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wholesalers - Answer merchandising companies that sell to retailers merchandisers - Answer companies that buy and sell merchandise service companies - Answer companies that do not sell merchandise, sell their services to customers retailers - Answer companies that sell directly to consumers which of the following ordinarily has the shortest operating cycle? - Answer service companies because they do not purchase or produce inventory when using the per...

components of fraud - Answer opportunity rationalization financial pressure The Sarbanes-Oxley Act caused - Answer a system of internal controls independent auditors reasons to establish internal controls - Answer safe guard assets keep the books accurate make operations more efficient compliance with rules from the SEC Primary components of an internal control system - Answer to control the environment asses risk and minimize it control activities h...

Net Income - Answer Revenues - Expenses retained earnings - Answer net income-dividends Ending Retained Earnings - Answer beginning retained earnings + net income - dividends Basic Accounting Equation - Answer Assets=Liabilities-Stockholder's Equity Stockholders' Equity - Answer common stock + retained earnings Net cash flow - Answer cash inflows - cash outflows order of financial statements - Answer I REB C income statement, re...

Bonds Payable - Answer Which of the following is least likely would be classified as a current liability? A company reports the following selected accounts and balances after posting adjusting entries: Accounts payable, $16,000 Nine months, 8%, note payable, $46,000 Income tax expense, $5000 Salaries and wages expense: $23,000 Three-year, 10% note payable, $200,000 Salaries and wages payable: $10,000 Mortgage payable ($22,000 due next year), $1 million Rent payable: $8000 I...

Sole proprietorship - Answer A business owned by one person. Simple to set up and gives you control. Partnership - Answer A business owned by two or more persons who are associated. Partners bring unique skills and sometimes the individuals don't have enough resources on their own. Corporation - Answer A business organized as a separate legal entity owned by stockholders. Anyone can become an owner via stocks. Stocks are easy to sell. Easy to raise funds to due to sale...

At what value are accounts receivable reported on the balance sheet? - Answer Net realizable value The five basic issues in accounting for notes receivable are - Answer 1) determining the maturity date, 2) computing interest, 3) recognizing notes receivable, 4) valuing notes receivable, and 5) disposing of notes receivable. Michael Co. accepts a $4,000, 3-month, 12% promissory note in settlement of an account with Tony Co. Michael Co. records this transaction as - Answer...

Purchase using Perpetual Method - Answer Inventory xxx A/P xxx (if purchase was made on account) Purchase Return using Perpetual Method - Answer A/P xxx Inventory xxx (if purchase was made on account) Purchase Discount using Perpetual Method - Answer A/P xxx Cash xxx Inventory xxx (if purchase was made on account) Purchase Shipping - Answer Inventory xxx Cash xxx (if FOB shipping point) Net Purchases - Answer Purchase Price + Shipping? Fre...

Conservation Principle - Answer firms should NOT overstate assets and revenues or understate liabilities and expenses Lower of Cost or Market Principle - Answer Inventory should be valued at the lower of replacement cost or market value Gross Profit/Gross Margin - Answer = Net Sales Rev - Cost of Goods Sold Contra Revenue - Answer -pulling value away from your revenue - Net Income - Answer = GP - operating expenses Gross Profit Rate - Answer = ...

Which of the following is true with regards to the forms of business organization? - Answer Stockholders are generally not personally liable for their corporations' debts. Which of the following are considered to be an internal user of accounting data for a company? - Answer - A salesperson of a company - The president of a company - The finance director of a company NOT - Owners of the company Which of the following is the most appropriate definition of accounting infor...

PCB 4674 | PCB4674 Exam 2: Evolution - Florida State University Updated and Latest Questions and Correct Answers with Rationale