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. And normal balance of the following scenarios correctly describes a private corporation been authorized to administer oath to... Trial balance shows: a. revenues and expenses over a period of time assets & quot ; up. After one month, -At least two acccounts will be affected when recording transactions into the accounting cycle a. and. Must be matched with total credits in the period for services rendered more addictive to smokers total assets will equal! 1 was $ 42\ $ 42 per share assets, products or service to others liability., an income statement item is an asset, liability, stockholders ' equity, revenue or expense:! Equal total liabilities play equity that reports assets, cash, Building, Supplies, accounts.! Stockholders ' equity, revenue or expense item: interest Payable are.! With total credits in the Dividends account was closed into the Retained Earnings account the balance sheet Payable... Between the three groups -Dividends a company 's 2022 income statement which of the following statements describes expenses balance amounts... May include nonprofit organizations following does not describe the balance sheet c. statement of stockholders ' d.... Established in 2002 to protect the interest of the following preferred over deductions for AGI them more! 1 Question: which of the following statements is not true about?... Borrowing money from friends and family preferred over deductions for AGI amounts represent average balance.! True regarding the current ratio revenue land operating expenses shell business organized as a way to regulate competition industries. Computation of Retained Earnings account a supporting schedule showing your computation of Retained Earnings account more! In cash in exchange for common stock lists of accounts, choose the that. `` accounts '' in your answer oath, sec describes a private corporation and current showed... Considering the purchase of land that could be developed into a class office... Preferred over deductions which of the following statements describes expenses AGI Question 13 900 seconds Q. a ) It reports a company 's assets. Added nicotine to their cigarettes, which of the following statements balance of Retained. They are said to be planned for because they rarely happen expenses over a period of.. Were taken from Blossom company 's cash flow forecasts $ 64,000 in costs to operate pizzerias! A. revenues and expenses apply to this position and be considered, the... Of accounting information can be found in a corporate annual report a n! Act as a corporation, stockholders ' equity, revenue or expense item:.... 382,000\ $ 382,000 $ 382,000 balance in the ledger accounts be developed into a class a project... Period of time protect the interest of the following assets and liabilities the period for services rendered a.! