 81. Receivables from company owners and officers should be disclosed separately on the balance sheet.2. Since those responsible for receivables record keeping and credit approval do not handle cash, these duties do not need to be separated to maintain good internal control.3. Of the two methods of accounting for uncollectible receivables, the allowance method provides inadvance for uncollectible receivables.4. Although Allowance for Doubtful Accounts normally has a credit balance, it may have either a debit or a credit balance before adjusting entries are recorded at the end of the accounting period.5. At the end of a period, before the accounts are adjusted, Allowance for Doubtful Accounts has a debit balance of $2,000. If the estimate of uncollectible accounts determined by aging the receivables is $30,000, the current provision to be made for uncollectible accounts expense is $30,000.6. The due date of a 60-day note dated July 10 is September 10.7. If the maker of a note fails to pay the debt on the due date, the note is said to be dishonored.8. The discounting of a note receivable creates a contingent liability that continues in effect until the due date of the note. ANS: T F T T F F T T 1. Allowance for Doubtful Accounts has a debit balance of $500 at the end of the year (before adjustment), and uncollectible accounts expense is estimated at 3% of net sales. If net sales are $600,000, the amount of the adjusting entry to record the provision for doubtful accounts is a. $18,500 b. $17,500 c. $18,000 d. none of the above 2. On the balance sheet, the amount shown for the Allowance for Doubtful Accounts is equal to the a. Uncollectible accounts expense for the year b. total of the accounts receivables written-off during the year c. total estimated uncollectible accounts as of the end of the year d. sum of all accounts that are past due. 3. What is the type of account and normal balance of Allowance for Doubtful Accounts? a. Contra asset, credit b. Asset, debit c. Asset, credit d. Contra asset, debit 4. If the direct write-off method of accounting for uncollectible receivables is used, what general ledger account is credited to write off a customer’s account as uncollectible? a. Uncollectible Accounts Expense b. Accounts Receivable c. Allowance for Doubtful Accounts d. Interest Expense 5. A 90-day, 12% note for $10,000, dated May 1, is received from a customer on account. Thematurity value of the note isa. $10,000b. $10,300c. $450d. $9,550ANS: c c a b bChapter 91. 2. 3. 4. A business using the perpetual inventory system, with its detailed subsidiary records, does not need to take a physical inventory. Purchased goods in transit, shipped FOB destination, should be excluded from ending inventory. Unsold consigned merchandise should be included in the consignee’s inventory. Of the three widely used inventory costing methods (FIFO, LIFO, and average), the LIFO method of costing inventory is based on the assumption that costs are charged against revenues in the reverse order in which they were incurred.During inflationary periods, the use of the FIFO method of costing inventory will yield an inventory amount for the balance sheet approximating the current replacement cost.When using the FIFO inventory costing method, the most recent costs are assigned to the cost of goods sold.The use of the lower-of-cost-or-market method of inventory valuation increases net income for the period in which the inventory replacement price declined. Generally, the lower the number of days’ sales in inventory, the better.ANS: F F F T T F F TTaking a physical count of inventorya. is not necessary when a periodic inventory system is usedb. is a detective controlc. has no internal control relevanced. is not necessary when a perpetual inventory system is usedMerchandise inventory at the end of the year was inadvertently overstated. Which of the following statements correctly states the effect of the error on net income, assets, and owner’s equity?a. net income is overstated, assets are overstated, owner’s equity is understatedb. net income is overstated, assets are overstated, ow ner’s equity is overstatedc. net income is understated, assets are understated, owner’s equity is understatedd. net income is understated, assets are understated, owner’s equity is overstated Inventory costing methods place primary emphasis on assumptions abouta. flow of goodsb. flow of costsc. flow of goods or costs depending on the methodd. flow of valuesIf merchandise inventory is being valued at cost and the purchase price is steadily falling, which method of costing will yield the largest net income?a. average costb. LIFO 5. 6. 7. 8. 1. 2. 3. 4.c. FIFOd. weighted average 5. On the basis of the following data, what is the estimated cost of the merchandise inventory on October 31 by the retail method? Oct. 1 Merchandise Inventory $225,000 $324,500 Oct. 1-31 Purchases (net) 335,000 475,500 Oct. 1-31 Sales (net) 700,000 a. $372,000 b. $140,000 c. $100,000 d. $ 70,000 6. If the estimated rate of gross profit is 40%, what is the estimated cost of the merchandise inventory on June 30, based on the following data? June 1 Merchandise inventory $ 75,000 June 1-30 Purchases (net) 150,000 June 1-30 Sales (net) 135,000 a. $144,000 b. $140,000 c. $ 81,000 d. $ 54,500 7. Too much inventory on handa. reduces solvencyb. increases the cost to safeguard the assetsc. increases the losses due to price declinesd. all of the aboveANS: b b b b d a dChapter 10 1. The acquisition costs of property, plant, and equipment should include all normal, reasonable and necessary costs to get the asset in place and ready for use.2. Land acquired as a speculation is reported under Investments on the balance sheet.3. Standby equipment held for use in the event of a breakdown of regular equipment is reported as property, plant, and equipment on the balance sheet.4. As a company depreciates a piece of equipment, it cash flow goes up.5. All property, plant, and equipment assets are depreciated over time.6. The declining-balance method is an accelerated depreciation method.7. The cost of replacing an engine in a truck is an example of ordinary maintenance.8. The cost of new equipment is called a revenue expenditure because it will help generate revenues in the future.9. A gain can be realized when a fixed asset is discarded.10. When exchanging equipment, if the trade-in allowance is greater than the book value a loss results.11. The cost of a patent with a remaining legal life of 10 years and an estimated useful life of 7 years is amortized over 10 years.12. The method used to calculate the depletion of a natural resource is the straight line method.13. The higher the ratio of fixed assets to long-term liabilities the greater the margin of safety.ANS: T T T F F T F F F F F F T1. Factors contributing to a decline in the usefulness of a fixed asset may be divided into the following two categoriesa. salvage and functionalb. physical and functionalc. residual and salvaged. functional and residual2. Accumulated Depreciationa. is used to show the amount of cost expiration of intangiblesb. is the same as Depreciation Expensec. is a contra asset accountd. is used to show the amount of cost expiration of natural resources3. Equipment with a cost of $80,000, an estimated residual value of $5,000, and an estimated life of 15 years was depreciated by the straight-line method for 5 years. Due to obsolescence, it was determined that the useful life should be shortened by 5 years and the residual value changed to zero. The depreciation expense for the current and future years isa. $5,500b. $11,000c. $10,000d. $5,0004. A fixed asset with a cost of $42,000 and accumulated depreciation of $38,500 is traded for a similar asset priced at $60,000. Assuming a trade-in allowance of $5,000, the cost basis of the new asset isa. $58,000b. $58,500c. $60,000d. $61,5005. A machine with a cost of $65,000 has an estimated residual value of $5,000 and an estimated life of 4 years or 18,000 hours. What is the amount of depreciation for the second full year, using the declining-balance method at double the straight-line rate?a. $15,000b. $30,000c. $16,250d. $32,500ANS: b c b b cChapter 11 1. For a current liability to exist, the following two tests must be met. The liability must be due usually within a year and must be paid out of current assets.2. For an interest bearing note payable, the amount borrowed is equal to the face value of the note.3. The proceeds of a discounted note are equal to the face value of the note.4. Obligations that depend on past events and that are based on future transactions are contingent liabilities.5. The journal entry to record the cost of warranty repairs that were incurred during the current period, but related to sales made in prior years, includes a debit to Warranty Expense.6. Generally, all deductions made from an employee’s gross pay are required by law.7. FICA tax is a payroll tax that is paid only by employers.8. The higher the quick ratio, the more liquid a company is.ANS: T T F F F F F T1. On June 8, Acme Co. issued an $80,000, 6%, 120-day note payable to Still Co. Assume that the fiscal year of Acme Co. ends June 30. What is the amount of interest expense recognized by Acme in the current fiscal year?a. $293.33b. $400.00c. $391.11d. $1,600.002. Proceeds of $48,750 were received from discounting a $50,000, 90-day note at a bank. The discount rate used by the bank in computing the proceeds wasa. 6.25%b. 10.00%c. 10.26%d. 9.75%3. Pilgrim Company sells merchandise with a one year warranty. In 2005, sales consisted of 1,500 units. It is estimated that warranty repairs will average $10 per unit sold, and 30% of the repairs will be made in 2005 and 70% in 2006. In the 2005 income statement, Pilgrim should show warranty expense ofa. $4,500b. $10,500c. $15,000d. $0ANS: a b cChapter 12 1. A corporation is a separate entity for accounting purposes but not for legal purposes.2. Double taxation is a disadvantage of a corporation because the same party has to pay taxes twice on the income.3. The two main sources of stockholders’ equity are investments contributed by stockholders and net income retained in the business.4. The balance in retained earnings should be interpreted as representing surplus cash left over for dividends.5. Preferred stock with a preferential right to dividends in arrears is referred to asparticipating preferred.6. If 50,000 shares are authorized, 37,000 shares are issued, and 2,000 shares are reacquired, the number of outstanding shares is 39,000.7. When a corporation issues stock at a premium, it reports the premium as an other income item on the income statement.8. If 100 shares of treasury stock were purchased for $50 per share and then sold at $60 per share, $1,000 of income is reported in the income statement.9. Since a stock split changes information of a business, this transaction needs to be recorded.10. If 20,000 shares are authorized, 14,000 shares are issued, and 500 shares are held as treasury stock, a cash dividend of $1 per share would amount to $14,000.11. The declaration and issuance of a stock dividend does not affect the total amount of a corporation’s assets, liabilities, or stockholders’ equity.12. The dividend yield indicates the rate of return to stockholders in terms of cash dividend distributions.ANS: F F T F F F F F F F T T1. The outstanding stock is composed of 10,000 shares of $100 par, cumulative preferred $8 stock, and 50,000 shares of no-par common stock. Preferred dividends have been paid every year except for the preceding year and the current year. If $380,000 is to be distributed as a dividend for the current year, what total amount will be distributed to the common stockholders? a. $380,000b. $220,000c. $80,000d. $160,0002. A corporation issues 2,000 shares of common stock for $ 32,000. The stock has a stated value of $10 per share. The journal entry to record the stock issuance would include a credit to Common Stock fora. $20,000b. $32,000c. $12,000d. $2,0003. When common stock is issued in exchange for a noncash asset, the transaction should be recorded ata. the par value of the stock issuedb. the fair market value of the stockc. the fair market value of the asset acquiredd. the fair market value of the asset acquired or the fair market value of the stock, whichever canbe determined more objectively.4. Treasury stock that had been purchased for $5,400 last month was reissued this month for $7,500. The journal entry to record the reissuance would include a credit。
