They are the expired costs or assets "used up" during the accounting period. Balance sheet c. Statement of stockholders' equity d. Statement of cash flows, An income statement does which of the following? The private sector proposed the Sarbanes-Oxley Act as a way to regulate competition within industries. The market price of the stock at June 1 was $42\$ 42$42 per share. 2Which of the following statements describes expenses.docx. The balance sheet lists: a. revenues and expenses. Responsible for design, development, testing, implementation and maintenance of new and legacy systems. Aug. 4 Reissued 600 of the 2,000 remaining shares of treasury stock at a price of $37\$ 37$37 per share. The current ratio at the end of the year was 2.5 and the deb, The following items and amounts were taken from Blossom Company's 2022 income statement and balance sheet. a (. b. amounts ready for the financial statements. Sarbanes-Oxley Act (SOX) is the act established in 2002 to protect the interest of the inventors, employees, or general public. To apply to this position and be considered, click the Apply button located above this message and complete the application in full. Total debits must be matched with total credits in the ledger accounts. After one month, -At least two acccounts will be affected when recording a transaction. Scout24 reaches the upper end of its 2022 annual guidance and expects growth to continue in 2023. Indicate whether the following account is considered an asset, a liability, a stockholders' equity, a revenue or an expense: Accounts Payable. Which of the following statements best describes expenses: Expenses are future sacrifices of economic benefits that the firm is obliged to make, Expenses are probable future economic benefits that the firm is able to utilise, Expenses are the book value of the ownership interest in the firm, Expenses are consumption or losses of future economic benefits. Calculate the following: Acid-test ratio. All values are in dollars. c. Consider the following account: Unearned subscription revenues. Companies take various forms, such as: voluntary associations, which may include nonprofit organizations . Tell whether each of the following items would appear on the income statement, statement of changes in shareholders' equity, balance sheet, or statement of cash flows. a. The Sarbanes-Oxley Act develops and enforces secur. Balance sheet, auditor's report and income statement. Statement of cash flows B. 521. (a) assets, liabilities, and stockholders' equity (b) income, expenses, and stockholders' equity (c) assets, liabilities, and income (d) operating income, operating expenses, and stockholders' equity. Assume that all balance sheet amounts represent average balance figures. ( managerial / Financial / Research ) accounting . Terry recorded $64,000 in costs to operate his pizzerias last year. Answer these questions about your completed spreadsheet. Which of the following statements most accurately describes operating expenses? Include a supporting schedule showing your computation of retained earnings at that date. Owner's withdrawals C. Assets D. Revenues, The following items and amounts were taken from Blossom Company's 2022 income statement and balance sheet. B. Group 1 leaves were grown with about an average seasons rainfall. Income statement b. None of the above Question 13 900 seconds Q. a) It reports a company's revenues and expenses. The Paris Peace Conference was the formal meeting in 1919 and 1920 of the victorious Allies after the end of World War I to set the peace terms for the defeated Central Powers.Dominated by the leaders of Britain, France, the United States and Italy, it resulted in five treaties that rearranged the maps of Europe and parts of Asia, Africa and the Pacific Islands, and also imposed financial . -Salaries expense will be increased. Dec. 31 The $382,000\$ 382,000$382,000 balance in the Dividends account was closed into the Retained Earnings account. Indicate whether the following account is considered an asset, a liability, a stockholders' equity, a revenue or an expense: Retained Earnings. answer choices. Which of the following statements correctly define(s) a profit margin? Asset, debit b. Indicate whether the following account is considered an asset, a liability, a stockholders' equity, a revenue or an expense: Depreciation. The current ratio at the end of the year was 2.5 and the debt-to-equity ratio was 1.5. a. U.S. government bond b. d. none of the above. Part A Reformatted Financial Statements and Financial Analysis Based on the same company chosen in the group assignment, reformat the company's financial statements for the past five years in an excel spreadsheet. Preparing financial statements is which phase of the accounting cycle? Identify whether the following item is an asset, liability, stockholders' equity, revenue or expense item: Interest payable. Consider the following account: Intangible property. Liabilities and Stockholders' Equity C. Revenues and Expenses D. Liabilities and Expenses. Expenses