IU A100 Exam 2 Questions with Verified Correct
Answers
Income statement - CORRECT ANSWER -revenues-expenses=net income
Detailed income statement - CORRECT ANSWER -sales-cost of goods sold=gross
profit-operating expenses=net income from operations+/-gain/loss on sale of
assets=net income
Cash flow statement - CORRECT ANSWER -beginning cash balance+/-net cash
flows from operating/investing/financing activities=ending cash balance
Statement of retained earnings - CORRECT ANSWER -beginning retained
earnings+net income-dividends paid=ending retained earnings
Balance sheet - CORRECT ANSWER -assets=liabilities+stockholders equity
Stockholders equity - CORRECT ANSWER -common stock+ending retained earnings
Tax - CORRECT ANSWER -income-deductions=taxable income*0.21=tax expense-
credits/prepayments=amount owed/refunded
Net income/loss from taxes - CORRECT ANSWER -taxable income-tax expense=net
income/loss
Answers
Income statement - CORRECT ANSWER -revenues-expenses=net income
Detailed income statement - CORRECT ANSWER -sales-cost of goods sold=gross
profit-operating expenses=net income from operations+/-gain/loss on sale of
assets=net income
Cash flow statement - CORRECT ANSWER -beginning cash balance+/-net cash
flows from operating/investing/financing activities=ending cash balance
Statement of retained earnings - CORRECT ANSWER -beginning retained
earnings+net income-dividends paid=ending retained earnings
Balance sheet - CORRECT ANSWER -assets=liabilities+stockholders equity
Stockholders equity - CORRECT ANSWER -common stock+ending retained earnings
Tax - CORRECT ANSWER -income-deductions=taxable income*0.21=tax expense-
credits/prepayments=amount owed/refunded
Net income/loss from taxes - CORRECT ANSWER -taxable income-tax expense=net
income/loss