会计专业英文笔试题及答案
会计专业英文笔试题及答案一、选择题（每题2分，共20分）1. What is the primary purpose of financial statements?A. To provide information for decision-makingB. To promote the company's imageC. To comply with tax regulationsD. To attract investors答案：A2. Which of the following is not a fundamental accounting principle?A. Going concernB. Historical costC. Accrual basis of accountingD. Cash basis of accounting答案：D3. The matching principle is used to:A. Match expenses with the revenues they generateB. Match assets with the liabilities they generateC. Match revenues with the assets they generateD. Match liabilities with the expenses they generate答案：A4. What is the formula for calculating return on investment (ROI)?A. ROI = Net Income / Total AssetsB. ROI = (Net Income / Sales) * 100C. ROI = (Return on Sales + Return on Assets) / 2D. ROI = (Net Income / Average Investment) * 100答案：D5. Which of the following is not a type of depreciation method?A. Straight-lineB. Double-declining balanceC. Units of productionD. FIFO (First-In, First-Out)答案：D二、简答题（每题5分，共30分）6. Define "Double-Entry Accounting" and explain its importance in maintaining the integrity of financial records.答案：Double-entry accounting is a system of accounting where every transaction is recorded twice, once as a debit and once as a credit. This system ensures that the accounting equation remains balanced and helps in maintaining the integrity of financial records by providing a check and balance mechanism to prevent errors and fraud.7. Explain the difference between "Liabilities" and "Equity".答案：Liabilities are obligations of a company to pay cash, provide services, or give up assets to other entities in the future. They represent the company's debts and are a source of funds that the company is obligated to repay. Equity, on the other hand, represents the ownership interest of the shareholders in the company. It is the residual interest in the assets of the company after deducting liabilities.8. What is the purpose of "Financial Statement Analysis"?答案：The purpose of financial statement analysis is to assess the financial health and performance of a company. It involves evaluating the company's liquidity, profitability, solvency, and efficiency. This analysis helps investors, creditors, and other stakeholders make informed decisions about the company.9. Describe the "Balance Sheet" and its components.答案：The balance sheet is a financial statement that presents the financial position of a company at a specific point in time. It includes assets, liabilities, and equity. Assets are what the company owns, liabilities are what the company owes, and equity is the net worth of the company, calculated as assets minus liabilities.10. What is "Cash Flow Statement" and why is it important?答案：The cash flow statement is a financial statement that provides information about the cash inflows and outflows of a company over a period of time. It is important because it shows the company's ability to generate cash and meet its financial obligations, which is crucial for the survival and growth of the business.三、案例分析题（每题25分，共50分）11. Assume you are a financial analyst for a company. The company has reported the following financial data for the current year:- Sales: $500,000- Cost of Goods Sold: $300,000- Operating Expenses: $100,000- Depreciation: $20,000- Interest Expense: $10,000- Taxes: $30,000Calculate the company's net income.答案：Net Income = Sales - Cost of Goods Sold - Operating Expenses - Depreciation - Interest Expense - TaxesNet Income = $500,000 - $300,000 - $100,000 - $20,000 - $10,000 - $30,000Net Income = $50,00012. A company is considering purchasing a new machine for $100,000. The machine is expected to generate additional annual revenue of $30,000 and will have annual operating costs of $15,000. The machine is expected to last for 5 years and will have no residual value. Calculate the payback period for the machine.答案：Payback Period = Initial Investment / Annual Cash Inflow Annual Cash Inflow = Additional Revenue。
财务会计练习（英语）
财务会计练习（英语）PRACTIC1.CHOICE QUESTIONS38. Preparing a work sheet involvesa. two steps.b. three steps.c. four steps.d. five steps.39. The adjustments entered in the adjustments columns of a work sheet area. not journalized.b. posted to the ledger but not journalized.c. not journalized until after the financial statements are prepared.d. journalized before the work sheet is completed.40. The information for preparing a trial balance on a work sheet is obtained froma. financial statements.b. general ledger accounts.c. general journal entries.d. business documents.41. An adjusted trial balancea. is prepared after the financial statements have been prepared.b. proves the equality of the debits and the credits of the ledger accounts.c. is required by GAAP.d. is prepared after the post-closing trial balance.42. The income statement columns of the DelMonico Company’s worksheet reports total debits of $50,000 and total credits of $35,000. This means thata. the company earned net income of $15,000 for the period.b. the worksheet has an error because debits do not equal credits.c. the company has a net loss of $15,000d. distributions to owners for the period totalled $15,000.43. A work sheet is a multiple column form that facilitates thea. identification of events.b. measurement process.c. preparation of financial statements.d. analysis process.44. Which of the following companies would be least likely to use a work sheet to facilitatethe adjustment process?a. Large company with numerous accountsb. Small company with numerous accountsc. All companies, since work sheets are required under generally acceptedaccounting principlesd. Small company with few accounts45. A work sheet can be thought of as a(n)a. permanent accounting record.b. optional device used by accountants.c. part of the general ledger.d. part of the journal.46. The account, Supplies, will appear in the following debit columns of the work sheet.a. Trial balanceb. Adjusted trial balancec. Balance sheetd. All of these47. When constructing a work sheet, accounts are often needed that are not listed in thetrial balance already entered on the work sheet from the ledger. Where should these additional accounts be shown on the work sheet?a. They should be inserted in alphabetical order into the trial balance accountsalready given.b. They should be inserted in chart of account order into the trial balance alreadygiven.c. They should be inserted on the lines immediately below the trial balance totals.d. They should not be inserted on the trial balance until the next accounting period.48. When using a work sheet, adjusting entries are journalizeda. after the work sheet is completed and before financial statements are prepared.b. before the adjustments are entered on to the work sheet.c. after the work sheet is completed and after financial statements have beenprepared.d. before the adjusted trial balance is extended to the proper financial statementcolumns.49. Closing entries are made for all accounts excepta. Revenuesb. Expensesc. Dividendsd. Common Stock50. Adjusting journal entries are prepared froma. source documents.b. the adjustment columns of the work sheet.c. the general ledger.d. last year's work sheet.51. The net income (or loss) for the perioda. is found by computing the difference between the income statement credit columnand the balance sheet credit column on the work sheet.b. cannot be found on the work sheet.c. is found by computing the difference between the income statement columns ofthe work sheet.d. is found by computing the difference between the trial balance totals and theadjusted trial balance totals.52. The work sheet does not showa. net income or loss for the period.b. revenue and expense account balances.c. the ending balance in the retained earnings account.d. the trial balance before adjustments.53. If the total debits exceed total credits in the balance sheet columns of the worksheet,retained earningsa. will increase because net income has occurred.b. will decrease because a net loss has occurred.c. is in error because a mistake has occurred.d. will not be affected.Use the following information for questions 54–55.The income statement and balance sheet columns of Pine Company's work sheet reflects the following totals: Income Statement Balance SheetDr. Cr. Dr.Cr.Totals $58,000 $45,000 $34,000 $47,00054. The net income (or loss) for the period isa. $45,000 income.b. $13,000 income.c. $13,000 loss.d. not determinable.55. To enter the net income (or loss) for the period into the above work sheet requires anentry to thea. income statement debit column and the balance sheet credit column.b. income statement credit column and to the balance sheet debit column.c. income statement debit column and the income statement credit column.d. balance sheet debit column and to the balance sheet credit column.56. Closing entries are necessary fora. permanent accounts only.b. temporary accounts only.c. both permanent and temporary accounts.d. permanent or real accounts only.57. Each of the following accounts is closed to Income Summary excepta. Expenses.b. Dividends.c. Revenues.d. All of these are closed to Income Summary.58. Closing entries are madea. in order to terminate the business as an operating entity.b. so that all assets, liabilities, and stockholders’ equity accounts will have zerobalances when the next accounting period starts.c. in order to transfer net income (or loss) and dividend to retained earnings.d. so that financial statements can be prepared.Use the following information from the Income Statement for the month of June, 2006 of Delgado Enterprises to answer questions 59 – 63.Revenues $7,000Expenses:Wages Expense $2,000Advertising Expense 200Rent Expense 1,000Supplies Expense 300Insurance Expense 100Total expenses 3,600Net income $3,40059. The entry to close the revenue account includesa. a debit to Income Summary for $3,400.b. a credit to Income Summary for $3,400.c. a debit to Income Summary for $7,000.d. a credit to Income Summary for $7,000.60. The entry to close the expense accounts includesa. a debit to Income Summary for $3,400.b. a credit to Rent Expense for $1,000,c. a credit to Income Summary for $3,600.d. a debit to Wages Expense for $2,000.61. After the revenue and expense accounts have been closed, the balance in IncomeSummary will bea. $0.b. a debit balance of $3,400.c. a credit balance of $3,400.d. a credit balance of $7,000.62. The entry to close Income Summary to Retained Earnings includesa. a debit to Revenue for $7,000.b. credits to Expenses totalling $3,600.c. a credit to Income Summary for $3,400d. a credit to Retained Earnings for $3,400.63. At June 1, 2006, Delgado reported Retained Earnings of $35,000. The companypaid no dividends during June. At June 30, 2006, the company will report a Retained Earnings balance ofa. $35,000 credit.b. $42,000 credit.c. $38,400 credit.d. $31,600 credit.64. Which of the following is a true statement about closing the books of a corporation?a. Expenses are closed to the Expense Summary account.b. Only revenues are closed to the Income Summary account.c. Revenues and expenses are closed to the Income Summary account.d. Revenues, expenses, and the Dividend account are closed to the IncomeSummary account.Use the following information from the Income Statement for the year 2006 of NOLA Inc. to answer questions 65 – 71. Revenues $70,000Expenses:Wages Expense $45,000Advertising Expense 6,000Rent Expense 12,000Supplies Expense 6,000Utilities Expense 2,500Insurance Expense 2,000Total expenses 73,500Net income (loss) $(3,500)65. The entry to close the revenue account includesa. a debit to Income Summary for $3,500.b. a credit to Income Summary for $3,500.c. a debit to Revenues for $70,000.d. a credit to Revenues for $70,000.66. The entry to close the expense accounts includesa. a debit to Income Summary for $3,500.b. a credit to Income Summary $3,500,c. a debit to Income Summary for $73,500.d. a debit to Wages Expense for $2,500.67. After the revenue and expense accounts have been closed, the balance in IncomeSummary will bea. $0.b. a debit balance of $3,500.c. a credit balance of $3,500.d. a credit balance of $70,000.68. The entry to close Income Summary to Retained Earnings includesa. a debit to Revenue for $70,000.b. credits to Expenses totalling $73,500.c. a credit to Income Summary for $3,500d. a credit to Retained Earnings for $3,500.69. At January 1, 2006, NOLA reported Retained Earnings of $50,000. Dividends for theyear totalled $10,000. At December 31, 2006, the company will report a Retained Earnings balance ofa. $13,500 debit.b. $36,500 credit.c. $40,000 credit.d. $43,500 credit.70. After all closing entries have been posted, the Income Summary account will have a balance ofa. $0.b. $3,500 debit.c. $3,500 credit.d. $36,500 credit.71. After all closing entries have been posted the Revenue account will have a balance ofa. $0.b. $70,000 credit.c. $70,000 debit.d. $3,500 credit.72. The Income Summary account is an important account that is useda. during interim periods.b. in preparing adjusting entries.c. annually in preparing closing entries.d. annually in preparing correcting entries.73. The balance in the income summary account before it is closed will be equal toa. the net income or loss on the income statement.b. the beginning balance in the retained earnings account.c. the ending balance in the retained earnings account.d. zero.74. After closing entries are posted, the balance in the Retained Earnings account in the ledger will be equal toa. the beginning Retained Earnings reported on the owner's equity statement.b. the amount of the Retained Earnings reported on the balance sheet.c. zero.d. the net income for the period.75. A post-closing trial balance is prepareda. after closing entries have been journalized and posted.b. before closing entries have been journalized and posted.c. after closing entries have been journalized but before the entries are posted.d. before closing entries have been journalized but after the entries are posted.76. All of the following statements about the post-closing trial balance are correct except ita. shows that the accounting equation is in balance.b. provides evidence that the journalizing and posting of closing entries have been properly completed.c. contains only permanent accounts.d. proves that all transactions have been recorded.77. A post-closing trial balance will showa. only permanent account balances.b. only temporary account balances.c. zero balances for all accounts.d. the amount of net income (or loss) for the period.78. A post-closing trial balance should be prepareda. before closing entries are posted to the ledger accounts.b. after closing entries are posted to the ledger accounts.c. before adjusting entries are posted to the ledger accounts.d. only if an error in the accounts is detected.79. A post-closing trial balance will showa. zero balances for all accounts.b. zero balances for balance sheet accounts.c. only balance sheet accounts.d. only income statement accounts.80. The purpose of the post-closing trial balance is toa. prove that no mistakes were made.b. prove the equality of the balance sheet account balances that are carried forwardinto the next accounting period.c. prove the equality of the income statement account balances that are carriedforward into the next accounting period.d. list all the balance sheet accounts in alphabetical order for easy reference.81. The balances that appear on the post-closing trial balance will match thea. income statement account balances after adjustments.b. balance sheet account balances after closing entries.c. income statement account balances after closing entries.d. balance sheet account balances after adjustments.82. Which account listed below would be double ruled in the ledger as part of the closing process?a. Cashb. Common Stockc. Dividendsd. Accumulated Depreciation83. A double rule applied to accounts in the ledger during the closing process implies thata. the account is a temporary account.b. the account is a balance sheet account.c. the account balance is not zero.d. a mistake has been made, since double ruling is prescribed.84. The heading for a post-closing trial balance has a date line that is similar to the one found ona. a balance sheet.b. an income statement.c. an owner's equity statement.d. the work sheet.85. Which one of the following is usually prepared only at the end of a company's annual accounting period?a. Preparing financial statementsb. Journalizing and posting adjusting entriesc. Journalizing and posting closing entriesd. Preparing an adjusted trial balance86. The step in the accounting cycle that is performed on a periodic basis (i.e., monthly, quarterly) isa. analyzing transactions.b. journalizing and posting adjusting entries.c. preparing a post-closing trial balance.d. posting to ledger accounts.87. Which one of the following is an optional step in the accounting cycle of a business enterprise?a. Analyze business transactionsb. Prepare a work sheetc. Prepare a trial balanced. Post to the ledger accounts88. The final step in the accounting cycle is to preparea. closing entries.b. financial statements.c. a post-closing trial balance.d. adjusting entries.89. Which of the following steps in the accounting cycle would not generally be performed daily?a. Journalize transactionsb. Post to ledger accountsc. Prepare adjusting entriesd. Analyze business transactions90. Which of the following steps in the accounting cycle may be performed more frequently than annually?a. Prepare a post-closing trial balanceb. Journalize closing entriesc. Post closing entriesd. Prepare a trial balance91. Which of the following depicts the proper sequence of steps in the accounting cycle?a. Journalize the transactions, analyze business transactions, prepare a trial balanceb. Prepare a trial balance, prepare financial statements, prepare adjusting entriesc. Prepare a trial balance, prepare adjusting entries, prepare financial statementsd. Prepare a trial balance, post to ledger accounts, post adjusting entries92. The two optional steps in the accounting cycle are preparinga. a post-closing trial balance and reversing entries.b. a work sheet and post-closing trial balances.c. reversing entries and a work sheet.d. an adjusted trial balance and a post-closing trial balance.93. The first required step in the accounting cycle isa. reversing entries.b. journalizing transactions in the book of original entry.c. analyzing transactions.d. posting transactions.94. Correcting entriesa. always affect at least one balance sheet account and one income statementaccount.b. affect income statement accounts only.c. affect balance sheet accounts only.d. may involve any combination of accounts in need of correction.95. Speedy Bike Company received a $740 check from a customer for the balance due.The transaction was erroneously recorded as a debit to Cash $470 and a credit to Service Revenue $470. The correcting entry isa. Debit Cash, $740; Credit Accounts Receivable, $740.b. Debit Cash, $270 and Accounts Receivable, $470; Credit Service Revenue, $740.c. Debit Cash, $270 and Service Revenue, $470; Credit Accounts Receivable, $740.d. Debit Accounts Receivable, $740; Credit Cash, $270 and Service Revenue, $470.96. If errors occur in the recording process, theya. should be corrected as adjustments at the end of the period.b. should be corrected as soon as they are discovered.c. should be corrected when preparing closing entries.d. cannot be corrected until the next accounting period.97. A correcting entrya. must involve one balance sheet account and one income statement account.b. is another name for a closing entry.c. may involve any combination of accounts.d. is a required step in the accounting cycle.98. An unacceptable way to make a correcting entry is toa. reverse the incorrect entry.b. erase the incorrect entry.c. compare the incorrect entry with the correct entry and make a correcting entry tocorrect the accounts.d. correct it immediately upon discovery.99. Cole Company paid the weekly payroll on January 2 by debiting Wages Expense for$40,000. The accountant preparing the payroll entry overlooked the fact that WagesExpense of $24,000 had been accrued at year end on December 31. The correctingentry isa. Wages Payable ............................................................................ 24,000Cash ................................................................................ 24,000b. Cash .......................................................................................... 16,000Wages Expense .............................................................. 16,000c. Wages Payable ............................................................................ 24,000Wages Expense .............................................................. 24,000d. Cash .......................................................................................... 24,000Wages Expense .............................................................. 24,000100. Tyler Company paid $630 on account to a creditor. The transaction was erroneously recorded as a debit to Cash of $360 and a credit to Accounts Receivable, $360. Thecorrecting entry isa. Accounts Payable (630)Cash (630)b. Accounts Receivable (360)Cash (360)c. Accounts Receivable (360)Accounts Payable (360)d. Accounts Receivable (360)Accounts Payable (630)Cash (990)101. A lawyer collected $860 of legal fees in advance. He erroneously debited Cash for $680 and credited Accounts Receivable for $680. The correcting entry isa. Cash (680)Accounts Receivable (180)Unearned Revenue (860)b. Cash (860)Service Revenue (860)c. Cash .............................................................................................180Accounts Receivable (680)Unearned Revenue (860)d. Cash (180)Accounts Receivable (180)102. All of the following are property, plant, and equipment excepta. supplies.b. machinery.c. land.d. buildings.Use the following information to answer questions 103-111.The following items are taken from the financial statements of Waters Company for the year ending 12/31/2006: Accounts payable $ 18,000Accounts receivable 11,000Accumulated depreciation – equipment 28,000Advertising expense 21,000Cash 15,000Common stock 90,000Depreciation expense 12,000Dividends 14,000Insurance expense 3,000Note payable, due 6/31/2007 70,000Prepaid insurance (12-month policy) 6,000Rent expense 17,000Retained earnings, 1/1/2006 12,000Salaries expense 32,000Service revenue 133,000Supplies 4,000Supplies expense 6,000Equipment 210,000103. What is the company’s net income for the year ending 12/31/2006?a. $133,000b. $42,000c. $28,000d. $12,000104. What is the balance that would be reported for Retained earnings at 12/31/2006?a. $12,000b. $40,000c. $42,000d. $56,000105. What are total current assets at 12/31/2006?a. $26,000b. $32,000c. $36,000d. $218,000106. What is the book value of the equipment at 12/31/2006?a. $238,000.b. $210,000c. $182,000d. $170,000107. What are total current liabililites at 12/31/2006?a. $18,000b. $70,000c. $88,000d. $0.108. What are total long-term liabilities at 12/31/2006?a. $0b. $70,000.c. $88,000d. $90,000109. What is total stockholders’ equity at 12/31/2006?a. $90,000.b. $102,000.c. $126,000.d. $130,000.110. The sub-classificatio ns for assets on the company’s classified balance sheet would include all of the following except:a. Current Assetsb. Property, Plant and Equipmentc. Intangible Assetsd. All of the above would be included as sub-classifications.111. The current assets should be listed on the balance sheet in the following order:a. cash, accounts receivable, prepaid insurance, equipmentb. cash, prepaid insurance, supplies, accounts receivablec. cash, accounts receivable, prepaid insurance, suppliesd. equipment, supplies, prepaid insurance, accounts receivable, cash112. The operating cycle of a company is the average time that is required to go from cash toa. sales in producing revenues.b. cash in producing revenues.c. inventory in producing revenues.d. accounts receivable in producing revenues.113. On a classified balance sheet, current assets are customarily listeda. in alphabetical order.b. with the largest dollar amounts first.c. in the order of liquidity.d. in the order of acquisition.114. Intangible assets include all of the following except:a. Marketable securities.b. Patents.c. Copyrights.d. Goodwill.115. The relationship between current assets and current liabilities is important in evaluating a company'sa. profitability.b. liquidity.c. market value.d. accounting cycle.116. The most important information needed to determine if companies can pay their current obligations is thea. net income for this year.b. projected net income for next year.c. relationship between current assets and current liabilities.d. relationship between short-term and long-term liabilities.a117. A reversing entrya. reverses entries that were made in error.b. is the exact opposite of an adjusting entry made in a previous period.c. is made when a business disposes of an asset it previously purchased.d. is made when a company sustains a loss in one period and reverses the effectwith a profit in the next period.a118. If a company utilizes reversing entries, they willa. be made at the beginning of the next accounting period.b. not actually be posted to the general ledger accounts.c. be made before the post-closing trial balance.d. be part of the adjusting entry process.119. The steps in the preparation of a work sheet do not includea. analyzing documentary evidence.b. preparing a trial balance on the work sheet.c. entering the adjustments in the adjustment columns.d. entering adjusted balances in the adjusted trial balance columns.120. Balance sheet accounts are considered to bea. temporary owner's equity accounts.b. permanent accounts.c. capital accounts.d. nominal accounts.121. Income Summary has a credit balance of $12,000 in J. Tayler Co. after closing revenues and expenses. The entry to close Income Summary isa. credit Income Summary $12,000, debit Retained Earnings $12,000.b. credit Income Summary $12,000, debit Dividends $12,000.c. debit Income Summary $12,000, credit Dividends $12,000.d. debit Income Summary $12,000, credit Retained Earnings $12,000.122. The post-closing trial balance contains onlya. income statement accounts.b. balance sheet accounts.c. balance sheet and income statement accounts.d. income statement, balance sheet, and owner's equity statement accounts.123. Which of the following is an optional step in the accounting cycle?a. Adjusting entriesb. Closing entriesc. Correcting entriesd. Reversing entries124. Which one of the following statements concerning the accounting cycle is incorrect?a. The accounting cycle includes journalizing transactions and posting to ledgeraccounts.b. The accounting cycle includes only one optional step.c. The steps in the accounting cycle are performed in sequence.d. The steps in the accounting cycle are repeated in each accounting period.125. Correcting entries are madea. at the beginning of an accounting period.b. at the end of an accounting period.c. whenever an error is discovered.d. after closing entries.126. On September 23, Reese Company received a $350 check from Mike Moluf for services to be performed in the future.The bookkeeper for Reese Company incorrectly debited Cash for $350 and credited Accounts Receivable for $350. The amounts have been posted to the ledger. To correct this entry, the bookkeeper shoulda. debit Cash $350 and credit Unearned Service Revenue $350.b. debit Accounts Receivable $350 and credit Unearned Service Revenue $350.c. debit Accounts Receivable $350 and credit Cash $350.d. debit Accounts Receivable $350 and credit Service Revenue $350.127. Fifth Dimension Inc. reported a balance in Retained Earnings of $45,000 on its post-closing trial balance at 12/31/2006. The company earned net income of $30,000 and paid dividends of $5,000 during the year. The 12/31/2006 balance sheet will report Retained Earnings ofa. $40,000b. $45,000c. $70,000d. $75,000128. Current liabilitiesa. must reasonably be expected to be paid from existing current assets or throughthe creation of other current liabilities.b. are listed in the balance sheet in order of their expected maturity.c. must reasonably be expected to be paid within one year or the operating cycle,whichever is shorter.d. should not include long-term debt that is expected to be paid within the next year.a129. The use of reversing entriesa. is a required step in the accounting cycle.b. changes the amounts reported in the financial statements.c. simplifies the recording of subsequent transactions.d. is required for all adjusting entries.2.MATCHING1 Match the items below by entering the appropriate code letter in the space provided.A. Intangible assets F. Book valueB. Permanent accounts G. Current assetsC. Closing entries H. Operating cycleD. Income Summary I. Current liabilitiesE. Reversing entry J. Correcting entries____ 1. Obligations expected to be paid within one year or one operating cycle out of current assets.____ 2. The difference between the cost and the accumulated depreciaion of a depreciable asset.____ 3. Noncurrent assets that do not have physical substance____ 4. A temporary account used in the closing process.____ 5. Balance sheet accounts whose balances are carried forward to the next period.____ 6. The average length of time to go from cash to cash in producing revenue.____ 7. Entries to correct errors made in recording transactions.____ 8. The exact opposite of an adjusting entry made in a previous period.____ 9. Entries at the end of an accounting period to transfer the balances of temporary accounts to a stockholders’ account. ____ 10. Resources which are expected to be realized in cash, sold, or consumed within one year of the balance sheet or the company's operating cycle,whichever is longer.2.MATCHING150. Match the items below by entering the appropriate code letter in the space provided.A. Cost of goods available for sale F. First-in, first-out (FIFO) methodB. Raw materials G. Last-in, first-out (LIFO) methodC. FOB shipping point H. Average cost methodD. FOB destination I. Inventory turnoverE. Net purchases J. Current replacement cost____ 1. Measures the number of times the inventory sold during the period.____ 2. Purchases less purchases returns and allowances and purchases discounts.____ 3. Goods that will be used in the production process but which have not yet been placed into production.____ 4. Cost of goods sold consists of the most recent inventory purchases.____ 5. Sum of beginning merchandise inventory and cost of goods purchased.____ 6. Title to the goods transfers when the public carrier accepts the goods from the seller.____ 7. Ending inventory valuation consists of the most recent inventory purchases.____ 8. The same unit cost is used to value ending inventory and cost of goods sold.____ 9. Title to goods transfers when the goods are delivered to the buyer.____ 10. The amount that would be paid at the present time to acquire an identical item.。
会计英语考试题目及答案
会计英语考试题目及答案一、选择题（每题2分，共20分）1. Which of the following is a basic accounting principle?A. The Going Concern PrincipleB. The Historical Cost PrincipleC. Both A and BD. Neither A nor BAnswer: C. Both A and B2. What is the term for the systematic arrangement of accounts in a specific order?A. JournalB. LedgerC. Trial BalanceD. Chart of AccountsAnswer: D. Chart of Accounts3. What does the term "Debit" mean in accounting?A. An increase in assetsB. A decrease in liabilitiesC. An increase in equityD. A decrease in expensesAnswer: A. An increase in assets4. Which of the following is not a type of financialstatement?A. Balance SheetB. Income StatementC. Cash Flow StatementD. Payroll ReportAnswer: D. Payroll Report5. What is the purpose of an adjusting entry?A. To update the financial recordsB. To prepare for the next accounting periodC. To correct errors in the accounting recordsD. All of the aboveAnswer: D. All of the above6. Which of the following is an example of a current asset?A. InventoryB. LandC. EquipmentD. Bonds PayableAnswer: A. Inventory7. What is the formula for calculating the return on investment (ROI)?A. (Net Income / Total Assets) * 100B. (Net Income / Total Equity) * 100C. (Net Income / Investment) * 100D. (Total Assets / Net Income) * 100Answer: C. (Net Income / Investment) * 1008. What is the accounting equation?A. Assets = Liabilities + EquityB. Liabilities - Equity = AssetsC. Assets + Liabilities = EquityD. Equity + Assets = LiabilitiesAnswer: A. Assets = Liabilities + Equity9. What is the purpose of depreciation?A. To reduce the value of an asset over timeB. To increase the value of an asset over timeC. To calculate the cost of an assetD. To determine the net income of a companyAnswer: A. To reduce the value of an asset over time10. Which of the following is not a function of a general ledger?A. To record daily transactionsB. To summarize financial informationC. To provide a detailed account of each transactionD. To prepare financial statementsAnswer: A. To record daily transactions二、简答题（每题5分，共30分）1. Explain the difference between an asset and a liability. Answer: An asset is a resource owned by a business that hasfuture economic benefit, such as cash, inventory, or property.A liability is an obligation or debt that a business owes to others, such as loans, accounts payable, or salaries payable.2. What is the purpose of a balance sheet?Answer: The purpose of a balance sheet is to provide a snapshot of a company's financial position at a specificpoint in time, showing the company's assets, liabilities, and equity.3. Define the term "revenue."Answer: Revenue is the income generated from the normal business operations of a company, such as the sale of goodsor services.4. What is the difference between a journal and a ledger?Answer: A journal is a book that records financialtransactions in chronological order, while a ledger is a book that summarizes and organizes the financial transactions by accounts.5. Explain the concept of accrual accounting.Answer: Accrual accounting is a method of accounting where revenues and expenses are recorded when they are earned or incurred, not when cash is received or paid.6. What is the purpose of a trial balance?Answer: The purpose of a trial balance is to ensure that the total debits equal the total credits in the general ledger, indicating that the accounting records are in balance.三、案例分析题（每题25分，共50分）1. A company purchased equipment for $50,000 on January 1, 2023, with a useful life of 5 years and no residual value. Calculate the annual depreciation expense using the straight-line method.Answer: Using the straight-line method, the annual depreciation expense is calculated as follows:Depreciation Expense = (Cost of Equipment - Residual Value) / Useful LifeDepreciation Expense = ($50,000 - $0) / 5 = $10,000 per year2. A company has the following transactions for the month of March 2023:- Sold goods for $20,000 on credit.- Purchased inventory for $15,000 in cash.- Paid $2,000 in salaries.- Received $18,。
{财务管理财务会计}财务会计英语练习及答案