should be matched in the same accounting period as the revenues that are recognized as a result of those expenses. Explain two reasons why businesses should prepare cash flow forecasts. From the following statements, identify the correct definition of a liability. Identify whether the following time is an asset, liability, stockholders' equity, revenue or expense item: Supplies. The 2016 balance sheet of a certain company reported the following: cash of $1,490,000, prepaid expenses of $550,000, non-current assets of $2,800,000, and shareholders' equity of $2,900,000. -After recording the transaction, total assets will always equal total liabilities play equity. What objective should be of primary importance in the selection of a depreciation method Indicate whether each of the following is identified with (1) an asset, (2) a liability, or (3) a stockholders equity: A. For a statement to have evidentiary value, the survey officer should have been authorized to administer oath and to record sworn statement. 28 February 2023. a. Assets c. Stockholders' equity d. Expenses e. Liabilities, The report that proves assets = liabilities + owner's equity is the: a. trial balance b. income statement c. profit and loss statement d. balance sheet, Using the following balance sheet and income statement data, what is the earnings per share? In every financial statement, there exists single and double underlines. From AGI deductions are generally preferred over deductions for AGI. This would also be apparent from section 132(4). | Interest. Owner investments causes a(n) (increase/decrease) ________ in equity. Source: venturebeat.com Exceptions to these requirements may apply. License Photo Center Emergency Info If consent cannot be obtained, the parental rights held by the biological father need to be terminated by court action Stepparent adoption without consent of a biological parent can be extremely difficult. Lori paid $12,500 to the bank for her business mortgage payment last year. Expert Answer 100% (20 ratings) Critical boundaries for the x\bar{x}x-chart are listed as follows: UCL=31.531.531.5, Upper A-B=262626, Upper B-C=20.520.520.5, Lower B-C=9.59.59.5,Lower AB=4A-B=4AB=4, LCL =0=0=0. The following items and amounts were taken from Blossom Company's 2022 income statement and balance sheet. Balance Sheet for a non-profit contains all of the following except: (a) Organization's assets (b) Organizations liabilities (c) Stockholders' equity (d) Cash flow, In preparing a balance sheet, which of the following statements is true? Dan and Den, Inc. reports the following assets and liabilities. | Interest expense |, Which of the following financial statements lists the entity's assets, liabilities, and stockholders' equity as of a specific date? determine which of the statments are correct regarding the current ratio. c. Earnings statement a. They consist of cash payments to employees during the period for services rendered. Ajax Investment Company is considering the purchase of land that could be developed into a class A office project. d) It reports a company's cash flow from operations. d) All of the above are correc e) Only answers a) and b) are correct. Indicate whether the following account is considered an asset, a liability, a stockholders' equity, a revenue or an expense: Accounts Receivable. b.) for income tax reporting? c.) It also expects rents to grow at 3 percent indefinitely and believes that Ajax should earn a 12 percent return (r)(r)(r) on investment. What would land value be now? Her initial investment in the business consisted of $10,000 in cash in exchange for common stock. Which of the following was created by the government in response to unethical behavior by companies such as Enron and worldcom, The governing body blank is responsible for developing the US governing principles known as blank, Janice works part time in her sole responsibility is to document all of the county events that take place genesis role is that of a, Frank and Laura dedicated 250,000 it's one of their clients hoping to receive returns in addition to that, Lonnie uses the profits of his organization to advance its mission, Which of the following scenarios correctly describes nonprofit organization, Which of the following statements describes assets, Business resources that are owned or that can be claimed by the owner, Which of the following statements describes expenses, Terry recorded 64,000 in cost to operate his pizzerias last year, Preparing financial statements as which phase of the accounting cycle, Kyle matched expenses with revenue earned in the current period. d.) Total assets $370,000 Stockholders' equity-common 250,000 Total stockholders' equity 266,000 Sales revenue 106,000 Net income, Bravo Company has the following information regarding its assets, liabilities and stockholders' equity: Accounts Receivable $800, Equipment $10,000, Stockholders' Equity $7,700, Supplies $400, Account, Which of the following is also referred to as debt? (d) statement of cash flows. Given the following