FIN 461 OLE MISS WALKER BACK OF
BOOK MULTIPLE CHOICE CH. 1-3
QUESTIONS WITH 100% CORRECT
ANSWERS!!
1 of 46
Term
Which of the following elements of financial statements is most
closely related to measurement of financial position?
Give this one a try later!
debt expenses
asset equity
, Don't know?
2 of 46
Term
A group of individuals formed a new company with an investment of
$500,000. The most likely effect of this transaction on the company's
accounting equation at the time of the formation is an increase in
cash and:
Give this one a try later!
an increase in retained earnings a decrease in cash reserves
an increase in contributed
capital a decrease in liabilities
Don't know?
3 of 46
Term
On April 30, 2006, Pinto Products received a cash payment of
$30,000 as a deposit on production of a custom machine to be
delivered in August 2006. This transaction would most likely result in
which of the following on April 30, 2006?
, Give this one a try later!
an an increase in liabilities of
increase in revenue of $30,000
$30,000
a decrease in expenses of $30,000 a decrease in cash of $30,000
Don't know?
4 of 46
Term
Which of the following is NOT a constraint on the financial
statements according to the Conceptual Framework (2010)?
Give this one a try later!
understandability faithful representation
timeliness accuracy
Don't know?
5 of 46
Term
BOOK MULTIPLE CHOICE CH. 1-3
QUESTIONS WITH 100% CORRECT
ANSWERS!!
1 of 46
Term
Which of the following elements of financial statements is most
closely related to measurement of financial position?
Give this one a try later!
debt expenses
asset equity
, Don't know?
2 of 46
Term
A group of individuals formed a new company with an investment of
$500,000. The most likely effect of this transaction on the company's
accounting equation at the time of the formation is an increase in
cash and:
Give this one a try later!
an increase in retained earnings a decrease in cash reserves
an increase in contributed
capital a decrease in liabilities
Don't know?
3 of 46
Term
On April 30, 2006, Pinto Products received a cash payment of
$30,000 as a deposit on production of a custom machine to be
delivered in August 2006. This transaction would most likely result in
which of the following on April 30, 2006?
, Give this one a try later!
an an increase in liabilities of
increase in revenue of $30,000
$30,000
a decrease in expenses of $30,000 a decrease in cash of $30,000
Don't know?
4 of 46
Term
Which of the following is NOT a constraint on the financial
statements according to the Conceptual Framework (2010)?
Give this one a try later!
understandability faithful representation
timeliness accuracy
Don't know?
5 of 46
Term