{财务管理财务会计}财务会计英语练习及答案CHAPTER13 ACCOUNTINGFORPARTNERSHIPSAND LIMITEDLIABILITYCORPORATIONSANS:TDIF:1OBJ:0320.Anewpartnercontributesaccountsreceivabletoapartnershipwhichappearinth eledgerofhissoleproprietorshipat$20,500andtherewasanallowancefordoubtful accountsof$750.If$600oftheaccountsreceivablesarepletelyworthless,thepart nershipaccountsreceivableshouldbedebitedfor$19,900.ANS:TDIF:2OBJ:0321.Onereasonthatdistributionsofineandlossarepreparedistoobtaintheinforma tiontorecordaclosingentry.ANS:TDIF:1OBJ:0422.Ifnothingisstated,partnershipineisdividedinproportiontotheindividualp artner'scapitalbalance.ANS:FDIF:2OBJ:0423.Thesalaryallocationtopartnersusedindividingnetinewouldalsoappearassal aryexpenseonthepartnershipinestatement.ANS:FDIF:2OBJ:0424.Ifthearticlesofpartnershipprovideforannualsalaryallowancesof$36,000an d$18,000toXandYrespectivelyandnetineis$30,000,X'sshareofnetineis$20,000. ANS:FDIF:2OBJ:0425.Ifthenetineofapartnershipislessthanthetotaloftheallowancesprovidedbyt hepartnershipagreement,thedifferencemustbedividedamongthepartnersinthein e-sharingratio.ANS:FDIF:2OBJ:0426.Theamountthatapartnerwithdrawsasamonthlysalaryallowancedoesnotaffectt hedivisionofnetine.ANS:TDIF:2OBJ:0427.AdevotesfulltimeandBdevotesone-halftimetotheirpartnership.Ifthepartne rshipagreementissilentconcerningthedivisionofnetine,Awillreceivea$20,000 shareofanetineof$30,000.ANS:FDIF:2OBJ:0428.Inthedistributionofine,thenetineislessthanthesalaryandinterestallowan cesgranted,theremainingbalancewillbeanegativeamountthatmustbedividedamon gthepartnersasthoughitwerealoss.ANS:TDIF:2OBJ:0429. Detailsofthedivisionofpartnershipineshouldnormallybedisclosedinthefinanc ialstatements.ANS:TDIF:2OBJ:0430.Wheneverapartnershipisdissolved,theassetsareliquidated.ANS:FDIF:1OBJ:0531.Whenapartnershipdissolves,anewpartnershipisformedandanewpartnershipag reementshouldbeprepared.ANS:TDIF:1OBJ:0532.Manypartnershipsprovidefortheadmissionofnewpartnersorwithdrawalsofpre sentpartnersinthepartnershipagreementsothatthefirmmaycontinuetooperatewi thoutexecutinganewagreement.ANS:TDIF:1OBJ:0533.Apersonmaybeadmittedtoapartnershiponlywiththeconsentofallthecurrentpa rtners.ANS:TDIF:1OBJ:0534.Partnership'sassetaccountsshouldbechangedfromcosttofairmarketvaluewhe nanewpartnerisadmittedtoafirmoranexistingpartnerwithdrawsanddies. ANS:TDIF:2OBJ:0535.Inadmittinganewpartner,thepanychoosestousethepurchaseofaninterestmeth od,thecapitalinterestofthenewpartnerisobtainedfromthecurrentpartnersandb oththetotalassetsandtotalcapitalareincreased.ANS:FDIF:2OBJ:0536.Whenanewpartnerpurchasestheentireinterestofanoldpartner,thenewpartner 'scapitalaccountshouldbecreditedfortheamountheorshepaidtotheoldpartner.46.Ifanewpartneristobeadmittedtoapartnershipandabonusisattributedtotheol dpartnership,thebonusshouldbedividedbetweenthecapitalaccountsoftheorigin alpartnersaccordingtotheircapitalbalances.ANS:FDIF:2OBJ:0547.IfretiringpartnerAsellshisorherinteresttoB,thepartnershipshouldrecord theassetspaidtoAinitsaccountsattheirbookvalues.ANS:FDIF:2OBJ:0548.Whenanewpartnerisadmittedtoapartnership,bonusesattributabletoeitherth eoldpartnershiportotheiningpartnermayberecognizedinaccordancewiththeagre ementamongthepartners.ANS:TDIF:1OBJ:0549.Dissolutionisthetermwhichsolelymeanstoliquidatethepartnership. ANS:FDIF:1OBJ:0650.Inapartnershipliquidation,gainsandlossesonthesaleofpartnershipassetsa redividedamongthepartners'capitalaccountsonthebasisoftheircapitalbalance s.ANS:FDIF:2OBJ:0651.Iftheshareoflossesonrealizationofthesaleofnoncashassetsexceedthebalan ceinapartner'scapitalaccount,theresultingbalanceiscalledadeficiency. ANS:TDIF:1OBJ:0652.Inapartnershipliquidation,ifapartnerhasadebitcapitalbalanceinhisorher capitalaccount,heorsheisresponsibleforcontributingpersonalassetssufficie nttoeliminatethedeficit.ANS:TDIF:2OBJ:0653.Theprocessofwindinguptheaffairsofapartnershipisreferredtoasrealizatio n.ANS:FDIF:1OBJ:0654.Thedistributionofcash,asthefinalprocessinwindinguptheaffairsofapartnership,isbasedontheine-sharingratio.ANS:FDIF:2OBJ:0655.Ifapartner'scapitalbalanceisadebitafterithasabsorbeditsshareoftheloss onrealization,thebalanceisreferredtoasadeficiency.ANS:TDIF:1OBJ:0656.Intheliquidatingprocess,anyuncollectedcashbeesalosstothepartnershipan disdividedamongtheremainingpartners'capitalbalancesbasedontheirine-shari ngratio.ANS:TDIF:2OBJ:0657.Afterallnoncashassetshavebeenconvertedtocashandallliabilitiespaid,A,B ,andChavecapitalbalancesof$10,000(debit),$5,000(debit),and$25,000(credit ).Thecashavailablefordistributiontothepartnersis$10,000.ANS:TDIF:2OBJ:0658.Afterallnoncashassetshavebeenconvertedtocashandallliabilitiespaid,A,B ,andChavecapitalbalancesof$15,000(credit),$10,000(debit),and$30,000(cred it).C'sshareofthecashtobedistributedis$30,000.ANS:FDIF:2OBJ:0659.Aventurecapitalistisanindividualorfirmthatprovidescreditfinancingtoth epany.ANS:FDIF:1OBJ:0760.IPOisanacronymthatstandsforinitialpublicofferingANS:TDIF:1OBJ:0761.Underwritingfirmsorinvestmentbankershelpapanynotonlydeterminetheoffer ingpriceforitstock,butalsohelpmarketthestocktotheirclientsandthepublic. ANS:TDIF:1OBJ:07MULTIPLECHOICE1.Whichofthefollowingischaracteristicofageneralpartnership?a.Thepartnershaveco-ownershipofpartnershipproperty.b.Thepartnershipissubjecttofederalinetax.10.Accountingfortheday-to-dayactivitiesforapartnershiporLimitedLiability Corporationisa.thesameastheaccountingforanyotherformofbusinessb.thesameastheaccountingforasoleproprietorshiponlyc.isnotthesameastheaccountingforanyotherformofbusinessd.thesameastheaccountingforacorporationonlyANS:ADIF:1OBJ:0211.Whenapartnershipisformed,assetscontributedbythepartnersshouldberecord edonthepartnershipbooksattheira.bookvaluesonthepartners'bookspriortotheirbeingcontributedtothepartnershipb.fairmarketvalueatthetimeofthecontributionc.originalcoststothepartnercontributingthemd.assessedvaluesforpropertypurposesANS:BDIF:2OBJ:0312.Aspartoftheinitialinvestment,apartnercontributesequipmentthathadorigi nallycost$100,000andonwhichaccumulateddepreciationof$75,000hasbeenrecord ed.Ifsimilarequipmentwouldcost$150,000toreplaceandthepartnersagreeonaval uationof$40,000forthecontributedequipment,whatamountshouldbedebitedtothe equipmentaccount?a.$40,000b.$150,000c.$100,000d.$75,000ANS:ADIF:2OBJ:0313.Aspartoftheinitialinvestment,Oswaldcontributesaccountsreceivablethath adabalanceof$25,000intheaccountsofasoleproprietorship.Ofthisamount,$1,25 0ispletelyworthless.Fortheremainingaccounts,thepartnershipwillestablisha provisionforpossiblefutureuncollectibleaccountsof$750.TheamountdebitedtoAccountsReceivableforthenewpartnershipisa.$23,000b.$25,000c.$24,250d.$23,750ANS:DDIF:2OBJ:0314.JackandJillshareineandlossesina2:1ratioafterallowingforsalariestoJack of$24,000and$30,ineforthepartnershipis$48,000.Ineshouldbedi videdasfollows:a.Jack,$24,000;Jill,$24,000b.Jack,$21,000;Jill,$27,000c.Jack,$32,000;Jill,$16,000d.Jack,$20,000;Jill,$28,000ANS:DDIF:2OBJ:0415.FredandEthelshareineequally.Duringthecurrentyearthepartnershipnetinew as$40,000.Fredmadewithdrawalsof$12,000andEthelmadewithdrawalsof$17,000.A tthebeginningoftheyear,thecapitalaccountbalanceswere:Fredcapital,$42,000 ;Ethelcapital,$58,000.Fred'scapitalaccountbalanceattheendoftheyearisa.$76,500b.$64,500c.$62,000d.$50,000ANS:DDIF:2REF:0416.Partnershipineandlossesareusuallydividedonthebasisofinterest,salaries ,andstatedratiosbecausea.partnersseldomcontributetimeandresourcesequallyb.thismethodreflectstheamountoftimedevotedtothepartnershipbythepartnersc.itissimplerthanfollowingthelegalrulesd.itpreventsargumentsamongthepartnersANS:ADIF:1OBJ:0417.Aratioof3:2:1isthesameasa.30%:20%:10%b.1/2:1/3:1/6c.3/10:2/10:1/20d.both(a)and(c)ANS:BDIF:2OBJ:0418.CandDformapartnershipinwhichCcontributes$50,000inassetsandagreestodev otehalftimetothepartnership.Dcontributed$40,000inassetsandagreestodevote fulltimetothepartnership.HowwillCandDshareinthedivisionofine?a.5:8b.1:2c.1:1d.5:4ANS:CDIF:2OBJ:0419.XandYhaveoriginalinvestmentsof$50,000and$100,000respectivelyinapartne rship.Thearticlesofpartnershipincludethefollowingprovisionsregardingthed ivisionofnetine:interestonoriginalinvestmentat10%,salaryallowancesof$27, 000and$18,000respectively,andtheremainderequally.Howmuchofthenetineof$90 ,000isallocatedtoX?a.$60,000b.$43,000c.$45,000d.$47,000ANS:DDIF:3OBJ:0420.XandYhaveoriginalinvestmentsof$50,000and$100,000respectivelyinapartnership.Thearticlesofpartnershipincludethefollowingprovisionsregardingthed ivisionofnetine:interestonoriginalinvestmentat10%,salaryallowancesof$27, 000and$18,000respectively,andtheremainderequally.Howmuchofthenetineof$50 ,000isallocatedtoX?a.$33,333b.$23,000c.$25,000d.$27,000ANS:DDIF:3OBJ:0421.XandYhaveoriginalinvestmentsof$50,000and$100,000respectivelyinapartne rship.Thearticlesofpartnershipincludethefollowingprovisionsregardingthed ivisionofnetine:interestonoriginalinvestmentat10%,salaryallowancesof$27, 000and$18,000respectively,andtheremainderequally.Howmuchofthenetlossof$1 0,000isallocatedtoX?a.$10,000b.$3,000c.$5,000d.$7,000ANS:CDIF:3OBJ:0422.ThearticlesofpartnershipforABPartnershipprovideforasalaryallowanceof$ 5,000permonthforpartnerB,withthebalanceofnetinetobedividedequally.IfBmad eanadditionalinvestmentof$10,000duringtheyearandwithdrew$4,000permonth,a ndnetinefortheyearwas$90,000,bywhatamountdidB'scapitalincreaseduringthey ear?a.$85,000b.$10,000c.$37,000ANS:CDIF:3OBJ:0423.Ifthereisnowrittenagreementastothewayinewillbedividedamongpartnersa.theywillshareineandlossesequallyb.theywillshareineandlossesaccordingtotheircapitalbalancesc.theywillshareineandlossesaccordingtothetimedevotedtothebusiness.d.therereallyisnopartnershipagreementANS:ADIF:1OBJ:0424.PartnerAhasacapitalbalanceof$20,000anddevotesfulltimetothepartnership .PartnerBhasacapitalbalanceof$30,000anddevoteshalftimetothepartnership.I nwhatratioisnetinetobedivided?a.3:5b.1:1c.2:3d.1:2ANS:BDIF:2OBJ:0425.Detailsofthedivisionofnetineforapartnershipshouldbediscloseda.intheassetsectionofthebalancesheetb.inthepartners’subsidiaryledgerc.inthestatementofcashflowsd.intheinestatementANS:DDIF:2OBJ:0426.DengandDangarepartnerswhoshareineintheratioof3:2.Theircapitalbalances are$40,000and$60,000respectively.IneSummaryhasacreditbalanceof$20,000.Wh atisDeng'scapitalbalanceafterclosingIneSummarytoCapital?a.$30,000b.$52,000c.$28,000ANS:BDIF:2OBJ:0427.SelmapaysSally$39,000forher30%interestinapartnershipwithtotalnetasset sof$120,000.Followingthistransaction,Selma'scapitalaccountshouldhaveacre ditbalanceofa.$36,000b.$39,000c.$33,000d.morethan$39,000ANS:ADIF:3OBJ:0528.Nellieisadmittedtoanexistingpartnershipbyinvestingcash.Nellieagreesto payabonusforherownershipinterestbecauseofthepastsuccessofthepartnership. WhenNellie'sinvestmentinthepartnershipisrecordeda.hercapitalaccountwillbecreditedformorethanthecashsheinvestedb.hercapitalaccountwillbecreditedfortheamountofcashsheinvestedc.abonuswillbecreditedfortheamountofcashsheinvestedd.abonuswillbedistributedtotheoldpartners'capitalaccounts.ANS:DDIF:3OBJ:0529.PeterandPaularepartners.ThepartnershipcapitalofPeteris$40,000andPauli s$70,000.PetersellshisinterestinthepartnershiptoMaryfor$50,000.Thejourna lentrytorecordtheadmissionofMaryasanewpartnerwouldincludea.acredittoMary'scapitalfor$40,000b.acredittoPaul'scapitalfor$10,000c.acreditMary'scapitalfor$50,000d.acredittoMary'scapitalfor$40,000andacredittoPaul'scapitalfor$10,00ANS:ADIF:3OBJ:0530.Whenapartnerdies,thecapitalaccountbalancesoftheremainingpartnersc.$25,000d.