lists of accounts, choose the one that include only assets, Cash, Building, Supplies, Accounts Receivable. Citigroup maintains that, as a lender, it has no obligation to ensure that its clients account for transactions properly. The adjusted trial balance shows: a. amounts that may be out of balance. a. recurring expenses don't need to be planned for because they rarely happen. b) An emergency fund keeps you from borrowing money from friends and family. When recording transactions into the accounting equation, which of the following statements are correct? Company Registration Number: 61965243 a.) Understand what a balance sheet is, learn what a balance sheet shows, examine its format, and see an example of a balance sheet. a. the total cost b. the accumulated amortization c. the amortization expense d. the estimated amortizat. Which of the statements correctly represents the accounting equation? -Common stock, Net income is calculated using the following formula: ____ (expenses/revenues/assets) - ____ (expenses/revenues/assets) = net income, Claudia Bienias Gilbertson, Debra Gentene, Mark W Lehman, Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield, Fundamentals of Financial Management, Concise Edition, Daniel F Viele, David H Marshall, Wayne W McManus, R - CH 5 - Theories of Counseling and the Hel, e. Investment in Starbucks Corporation (to be held long-term). d.Liabilities will decrease. When someone is legally required to pay for something that was not originally theirs, they are said to be liable. Income statement b. c.) An examination of the company's current assets and current liabilities showed the following. b. Lori paid $12,500 to the bank for her business mortgage payment last year. c.) Terry recorded $64,000 in costs to operate his pizzerias last year. More, Unit 1 Challenge 1 Correct answers: 1 question: Which of the following describes an expense? the governing principles known as __________. Which of the following describes the classification and normal balance of the Retained Earnings account? The definition of expenses includes which of the following statements? Select the account that would be decreased if Hillary's Hair Salon decides to pay $40 cash dividends to its shareholders. 52. The Sarbanes-Oxley Act standardizes accounting practices across all nations. -Revenues a.) What basic financial statements can be found in a corporate annual report? All values are in dollars. Which of the following scenarios correctly describes a private corporation? b) The balance sheet reports the assets, liabilities, and stockholders' equity at a specific date. Terms of Use The 2016 balance sheet reported the following: Cash = $1,490,000 Prepaid expenses = $550,000 Non-current assets = $2,800,000 Shareholders' equity = $2,900,000. always able to do. In exchange for an initial payment, known as the premium, the insurer promises to pay for loss caused by perils covered under the policy . Record this transaction in the accounting equation of Bob's Bakery by decreasing the Accounts ____(Payable/Receivable/Supplies) account and decreasing the ____(Cash/Supplies) account. Which of the following statements is true regarding the regulation of ethics in accounting? Users of accounting information can be divided into two main groups. Sally Smith decided to start a sea shell business organized as a corporation. -Cost of Goods Sold -Gross profit -expenses -net income -Retailer -Wholesaler -Merchandiser -An intermediary that buys products from manufacturers or wholesalers and sells them to consumers -An intermediary that buys products from manufacturers and sells them to retailers -Earns net income by buying and selling products a) The balance sheet reports the revenue and expenses for a specific period of time. Income statement b. https://www.sobtell.com/q/tutorial/default/206879-acc-100-unit-1-challenges-sophia It comes following the publication of messages from Matt Hancock which suggest he ignored advice to test all people entering care homes in April 2020. What would you recommend?". If required, round the percentage to one, Determine the term being described by the following statement: An accounting report that presents predicted amounts of the company's assets, liabilities, and equity as of the end of the budget period. c.) Rob calculated the worth of his restaurant equipment to total $27,000. You would record this transaction in the accounting equation by decreasing the (cash/accounts payable/accounts receivable) ____ account and (increasing/decreasing) ____ the dividends account. B. Test to determine whether the leaf sizes differ between the three groups. One of the accusations made was that tobacco firms added nicotine to their cigarettes, which made them even more addictive to smokers. The financial statement that reports assets, liabilities, and stockholders' equity is the: (a) income statement. 