TEST BANK For Intermediate Accounting, 11th Edition by David Spiceland, Mark Nelson, | Verified Chapters 1 - 21 | Complete Newest Version

Test Bank For Intermediate Accounting, 11th
Edition by Spiceland, Mark Thomas, Jennifer
Complete Verified Chapters




Version 1 1

,AnswerlKey


Testlname:lchapterl1l 1)

TERM PHRASE
Termlnumberlt
hatlmatcheslthe
lphrase.
1. Predictivelvalue Informationlislusefullin 1
projectinglcashlflows.
2. Relevance Pertinentltoltheldecisionlat 2
hand.
3. Distributionltolown Informationlislavailablelprior 5
ers toltheldecision.
4. Confirmatorylv Decreaselinlequitylduelto 3
alue transfersltolowners.
5. Timeliness Informationlconfirms 4
expectations.
2)

TERM PHRASE
Termlnumberlt
hatlmatcheslthe
lphrase.
1. Gain Alonglwithlrelevance,la 5
fundamentalldecision-specificl quality.
2. Materiality Resultsliflanlassetlislsoldlfor 1
morelthanlbooklvalue.
3. Completeness Containslalllinformation 3
necessarylforlfaithfull representation.
4. Comprehensiveli Thelchangelinlequitylfrom 4
ncome nonownerltransactions.




Version 1 2

, 5. Faithfull repres Concernsltheldecision-making 2
entation impactloflbothlthelamountlandl naturelofl
anlitem.
3)

TERM PHRASE
Termlnumberl t
hatlmatchesl the
lphrase.
1. Neutrality Importantlinlanalysislbetween 2
firms.
2. Comparability Accountinglinformationlshould 1
belunbiased.
3. Consistency Theldecisionltolincludelan 5
amountlinlthelfinanciall statements.
4. Cost-effectiveness Applyinglthelsamelaccounting 3
practicesloverltime.
5. Recognition Considerslthelvalueloflusing 4
informationlrelativeltolcostlofl providinglit.
4)

TERM PHRASE
Termlnumberl t
hatlmatchesl the
lphrase.
1. Monetarylunitl as Implieslconsensuslamong 2
sumption differentlobservers.
2. Verifiability Assumeslallltransactionslcanlbe 3
identifiedlwithlalparticularl entity.
3. Economiclentityl ass Assumeslanlentitylwilllcontinue 4
umption toloperatelindefinitely.
4. Goinglconcernl a Requireslreportinglthe 5
ssumption financialllifeloflanlentitylinl discreteltimelframes.
Ignoreslthelpossibilitylof 1
5. Periodicitylass inflation.
umption
5)

TERM PHRASE Termlnumber
thatlmatches
thelphrase.
1.lHistorical cost Basisloflmeasurementlforlfixed 1


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, assets.
2. Materiality Discountslfuturelcashlflows. 5
3. Revenuelr Occurslwhenlgoodslorlservices 3
ecognition areltransferredltolthel custome
r.
4. Fullldisclosure Reportingloflalllinformation 4
thatlcouldlaffectldecisions.
5. Presentlvalue ApplicationloflGAAPlsometimes 2
avoidedlunderlthislconstraint.
6)

TERM PHRASE
Termlnumberlt
hatlmatcheslthe
lphrase.
1. FinanciallAccountingl Undermineslrepresentational 3
StandardslBoard faithfulnesslbylbeingl inconsistentlwithlne
2. Accountingl Princ utrality.
ipleslBoard ItlestablishedlGAAPlbeforelthe 2
FASB.
3. Conservatism ItslEITFlIssueslarelGAAPlwhen 1
enteredlinlthelAccountingl StandardslCodificati
on.
4. AmericanlInstitute ItlhaslthelauthorityltolsetlU.S. 5
loflCPAsl (AICPA) accountinglstandards.
5. SecuritieslandlExcha
ngelCommission Itlislthelnationallorganization 4
7) forlCPAslinlthelUnitedlStates.

TERM PHRASE
Termlnumberl t
hatlmatcheslthe
1. Expenses Net assets. lphrase.2
2. Equity Outflows of resources to 1
generate revenues.
3. Distributions to Cash dividends. 3


owners
4. Investmentslbylo Claimsloflcreditorslagainst 5
wners thelassetsloflalbusiness.
5. Liabilities Transfersloflresourceslin 4
exchangelforlcommonlandl preferredlstock.


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