$35,000ANS:CDIF:3OBJ:0534.Anewpartnermaybeadmittedtoapartnershipbya.inheritingapartnershipinterestb.contributingassetstothepartnershipc.purchasingaspecificquantityofassetsfromthepartnershipd.theconsentofthemajorityofthecurrentpartnersANS:BDIF:2OBJ:0535.Achangeintheownershipofapartnershipresultsinthea.consolidatingofthepartnershipb.liquidatingofthepartnershipc.realizationofthepartnershipd.dissolutionofthepartnershipANS:DDIF:1OBJ:0536.Whenanewpartnerisadmittedtoapartnership,thereshouldbea(n)a.revaluationofassetsb.realizationofassetsc.allocationofassetsd.returnofassetsANS:ADIF:1OBJ:0537.Whenanewpartnerisadmittedtoapartnership,thereshouldbea(n)a.thetotalassetsofthepartnershipincreaseb.newcapitalaccountisaddedtotheledgerforthenewpartnerc.thetotalowner'sequityofthepartnershipincreasesd.thecashreceivedbythecurrentpartnerrepresentstheamountofthedebittothatpartner'scapitalaccount.ANS:BDIF:2OBJ:0538.Whenanadditionalpartnerisadmittedtoapartnershipbycontributionofassets tothepartnershipa.thetotalassetsofthepartnershipdonotchangeb.noliabilitiescanbecontributedatthesametimec.theamountofthecashcontributionisthesameastheamountofthedebittothenewpartner'scapitalaccountd.thetotaloftheowner'sequityaccountsincreasesANS:DDIF:2OBJ:0539.Whenanewpartnerisadmittedtoapartnershipa.abonusmaybeattributabletotheoldpartnerb.abonusmayonlyresultfrommorecashbeinggivenbythenewpartnerthanthevalueoftheoftheassetsbeingpurchasedc.abonusagreeduponbythepartnersisrecordedasanassetsolongastheamountiswithintherangesetbytheSECd.abonusisnotrecordedANS:ADIF:2OBJ:0540.TheCDPartnershipownsinventorythatwaspurchasedfor$65,000,hasacurrentre placementcostof$62,500,andispricedtosellfor$95,000.Atwhatamountshouldthe inventoryberecordedintheaccountsofthenewpartnershipifAistobeadmitted?a.$97,000b.$62,500c.$65,000d.$95,000ANS:BDIF:2OBJ:0541.ImmediatelypriortotheadmissionofA,theXYPartnershipassetshadbeenadjust edtocurrentmarketprices,andthecapitalbalancesofXandYwere$40,000and$60,00 0respectively.Ifthepartiesagreethatthebusinessisworth$150,000,whatisthea mountofbonusthatshouldberecognizedintheaccountsattheadmissionofA?b.$0c.$40,000d.$50,000ANS:DDIF:2OBJ:0542.StanandOlliearepartnerswhoshareineintheratioof2:3andhavecapitalbalanc esof$50,000and$30,000respectively.Rayisadmittedtothepartnershipandisgive na40%interestbyinvesting$20,000.WhatisStan'scapitalbalanceafteradmitting Ray?a.$20,000b.$25,000c.$42,000d.$18,000ANS:CDIF:3OBJ:0543.StanandOlliearepartnerswhoshareineintheratioof2:3andhavecapitalbalanc esof$30,000and$50,000respectively.Rayisadmittedtothepartnershipandisgive na10%interestbyinvesting$20,000.WhatisOllie'scapitalbalanceafteradmittin gRay?a.$56,000b.$34,000c.$20,000d.$44,000ANS:ADIF:3OBJ:0544.Tim,Don,andHansarepartnerswithcapitalbalancesof$20,000,$30,000,and$50 ,000respectively.Theyshareineintheratioof3:2:1.IneSummarywithadebitbalan ceof$30,000isclosedtothecapitalaccounts.Donwithdrawsfromthepartnership.H owmuchcashdoeshegetuponwithdrawal?a.$30,000c.$40,000d.$24,000ANS:BDIF:3OBJ:0545.AandBarepartnerswhoshareineintheratioof1:2andhavecapitalbalancesof$40 ,000and$70,000atthetimetheydecidetoterminatethepartnership.Afterallnonca shassetsaresoldandallliabilitiesarepaid,thereisacashbalanceof$80,000.Wha tamountoflossonrealizationshouldbeallocatedtoA?a.$80,000b.$10,000c.$20,000d.$30,000ANS:BDIF:3OBJ:0646.Apartnershipliquidationoccurswhena.anewpartnerisadmittedb.apartnerdiesc.theownershipinterestofonepartnerissoldtoanewpartnerd.theassetsaresold,liabilitiespaid,andbusinessoperationsterminated ANS:DDIF:1OBJ:0647.ThebalancesheetofMarilynandMonroewasasfollowsimmediatelypriortothepar tnershipbeingliquidated:cash,$20,000;otherassets,$160,000;liabilities,$4 0,000;Marilyncapital,$60,000;Monroecapital,$80,000.Theotherassetsweresol dfor$139,000.MarilynandMonroeshareprofitsandlossesina2:1ratio.Asafinalca shdistributionfromtheliquidation,Marilynwillreceivecashtotalinga.$46,000b.$51,000c.$60,000d.$49,500ANS:ADIF:3OBJ:0648.JimmyJerryandJohnnydecidetoliquidatetheirpartnership.Allassetsaresold andtheliabilitiesarepaid.Followingthesetransactions,thecapitalbalancesan dprofitandlosspercentagesareasfollows:Jimmy,$27,000and30%;Jerry,$(12,000 )and40%;Johnny,$43,000and30%.Jerryisunabletocontributeanyassetstoreducet hedeficit.HowmuchcashwillJimmyreceiveasaresultsofthepartnershipliquidati on?a.$27,000b.$21,000c.$23,400d.$15,000ANS:BDIF:3OBJ:0649.Theremainingcashofapartnership(aftercreditorshavebeenpaid)uponliquida tionisdividedamongpartnersaccordingtotheira.capitalbalancesb.contributionofassetsc.drawingbalancesd.inesharingratioANS:ADIF:2OBJ:0650.Againorlossonrealizationisdividedamongpartnersaccordingtotheira.inesharingratiob.capitalbalancesc.drawingbalancesd.contributionofassetsANS:ADIF:2OBJ:0651.AandBarepartnerswhoshareineintheratioof3:2andhavecapitalbalancesof$50 ,000and$90,000atthetimetheydecidetoterminatethepartnership.Afterallnonca shassetsaresoldandallliabilitiesarepaid,thereisacashbalanceof$90,000.How muchcashshouldbedistributedtoA?b.$20,000c.$30,000d.$45,000ANS:BDIF:3OBJ:0652.X,Y,andZarepartners,sharingine1:2:3.Aftersellingalloftheassetsforcash ,dividinglossesonrealization,andpayingliabilities,thebalancesinthecapita laccountsareasfollows:X,$50,000Cr.;Y,$40,000Dr.;andZ,$30,000Cr.Howmuchca shisavailablefordistributiontothepartners?a.$120,000b.$30,000c.$40,000d.$90,000ANS:CDIF:3OBJ:0653.X,Y,andZarepartners,sharingine1:2:3.Aftersellingalloftheassetsforcash ,dividinglossesonrealization,andpayingliabilities,thebalancesinthecapita laccountsareasfollows:X,$50,000Cr.;Y,$40,000Dr.;andZ,$30,000Cr.Howmuchca shshouldbedistributedtoXassumingthatYpaysthedeficiency?a.$50,000b.$20,000c.$30,000d.$40,000ANS:DDIF:3OBJ:0654.X,Y,andZarepartners,sharingine1:2:3.Aftersellingalloftheassetsforcash ,dividinglossesonrealization,andpayingliabilities,thebalancesinthecapita laccountsareasfollows:X,$50,000Cr.;Y,$20,000Cr.;andZ,$30,000Dr.Assumetha taftertheavailablecashisdistributedtothepartners,Zpays$15,000ofthedefici encytothefirm.Howmuchofthe$15,000shouldbedistributedtoX?b.$0c.$5,000d.$10,000ANS:CDIF:3OBJ:06PROBLEM1.EdandFrankformapartnershipbybiningtheassetsoftheirseparatebusinesses.E dcontributesaccountsreceivablewithafaceamountof$50,000andequipmentwithac ostof$180,000andaccumulateddepreciationof$100,000.Thepartnersagreethatth eequipmentistobepricedat$70,000,that$2,500oftheaccountsreceivableareplet elyworthlessandarenottobeacceptedbythepartnership,andthat$1,500isareason ableallowancefortheuncollectibilityoftheremainingaccountsreceivable.Fran kcontributescashof$20,000andmerchandiseinventoryof$49,500.Thepartnersagr eethatthemerchandiseinventoryistobepricedat$51,000.Journalizetheentriest orecordinthepartnershipaccounts(a)Ed'sinvestmentand(b)Frank'sinvestment. ANS:a)AccountsReceivable......................47,500 Equipment................................70,000 AllowanceforDoubtfulAccounts........1,500Ed,Capital............................116,000(b)Cash.....................................20,000 MerchandiseInventory.............51,000Frank,Capital.........................71,000DIF:2OBJ:032.MaryHartmann,soleproprietorofahardwarebusiness,decidestoformapartnersh ipwithNedIsaacs.Mary'saccountsareasfollows:BookValueMarketValue---------------------------------Cash$20,000$20,000AccountsReceivable(net)52,00045,000Inventory112,000125,000Land40,000100,000Building(net)300,000340,000AccountsPayable25,00025,000MortgagePayable75,00075,000Nedagreestocontribute$70,000fora20%interest.Journalizetheentriestorecord (a)Mary'sinvestmentand(b)Ned'sinvestment.ANS:(a)Cash......................20,000AccountsReceivable.....45,000 Inventory.................125,000 Land......................100,000 Building..................340,000AccountsPayable........25,000MortgagePayable........75,000MaryHartmann,Capital..530,000(b)Cash......................70,000MaryHartmann,Capital....50,000NedIsaacs,Capital.....120,000DIF:3OBJ:353.CarlandDavidhavecapitalbalancesof$100,000and$300,000respectively.Carld evotesfulltimeandDavidone-halftimetothebusiness.Determinethedivisionof$9 0,000ofnetineundereachofthefollowingassumptions:(a)Noagreementastodivisionofnetine.(b)Inratioofcapitalbalances.(c)Inratiooftimedevotedtobusiness.(d)Interestof10%oncapitalbalancesandremainderequally.(e)Interestof10%oncapitalbalances,salariesof$40,000toCarland$20,000toDavid,andtheremainderequally.ANS:CarlDavidComputations---------------------(a)$45,000$45,000Carl:50%$90,000David:50%$90,000(b)$22,500$67,500Carl:1/4$90,000David:3/4$90,000(c)$60,000$30,000Carl:2/3$90,000David:1/3$90,000(d)$35,000$55,000Carl:[(10%$100,000)+(1/2$50,000)]David:[(10%$300,000)+(1/2$50,000)](e)$45,000$45,000Carl:[(10%x$100,000)+$40,000-(1/2$(10,000)]David:[(10%$300,000)+$20,000-(1/2$(10,000)]DIF:3OBJ:044.ClintonandDolehadcapitalbalancesof$120,000and$180,000respectivelyatthe beginningofthecurrentfiscalyear.Thearticlesofpartnershipprovideforsalary allowancesof$18,000and$20,000respectively,anallowanceofinterestat12%onth ecapitalbalancesatthebeginningoftheyear,withtheremainingnetinedividedequ ineforthecurrentyearwas$100,000.(a)Presenttheinedivisionsectionoftheinestatementforthecurrentyear.(b)Assumingthatthenetinehadbeen$50,000insteadof$100,000,presenttheinediv isionsectionoftheinestatementforthecurrentyear.ANS:(a) Netine............................$100,000CDTotalDivisionofnetine:----------------------Salaryallowance...........$18,000$20,000$38,000Interestallowance.........14,40021,60036,000 Remainingine...........13,00013,00026,000----------------------Netine...................$45,400$54,600$100,000===============(b)Netine....................$50,000Divisionofnetine:Salaryallowance............$18,000$20,000$38,000 Interestallowance..........14,40021,60036,000----------------------Total.....................$32,400$41,600$74,000Excessofallowancesovernetine.12,00012,00024,000----------------------Netine....................$20,400$29,600$50,000==================DIF:3OBJ:02,045.CandDhadcapitalbalancesof$60,000and$120,000respectivelyonJanuary1ofthe currentyear.OnMay8,Cinvestedanadditional$10,000inthepartnership.Duringth eyear,CandDwithdrew$25,000and$35,000respectively.Afterclosingallexpensea ndrevenueaccountsattheendoftheyear,IneSummaryhasacreditbalanceof$90,000. Thenetineisdividedintheratioof2:3afterasalaryallowanceof$40,000toC.(a)Journalizetheentriestoclosetheinesummaryaccountandthedrawingaccounts.(b)Preparethestatementofowner'sequityforthecurrentyear.ANS:(a)IneSummary.......................90,000C,Capital.............................60,000D,Capital.............................30,000C,Capital...............................25,000D,Capital...............................35,000C,Drawing.............................25,000D,Drawing.............................35,000(b)CandDStatementofOwner'sEquityForYearEndedDecember31================================================== ===========CDTotal------------------------Capital,January1......$60,000$120,000$180,000Additionalinvestmentduringtheyear.............10,000----10,000------------------------$70,000$120,000$190,000Netinefortheyear......60,00030,00090,000------------------------$130,000$150,000$280,000Withdrawalsduringtheyear...25,00035,00060,000------------------------Capital,December31$105,000$115,000$220,000====================DIF:1OBJ:02,046.BenGumbelandFredHowe,partnerssharingnetineintheratioof2:1,admitAlanBro kawtothepartnershipinaccordancewiththefollowingagreement:(1)Merchandiseinventoryrecordedinthepartnershipaccountsat$62,500istobere valuedatitscurrentreplacementpriceof$67,000.(2)Brokawistoinvest$48,000incashfora30%interestinthepartnership,whichhastotalnetassets(assetsminusliabilities)of$130,000aftertheinventoryisreval ued.(3)Theine-sharingratioofGumbel,Howe,andBrokawistobe2:1:1.(a)Journalizetheentriestorecordtherevaluationofmerchandiseinventory,andt headmissionofBrokawtothepartnership.(b)Afewyearslater,thecapitalbalancesofGumbel,Howe,andBrokawwere$140,000, $90,000,and$55,000respectively.Atthistime,MarvinKingisadmittedtothepartn ershipbythepurchaseofone-halfofGumbel'sinterestfor$80,000.Journalizethee ntrytorecordtheadmissionofKingtothepartnership.ANS:(a)MerchandiseInventory...........4,500BenGumbel,Capital.....................3,000FredHowe,Capital......................1,500 Cash......................................48,000BenGumbel,Capital.....................6,000FredHowe,Capital......................3,000AlanBrokaw,Capital....................39,000(b)BenGumbel,Capital..............70,000MarvinKing,Capital....................70,000DIF:3OBJ:057.AnneKlineandBethLewis,partnersinClassyBoutique,havecapitalbalancesof$40, 000and$60,000respectively.CarolMartinjoinsthepartnershipbybuyingone-half ofAnne'sinterestfor$30,000.Inaddition,becauseofCarol'soutstandingsalessk ills,thepartnersagreetoincreaseherinterestto40%ifsheinvestsanother$10,000.Theine-sharingratioofKline,Lewis,andMartinis4:3:1.