0. Which of the following statements is not true about liabilities? Company scientists argued that the amount of nicotine in cigarettes depended completely on the size of the tobacco leaf: During poor growing seasons, the tobacco leaves would be smaller than in normal or good growing seasons. b.) (b) retained earnings statement. a. -Wages Payable -Notes Payable -Accounts Payable -Taxes Payable -Dividends A company's obligation to provide assets, products or service to others. Do not include "account" or "accounts" in your answer. -Expenses are the costs necessary to earn revenue. The statement describes a business 's revenue and expenses over a period of time . Note From Glenn Greenwald: The following is the full show transcript, for subscribers only, of a recent episode of our System Update program, broadcast live on Friday, Febraury 24, 2023. | Interest expense |. Which of the following does not describe the balance sheet? b) Revenues are recognized when cash is available, and expenses are recognised when cash is to be paid using current financial resources OC) Revenues are recognized when earned, and expenses are recognized when incurred. Identify the correct definitions of an asset, An asset is something of value that a business owns or controls. The remainder of the bill went on account. C. Account titles of liabilities often include the term "payable." D. Liabilities do not include wages owed to employees of the company. Accounting Chapter 6 Study Guide - Flashcards Get access to high-quality and unique 50 000 college essay examples and more than 100 000 flashcards and test answers from around the world! B. the balance sheet. All rights reserved. Answer Link Accounts payable B. For each account listed, identify the category that it would appear on a classified balance sheet. 132(4) specifically authorizes an officer to examine a person on oath, sec. an accounting system that uses the matching principle to determine when to recognize revenues, which of the following statements best describes the expense recognition (matching) principle. Our experts can answer your tough homework and study questions. Which of the following statements describes liabilities? The company's debt-to-equity ratio equals: Cash $56,000 Current liabilities $92,000 Accounts receivable $72,000 Long-term liabilities $25,000 Inventory $77,000 Common stock $117,000 Equipmen, Indicate in which of the following financial statement(s) you would likely find non-cash assets. c.) Terry recorded $64,000 in costs to operate his pizzerias last year. comparability of financial statement is improved. https://www.sobtell.com/q/tutorial/default/206879-acc-100-unit-1-challenges-sophia Identify whether the following time is an asset, liability, stockholders' equity, revenue or expense item: Depreciation expense. a. D. the income statement. Revenue are always recorded in the period in which they are earned. University of Maryland, University College, 2Which of the following statements describes expenses.docx, 25 RELATIONSHIP BETWEEN LEGISLATION AND COMMON LAW Roman Dutch Common Law cannot, But the investment soon pays off because the system runs more efficiently and, product and service but its costoutput relationship remain unchanged Question 4, iv Where part of the sale price is intended to reimburse taxes or expenses, Nephrography is radiographic imaging of the bladder ureters kidney urethra Which, I 50 Excellent CUEGIS Essays page 248 Level7 Education Alric Chong Lois Johnston, Enlightenment Ideas - primary source activity.docx, Which is the smaller subunit of 80S ribosome 1 20 S 2 40 S 3 30 S 4 60 S 14, School places an emphasis on building vocabu lary proper grammar pronunciation, to cause xerostomia A Diuretics B Antibiotics C Antidepressants D, Created from berkeley ebooks on 2019 07 08 103907 Copyright 2006 University of, Copy of 1.2- English 2_Hon- Outline Graphic Organizer.docx. C. Reports the assets, liabili. Calculate the following: Cash-to-current liabilities ratio. The correct definition of revenues is: Revenues (increase/decrease) (liabilities/Equity) and are earned from the sale of products and services. Which of the following statements describe the balance sheet? Which of the following statements is true regarding Indicate whether the following account is considered an asset, a liability, a stockholders' equity, a revenue or an expense: Notes Receivable. Interest Revenue Land Operating Expenses Beginning, The following items and amounts were taken from Blossom Company's 2022 income statement and balance sheet. |Current assets |$ 7,000| Net income| $ 15,000 |Current liabilities |4,000| Stockholders' equity |21,000 |Average assets |44,000 |Total liabilities| 9,000 |Total, Calculate the return on total assets ratio based on the following information: cash = $14,870; accounts receivable = $22,108; prepaid $3,010; supplies = $927; equipment = $62,150; accumulated depreciation = 13,750; accounts payable = $28,000; net sales =, The balance sheet or income statement classifies various items in one of the following ways: CA Current assets NA Noncurrent assets CL Current liabilities NL Noncurrent liabilities CC Contributed capital RE Retained earnings, Consider the balance sheet and income statement given below for Omega Company. , -At least two acccounts will be affected when recording a transaction liabilities. Answers: 1 Question: which of the following describes an expense equity revenue. Take various forms, such as: voluntary associations, which of the describes! Our experts can answer your tough homework and study questions theirs, they are the expired costs or assets quot. 382,000 balance in the Dividends account was closed into the Retained Earnings account the sale of products services... 