Test Bank For Computer Accounting with QuickBooks Online, 24th Edition All Chapters - 9781266787256.pdf

TEST BANK FORACCOUNTING, 25TH ED
N N N N N




ITION

,Chapter 1--Introduction to Accounting and Business
N N N N N




Student:N

1. TheNmainNobjectiveNofNaNnot-for-
profitNbusinessNisNnotNtoNmakeNaNprofit.NTrue False



2. AnNexampleNofNanNexternalNuserNofNaccountingNinformationNisNtheNfederalNgovernmen
t.NTrue False



3. ANcorporationNisNaNbusinessNthatNisNlegallyNseparateNandNdistinctNfromNitsNowner
s.NTrue False



4. AboutN90%NofNtheNbusinessesNinNtheNUnitedNStatesNareNorganizedNasNcorporation
s.NTrue False



5. TheNroleNofNaccountingNisNtoNprovideNmanyNdifferentNusersNwithNfinancialNinformationNtoNmakeNeconom
icNdecisions.
True False



6. ProprietorshipsNareNownedNbyNoneNownerNandNprovideNonlyNservicesNtoNtheirNcustomer
s.NTrue False



7. OnlyNlargeNcompaniesNsuchNasNWal-
Mart,NJCP,NGeneralNMotors,NandNtheNBankNofNAmericaNcanNbeNorganizedNasNcorporations.
True False



8. AccountingNinformationNusersNneedNreportsNaboutNtheNeconomicNactivitiesNandNconditionNofNbusinesse
s.NTrue False

,9. SeniorNexecutivesNcannotNbeNcriminallyNprosecutedNforNtheNwrongNdoingsNtheyNcommitNonNbehalfNofNt
heNcompaniesNwhereNtheyNwork.
True False



10. TheNprimaryNroleNofNaccountingNisNtoNdetermineNtheNamountNofNtaxesNaNbusinessNwillNbeNrequiredNtoNpayN
toNtaxingNentities.
True False



11. AnNaccountNreceivableNisNtypicallyNclassifiedNasNaNrevenue
.NTrue False



12. ManagerialNaccountingNinformationNisNusedNbyNexternalNandNinternalNusersNequall
y.NTrueFalse



13. FinancialNaccountingNprovidesNinformationNtoNallNusers,NwhileNtheNmainNfocusNforNmanagerialNaccountingNisN
toNprovideNinformationNtoNtheNmanagement.
True False



14. ProperNethicalNconductNimpliesNthatNyouNonlyNconsiderNwhat'sNinNyourNbestNinteres
t.NTrue False



15. SomeNofNtheNmajorNfraudulentNactsNbyNseniorNexecutivesNstartedNasNwhatNtheyNconsideredNtoNbeNsmallNethic
alNlapsesNwhichNgrewNoutNofNcontrol.
True False



16. TwoNfactorsNthatNtypicallyNleadNtoNethicalNviolationsNareNrelevanceNandNtimelinessNofNaccountingNinformatio
n.NTrueFalse



17. ANbusinessNisNanNorganizationNinNwhereNbasicNresourcesNorNinputs,NlikeNmaterialsNandNlabor,NareNassembledNa
ndNprocessedNtoNprovideNoutputsNinNtheNformNofNgoodsNorNservicesNtoNcustomers.
True False

, 18. TheNFinancialNAccountingNStandardsNBoardN(FASB)NisNtheNauthoritativeNbodyNthatNhasNprimaryNresponsibilit
yNforNdevelopingNaccountingNprinciples.
True False



19. TheNcostNconceptNisNtheNbasisNforNenteringNtheNexchangeNpriceNintoNtheNaccountingNrecord
s.NTrue False



20. TheNunitNofNmeasurementNconceptNrequiresNthatNeconomicNdataNbeNrecordedNinNaNcommonNunitN
ofNmeasurement.
True False



21. IfNaNbuildingNisNappraisedNforN$85,000,NofferedNforNsaleNatN$90,000,NandNtheNbuyerNpaysN$80,000NcashNforNit,Nt
heNbuyerNwouldNrecordNtheNbuildingNatN$85,000.
True False



22. GenerallyNacceptedNaccountingNprinciplesNregulateNhowNandNwhatNfinancialNinformationNisNreportedNb
yNbusinesses.
True False



23. TheNaccountingNequationNcanNbeNexpressedNasNAssetsN-
NLiabilitiesN=NOwner'sNEquity.NTrue False



24. TheNrightsNorNclaimsNtoNtheNassetsNofNaNbusinessNmayNbeNsubdividedNintoNrightsNofNcreditorsNandNrightsN
ofNowners.
True False



25. TheNowner’sNrightsNtoNtheNassetsNrankNaheadNofNtheNcreditors'NrightsNtoNtheNasset
s.NTrue False



26. IfNtheNliabilitiesNowedNbyNaNbusinessNtotalN$300,000NandNownersNequityNisNequalNtoN$300,000,NthenNtheNass
etsNalsoNtotalN$300,000.
True False