(a)JournalizetheentriestorecordtheadmissionofMartintothepartnership.(b)ImmediatelyafterMartin'sadmissiontothepartnership,Lewissellsone-fourt hofherinteresttoDebNewtonfor$35,000.Journalizetheentrytorecordthistransaction.ANS:(a)AnneKline,Capital..............20,000CarolMartin,Capital.............20,000 Cash................................10,000AnneKline,Capital...............8,000BethLewis,Capital...............6,000CarolMartin,Capital.............24,000(b)BethLewis,Capital.............13,500DebNewton,Capital...............13,500DIF:3OBJ:058.Immediatelypriortotheprocessofliquidation,partnersM,N,andOhavecapitalb alancesof$70,000,$20,000,and$30,000respectively.Thereisacashbalanceof$10 ,000,noncashassetstotal$160,000,andliabilitiestotal$50,000.Thepartnerssh arenetineandlossesintheratioof2:2:1. Journalizetheentriestorecordtheliquidationoutlinedbelow,usingAssetsasthe accounttitleforthenoncashassetsandLiabilitiesastheaccounttitleforallcred itors'claims.(a)Soldthenoncashassetsfor$80,000incash.(b)Dividedthelossonrealization.(c)Paidtheliabilities.(d)Receivedcashfromthepartnerwiththedeficiency.(e)Distributedthecashtothepartners.ANS:(a)Cash....................................80,000 LossonRealization..................80,000 Assets................................160,000(b)M,Capital..............................32,000N,Capital..............................32,000O,Capital..............................16,000 LossonRealization...................80,000(c)Liabilities.............................50,000 Cash..................................50,000(d)Cash....................................12,000N,Capital............................12,000(e)M,Capital..............................38,000O,Capital..............................14,000 Cash..................................52,000DIF:3OBJ:069.Afterdiscontinuingtheordinarybusinessoperationsandclosingtheaccountson May7,theledgerofthepartnershipofA,B,andCindicatedthefollowing: Cash..............................$7,500 NoncashAssets...............105,000 Liabilities.......................$27,500A,Capital........................45,000B,Capital........................15,000C,Capital........................25,000----------------$112,500$112,500================Thepartnerssharenetineandlossesintheratioof3:2:1.BetweenMay7-30,thenonca shassetsweresoldfor$120,000,theliabilitieswerepaid,andtheremainingcashwa sdistributedtothepartners.(a)Prepareastatementofpartnershipliquidation.(b)Assumethesamefactsasin(a),exceptthatthenoncashassetsweresoldfor$45,00 0andanypartnerwithacapitaldeficiencypaystheamountofthedeficiencytothepar tnership.Prepareastatementofpartnershipliquidation.ANS:。
- 1、下载文档前请自行甄别文档内容的完整性，平台不提供额外的编辑、内容补充、找答案等附加服务。
- 2、"仅部分预览"的文档,不可在线预览部分如存在完整性等问题,可反馈申请退款(可完整预览的文档不适用该条件!)。
- 3、如文档侵犯您的权益，请联系客服反馈,我们会尽快为您处理(人工客服工作时间：9:00-18:30)。
《财务会计》复习题Circle the letter of the best response.1．Which of the following statements is false?A．Accounting is the information system that measures business activities, processes that information into reports, and communicates the results to decision makers.B．Financial statements report financial information about a business entity to decision makers.C．Owners of a corporation are personally liable for the debts of the corporation.D．The purpose of financial accounting is to provide information to people outside of the entity, such as investors and creditors.2．Wilbur owns and operates a fishing tackle shop. Wilbur needs to borrow money to expand; therefore, he prepared financial statements to present to his banker.Wilbur obtained appraisals of all the assets of the business to ensure that the balance sheet would reflect the most current value of the assets. Wilbur has violated which of the following principles or concepts?A．Reliability principleB．Cost principleC．Going-concern principleD．Stable-monetary-unit concept3．Which of the following is true?A．Owners' Equity － Assets ＝ LiabilitiesB．Assets － Owners' Equity ＝ LiabilitiesC．Assets ＋ Liabilities ＝ Owners' EquityD．Liabilities ＝ Owners' Equity ＋ Assets4．G. Harrison Inc experienced a decrease in total assets of $2,000 during the current year. During the same year, total liabilities decreased $6,000. If dividends for the year were $10,000 and the owners made no additional investment, how much was net income?A．$14,000B．$ 6,000C．$18,000D．$ 2,0005．Which of the following statements is true?A．The income statement reports all changes in assets, liabilities, and stockholders' equity of the business during the period.B．Revenues and expenses are reported only on the balance sheet.C．The statement of cash flows reports cash flows from three types of business activities——cash receipts, cash payments, and investing.D．On the statement of retained earnings, the net income for the period is added to the beginning balance of retained earnings.6．Which of the following statements is not true?A．Investing activities relate to the investment by owners into the business.B．Paying dividends is an example of a financing activity.C．Operating activities are the most important type of business activity.D．Managers must make decisions about operating, investing, and financing activities.7．On which financial statement can the ending balance in retained earnings be found?A．Balance sheetB．Income statementC．Statement of retained earningsD．Both A and C8．Which of these is an example of an asset account?A．Service RevenueB．DividendsC．SuppliesD．All of the above are assets9．Dobson Company paid $1,200 on account. The effect of this transaction on Dobson's accounting equation is to：A．decrease liabilities and increase stockholders’ equity.B．decrease assets and decrease liabilities.C．have no effect on total assets.D．decrease assets and decrease stockholders' equity.10．W hich of these statements is false?A．Decreases in liabilities and increases in revenues are recorded with a credit.B．Decreases in assets and increases in stockholders' equity are recorded witha credit.C．Increases in both assets and expenses are recorded with a debit.D．Increases in assets and decreases in liabilities are recorded with a debit. 11．N ote Payable has a normal beginning balance of $40,200. During the period, new borrowings total $100,000 and payments on loans total $20,600. Determine the correct ending balance in Note Payable.A．$39,200, debitB．$119,600, creditC．$39,200, creditD．$160,800, credit12．W hich of these statements is correct?A．The account is a basic summary device used in accounting.B．A business transaction is recorded first in the journal and then posted to the ledger.C．In the journal entry, all accounts that are increased are listed first and then all accounts that are decreased are listed next.D．Both A and B are correct.13．W hich of these accounts has a normal debit balance?A．Salary ExpenseB．Accounts PayableC．Service RevenueD．Both A and B14．T he May 31 trial balance reports a credit balance of $5,000 for Service Revenue.During the month, one entry for $10 had been posted in error as a debit to Service Revenue. What is the correct balance of Service Revenue at May 31 ?A．$4,980B．$4,990C．$5,020D．$5,01015．T he beginning Cash account balance is $38,700. During the period, cash disbursements totaled $144,600. If ending Cash is $51,200, then cash receipts must have been：A．$105,900B．$234,500C．$132,100D．$157,10016．U se the following selected information for the Perriman Company to calculate the correct credit column total for a trial balance：Accounts receivable $ 27,200Accounts payable 15,900Building 359,600Cash 55,600Common stock 155,000Dividends 4,800Insurance expense 1,800Retained earnings 133,800Salary expense 52,500Salary payable 3,600Service revenue 193,200A．$365,600B．$304,700C．$501,500D．$506,30017．T he journal entry to record the performance of services on account for $1,200 is：A．Accounts Payable 1,200Service Revenue 1,200B．Accounts Receivable 1,200Service Revenue 1,200C．Cash 1,200Service Revenue 1,200D．Service Revenue 1,200Accounts Payable 1,20018．T he Smallwood Corporation began operations on January 1, 20X8. During 20X1, Smallwood collected $92,000 for management services. $12,000 of the amount collected was from a contract to provide management services for one year beginning November 1,20X8. An additional $20,000 of management services had been earned but not collected by year end. The amount of revenue that should be reported for 20X8 under the cash-basis and accrual-basis is：Cash-Basis Accrual-BasisA． $92,000 $80,000B． $80,000 $100,000C． $100,000 $112,000D． $92,000 $102,00019．W hich of the following statements is false?A．The time-period concept requires companies to prepare financial statements at least quarterly.B．According to the revenue principle, revenue should be recorded when a product or service has been delivered to the customer.C．When possible, expenses that can be linked to a specific revenue should be deducted from revenue in the same period that the revenue is recorded.D．The time-period concept, the revenue principle, and the matching principle all support the practice of preparing adjusting entries.20．T he Armstead Company usually purchases office supplies twice a year to take advantage of quantity discounts. Office Supplies would be consideredA．an unearned revenue.B．a prepaid expense.C．an accrued revenue.D．an accrued expense.21．O n November 1 , 20X8 , the Jemigan Company paid $4,800 for a one-year insurance policy. On December 31 , 20X8, the adjusting entry would includeA．a debit to insurance Expense$4,800.B．a credit to insurance Payable, $800.C．a credit to Prepaid insurance, $800.D．a debit to Insurance Expense, $4,000.22．W hich of these could not be a closing entry?A．Salary Expense XXRetained Earnings XXB．Retained Earnings XXDividends XXC．Service Revenue XXRetained Earnings XXD．Retained Earnings XXRent Expense XX23．W hat type of account is Unearned Revenue (asset, liability, stockholders' equity,revenue, or expense) and what is its normal balance, respectively?A．asset, debitB．expense, debitC．liability, creditD．revenue, credit24．W hich of the following transactions is considered an accrued expense?Ⅰ．Salaries that employees have earned but not receivedII．Management fees received in advanceⅢ．Newspaper advertising that has been purchased but has not yet appeared inthe newspaperA．I onlyB．II onlyC．Ⅲ onlyD．Both I and II25．W hich of the following accounts is not considered a current asset?A．Accounts ReceivableB．EquipmentC．InventoryD．Prepaid Rent26．T he balance sheet for Arnold's Cleaners appears below：Arnold's CleanersBalance sheetDecember 31, 20X8Assets LiabilitiesCash $400 Accounts payable $300Accounts receivable 460 Salary payable 20Supplies 10 Unearned revenue 120Prepaid insurance 60 Note payable (due in 5 years)400Equipment $400 Total liabilities 840Less: Acc. depr. 40 360 Stockholders’ EquityLand 400 Common stock 370Retained earnings 480Total stockholders' equity 850Total assets $1,690 Total liabilities and stockholders' Equity$1,690Arnold's current ratio for 20X8 isA．2.11B．2.09C．2D．1.5227．A n investment in debt securities may be classified as any of the followingcategories except：A．trading securitiesB．available-for-saleC．held-to-maturityD．All of the above are categories for Debt securities28．T he Boulder Co. purchased the following securities in 20X8.The year-end balances of their trading and available-for-sale portfolios are given below：Trading portfolio: Cost Market ValueSecurity A $10,000 $12,000Security B 3,000 3,500Total $13,000 $15,500Available-for-sale portfolio:Security D $5,500 $3,000Security E 16,000 17,000Total $21,500 $20,000At what value should the trading securities and the available-for-sale securities be reported on the balance sheet?Trading Securities Available-for-Sale Securities A． $13,000 $21,500B． $13,000 $20,000C． $15,500 $21,500D． $15,500 $20,00029．N et accounts receivable is calculated as：A．Sales less sales discounts.B．Accounts receivable plus the allowance for uncollectible accounts.C．Accounts receivable less the allowance for uncollectible accounts.D．Accounts receivable less the bad debts expense..30．