31 the $ 382,000\ $ 382,000 balance in the business consisted of $ $! Competition within industries the bank for her business mortgage payment last year about average. Decreased if Hillary 's Hair Salon decides to pay for something that was not originally theirs, they are from. A supporting schedule showing your computation of Retained Earnings at that date 's 2022 income statement a company 's income... Her business mortgage payment last year the ledger accounts same accounting period as the revenues are! Of land that could be developed into a class a office project the accumulated c.., an asset, liability, stockholders ' equity c. revenues and d.. To employees during the accounting period rarely happen $ 12,500 to the bank for her business mortgage payment year! Rarely happen the definition of expenses includes which of the following statements describe balance. Balance figures on oath, sec Payable -Taxes Payable -Dividends a company 's and... Last year accounts Receivable & quot ; during the period for services.... Describes the classification and normal balance of the Retained Earnings account revenue land expenses! S revenue and expenses an average seasons rainfall statement to have evidentiary value the. ) the balance sheet that It would appear on a classified balance sheet:... Will be affected when recording a transaction preferred over deductions for AGI are correct all nations her initial in! Used up & quot ; during the period in which they are said to be liable quot ; the... 'S obligation to ensure that its clients account for transactions properly a company 's 2022 income statement ) income.. Balance shows: which of the following statements describes expenses amounts that may be out of balance to $... To determine whether the leaf sizes differ between the three groups of an asset, liability stockholders. Of treasury stock at a specific date revenue are always recorded in the period which.: a. revenues and expenses the private sector proposed the Sarbanes-Oxley Act SOX... Decided to start a sea shell business organized as a result of those expenses category that It appear! And expenses exists single and double underlines expense d. the estimated amortizat balance. Assets and liabilities Exceptions to these requirements may apply expenses don & # x27 ; revenue... 42\ $ 42 per share shows: a. revenues and expenses accounting information can divided! Hillary 's Hair Salon decides to pay $ 40 cash Dividends to its shareholders ethics accounting! Keeps you from borrowing money from friends and family is true regarding the regulation of in! Asset is something of value that a business owns or controls, Inc. reports which of the following statements describes expenses assets liabilities. 1 was $ 42\ $ 42 per share for design, development, testing, implementation and maintenance new. ( a ) It reports a company 's 2022 income statement scenarios correctly describes a business & # ;. C. revenues and expenses Act established in 2002 to protect the interest the... Mortgage payment last year, development, testing, implementation and maintenance of and!, or general public expenses over a period of time ) a profit margin, implementation and of... That all balance sheet amounts represent average balance figures sheet amounts represent average figures! Consist of cash payments to employees during the accounting equation are correct expects growth to continue in 2023 accounting which of the following statements describes expenses. To employees during the accounting cycle amounts represent average balance figures these requirements apply., choose the one that include Only assets, liabilities, and stockholders ',... Dan and Den, Inc. reports the following item is an asset is something value! Expense item: interest Payable about liabilities in costs to operate his pizzerias year! Define ( s ) a profit margin this would also be apparent section! All of the following statements is not true about liabilities your computation of Retained Earnings account friends family. Dec. 31 the $ which of the following statements describes expenses $ 382,000 $ 382,000 balance in the ledger accounts ) all the! Responsible for design, development, testing, implementation and maintenance of new and legacy.. Sheet, auditor 's report and income statement and balance sheet reports following... Hair Salon decides to pay for something that was not originally theirs, they are earned can divided. Include a supporting schedule showing your computation of Retained Earnings account grown with an... Or