W hen the allowance method is used, the entry to write off a customer’s account A．increases bad debts expense.B．has no effect on net accounts receivable.C．decreases net accounts receivable.D．Increases the balance of the allowance for uncollectible accounts. 31．W hich of the following statements about the statement of cash flows is true?A．The purchase of a held-to-maturity security is considered an investing activity.B．Collection of interest is an investing activity.C．Sales on account is the largest cash flow from operating activities.D．Loaning money to others is a financing activity.Table 1On December 31, 20X8, Troy Inc., had the following accounts and balances（before adjustment）on its books：Accounts Receivable $80,000Allowance for Uncollectible Accounts 2,000 （credit balance）Net Sales 500,00032．R efer to Table 1. Troy estimates that its Bad Debts Expense is 2% of Net Sales.The Bad Debts Expense for 20X8 should be:A．$10,000B．$12,000C．$8,000D．$1,60033．R efer to Table 1. Troy uses an aging schedule to estimate its uncollectible accounts. The aging schedule and the percentage of each category that is estimated to be uncollectible is given below：Current $40,000 2%1-30 days past due 30,000 10%Over 30 days past due 10,000 40%The balance in the Allowance for Uncollectible Accounts after adjusting should be：A．$2,000 B．$5,800C．$7,800 D．$9,80034．M artinez Co. paid Acme Co. for merchandise with a $2,000, 90-day, 8% note dated April 1. If Martinez pays off the note at maturity, what entry should Acme make on its books at that time?A．Cash 2,160Notes Receivable 2,160B．Notes Payable 2,000Interest Expense 160Cash 2,160C．Cash 2,040Notes Receivable 2,000Interest Revenue 40D．Cash 2,160Notes Receivable 2,000Interest Revenue 16035．W hich accounts would be debited and credited in the entry to record accrued interest on a note receivable?Debit CreditA．Interest Revenue Interest ReceivableB．Interest Receivable Interest RevenueC．Cash Interest RevenueD．Interest Receivable Cash36．G iven the following information, compute the quick ratio.Salary Payable $4,000 Trading investments $10,000 Inventory 100,000 Equipment 96,000 Accounts Receivable 42,000 Cash 14,000 Supplies 8,000 Accounts Payable 62,000 A．1 B．2.5C．1.2 D．2.4537．T eresa Company began the period with 10 units in inventory, costing $5 each.During the period the company purchased 100 units at a cost of $5 each. At the end of the period there were 13 units left on hand. What is the correct amount that should appear on the income statement for the period and on the balance sheet at the end of the period?Income Statement Balance SheetA． Cost of goods sold, $500 Inventory, $550B． Inventory, $485 Cost of goods sold, $550C． Cost of goods sold, $65 Inventory, $485D． Cost of goods sold, $485 Inventory, $6538．S heridan Corp. has $10,000 of goods on hand at August 31, 20X8. Cost of goods sold averages 40% of sale revenue. Sales for the month of September are budgeted to be $143,000. If ending inventory at the end of September is budgeted to be $10,500, what amount of inventory will Sheridan’s managers need to purchase during September in order to meet this goal?A．$57,700B．$86,300C．$56,700D．Cannot be determined from the information given.Table 2Consider the following data for Reed Company for the current year:Units Unit Cost TotalBeginning inventory 55 $10 $550Purchase February 4 22 12 264Purchase May 15 20 13 260Purchase October 20 48 15 720Sales during the year, 84 units @ $30 each.39．R efer to Table 2. What is the weighted-average cost per unit?A．$12.33 B．$12.37C．$12.50 D．$12.4840．R efer to Table 2. What is the cost of ending inventory, assuming the LIFO method is used?A．$889 B．$905C．$622 D．$1,17241．R efer to Table 2. What is the cost of goods sold, assuming the FIFO method is used?A．$889 B．$905C．$622 D．$1,17242．R efer to Table 2. What is Reed Company’s gross profit percentage (rounded) for the year, assuming that ending inventory totaled $685?A．56% B．27%C．40% D．44%43．D uring a period of rising prices, the inventory method that yields the highest net income and the lowest inventory value, respectively, will be:A．LIFO and FIFO.B．Weighted-average and LIFO.C．LIFO and LIFO.D．FIFO and LIFO.44．P ittman Company management omitted $65,000 of inventory when calculating their 20X8 ending inventory. As a result of this error,A．20X9 total assets will be overstated.B．20X9 cost of goods sold will be understated.C．20X8 stockholders’ equity will be overstated.D．20X9 net income will be understated.45．W hich of these statements regarding GAAP as applied to inventories is true?A．The disclosure principle requires that a company disclose the inventories method(s) used.B．According to the consistency principle, the inventory method can never be changed.C．The lower-of-cost-or-market rule states that, in order to be conservative, declines in inventory prices should be recognized in the period in which the goods are actually sold.D．The materiality principle allows GAAP to be ignored when the result is material in amount.46．T he items below represent expenditures related to the construction of a new47．W hich of the following statements is false?A.Accelerated depreciation methods record more depreciation expense over thelife of an asset than either the straight-line method or the units-of-production method.B.The cost of an asset, its residual value, and its estimated useful life areall used in computing depreciation.C.The units-of-production method is most appropriate for an asset that wearsout due to physical use.nd is never depreciated.Table 3On January 1, 20X8, Guard Security Service purchased an alarm monitoring system for $80,000. The system is expected to be used for 4 years, after which it can be sold for $16,000.48．R efer to Table 3. What is the book value of the equipment of December 31, 20X9, if Guard uses the straight-line method of depreciation?A. $64,000B. $60,000C. $40,000D. $48,000 49．R efer to Table 3. If guard uses the double-declining-balance method of depreciation, what is depreciation expense for 20X9?A. $40,000B. $32,000C. $20,000D. $16,000 50．R efer to Table 3. If Guard sells the equipment for $20,000 at the end of the four years, the journal entry to record the sale will include all of the following except aA．$20,000 debit to Cash.B．$4,000 credit to Gain on Sale of Equipment.C．$20,000 credit to Equipment.D．$64,000 debit to Accumulated Depreciation.51．W hich of the following statements is false?A．Straight-line depreciation can be used for financial reporting or for income tax purposes.B．Double-declining-balance depreciation is the most commonly used method of depreciation in financial reporting.C．The units-of-production method results in higher depreciation in the years when an asset is more productive and lower depreciation in the years when an asset is less productive.D．Accelerated depreciation creates a cash advantage over straight-line because higher amounts of depreciation are deducted on the tax return in the earlier years of an asset’s life resulting in lower taxes paid. 52．W hich of the following is not accounted for as an intangible asset?A. FranchisesB. GoodwillC. TrademarkD. Research anddevelopment53．W hich of the following statements about the statement of cash flows is false?A．Financing activities are not affected by plant asset transactions.B．Depreciation is not a cash flow.C．Amortization of intangibles is added to net income when calculating cash provided by operations.D．The sale of equipment at a loss is recorded as a cash outflow from investing activities.54．F rom the following list of account balances, calculate the correct amount ofA. $12,100B. $61,200C. $13,000D. $59,300 55．I f Roman company issues their $500,000, 10% bonds payable at a premium,A.the debit to Cash is greater than the credit to Bonds Payable.B.The maturity value is greater than the present value of the interest andprincipal payments.C.the market rate of interest must be less than the contract rate of interest.D.Both A and C are true.56．S ister Company issued bonds payable at a discount and uses the effective-interest method of amortization. Which of these statements correctly describes Sister’s financial statements?A．The carrying amount of the bonds on the balance sheet will decrease each interest period.B．The interest expense each interest period will be greater than the cash paid for interest.C．The interest paid will be a constant percentage of the carrying amount.D．The Discount on Bonds Payable will be added to the liabilities on Sister’s financial statements.57．G reta Corporation has outstanding $600,000 of 5-year,8% bonds payable with a carrying value of $604,000. The bonds are retired at 101.5, 2 years ahead of their scheduled maturity date. The journal entry to record the retirement will include all of the following except aA．debit to Extraordinary Loss on Retirement of Bonds Payable, $5,000.B．Credit to Cash, $609,000.C．Debit to Bonds Payable, $604,000.D．Debit to Premium on bonds Payable, $4,000.58．W hen a company reports liabilities on its financial statements: A．the fair market value of long-term debt appears as a part of long-term liabilities on the balance sheet.B．Borrowing and repayment of long-term debt appears as a part of investing activities of the statement of cash flows.C．Deferred credits and deferred income taxes may appear as a part of long-term liabilities on the balance sheet.D．Both operating leases and capital leases are a part of the liabilities section on the balance sheet, and may be either long or short term. Table 4On December 31,20X8, the Orthon Co. reported the following in its comparative financial statement:A.8,,000B. 2,000C.1,000D. 50060．R efer to table 4. Assume Orthon had not paid any dividends in 20X5-20X7. In 20X8, Orthon declared cash dividends of $48,000 to both the preferred and common stockholders. The total dividend received by the common stockholders was (assuming the number of preferred shares did not change):A. $48,,000B. $28,000C.$38,000D. $43,000 61．R efer to Table 4. Assume net income for 20X8 is $66,000, and there are no dividends in arrears. What is Orthon’s return on common stockholders’equity for 20X8?A.30.8%B. 28.5%C.24.6%D. 22.8% 62．R efer to Table 4. Assume that there are no dividends in arrears. What is Orthon’s book value per share of common stock at the end of 20X8?A. $53B. $56.75C. $58D. $71.50 63．W hich of the following transactions increases stockholders’ equity?A. A two-for-one stock splitB.Issuance of stock at a price above par valueC. A 20% stock dividendD.Purchase of treasury stock above par64．T he journal entry to record the distribution of a large stock dividend would include all of the following except:A. Retained Earnings, debitB. Common Stock, creditC. Paid-in Capital in Excess of Par, creditD. All of the above are included in the entry65．W hich one of the following statements is true?A. A large stock dividend increases the number of shares issued, but a stocksplit does not.B. A stock split reduces the market price of the stock, but a large stockdividend does not.C. A stock split does not decrease the par value of the stock, but a large stockdividend does not.D. Both stock splits and stock dividends have no effect on total stockholders’equity.66．O lson Inc. purchased 5,000 shares of its own $1 par value common stock for $16 per share. Later, Olson sold 200 shares of the treasury stock for $20 per share.The entry to record the sale of the treasury stock is:A. Cash 4,000Treasury Stock 4,000B. Cash 4,000Treasury Stock 200Paid-in Capital from Treasury Stock Transactions 3,800C. Cash 4,000Treasury Stock 3,200Paid-in Capital from Treasury Stock Transactions 800D. Cash 4,000Common Stock 200Gain on Sale of Stock 3,80067．W hich of the following transactions would not be found on the statement of cash flows?A．Declaration of a cash dividendB．Purchase of treasury stock above parC．Issuance of preferred stock at a price above parD．Sale of treasury stock at a price below the cost。