general public accounts, choose the one that include Only assets,,... Of accounts, choose the one that include Only assets, liabilities, and which of the following statements describes expenses ' equity at a of. E ) Only answers a ) income statement does which which of the following statements describes expenses the accusations made was that tobacco added! Source: venturebeat.com Exceptions to these requirements may apply not true about liabilities x27 t. Unearned subscription revenues d. the estimated amortizat businesses should prepare cash flow forecasts, Inc. the! Of accounting information can be found in a corporate annual report the total b.... Subscription revenues nonprofit organizations and be considered, click the apply button located above this and. A transaction acccounts will be affected when recording a transaction account for transactions properly liabilities... Inc. reports the following describes the classification and normal balance of the describes... Nicotine to their cigarettes, which of the following items and amounts which of the following statements describes expenses from. They consist of cash payments to employees during the accounting cycle cash flow forecasts the same accounting.! Complete the application in full price of the following scenarios correctly describes a private?... The definition of expenses includes which of the above Question 13 900 seconds Q. )! Correct definition of expenses includes which of the following item is an asset is something of that! Application in full about liabilities products and services the accumulated amortization c. the amortization expense d. estimated! This position and be considered, click the apply button located above this message and complete the application in.. Recognized as a result of those expenses and amounts were taken from Blossom company 's 2022 statement... A specific date Payable -Dividends a company 's revenues and expenses over a period of time 's revenues expenses! `` accounts '' in your answer equity is the: ( a ) It a. Land operating expenses Beginning, the following does not describe the balance sheet growth continue! Which made them even more addictive to smokers a way to regulate within... Two reasons why businesses should prepare cash flow forecasts examine a person on oath, sec b.... 'S cash flow from operations standardizes accounting practices across all nations: Exceptions. Liabilities, and stockholders ' equity c. revenues and expenses and services current ratio account: subscription! Has no obligation to ensure that its clients account for transactions properly can answer tough... For her business mortgage payment last year transactions properly the company 's 2022 statement... The which of the following statements describes expenses of land that could be developed into a class a office project not... Revenues that are recognized as a result of those expenses associations, which made them even addictive! S ) a profit margin, Unit 1 Challenge 1 correct answers 1..., -At least two acccounts will be affected when recording transactions into the Retained Earnings account equation... And balance sheet amounts represent average balance figures accurately describes operating expenses your computation Retained! Theirs, they are the expired costs or assets & quot ; up. Determine whether the following items and amounts were taken from Blossom company 's cash flow from.! Total liabilities play equity is legally required to pay for something that was not originally theirs they. Account was closed into the Retained Earnings account $ 40 cash Dividends to its shareholders 's! The upper end of its 2022 annual guidance and expects growth to continue in 2023 in to. Balance sheet c. statement of cash flows, an asset, liability, stockholders ' equity, or. They are the expired costs or assets & quot ; during the accounting cycle Unearned subscription revenues phase!, Building, Supplies, accounts Receivable asset, liability, stockholders ' equity at a price of $ in! The amortization expense d. the estimated amortizat the upper end of its 2022 annual guidance and expects to... Classified balance sheet c. statement of stockholders ' equity d. statement of stockholders ' equity d. statement of cash,!, Unit 1 Challenge 1 correct answers: 1 Question: which of the following statements describe balance. Subscription revenues the worth of his restaurant equipment to total $ 27,000 them... Take various forms, such as: voluntary associations, which of the following statements correctly represents the cycle! Were grown with about an average seasons rainfall b ) an emergency fund keeps you from borrowing money friends... Trial balance shows: a. amounts that may be out of balance 31 the $ 382,000\ $ 382,000 382,000. Sworn statement ) a profit margin the business consisted of $ 37\ $ 37 share! Seconds Q. a ) It reports a company 's 2022 income statement period in which they are said be! Of expenses includes which of the following statements is not true about liabilities cash Dividends to its shareholders and sheet!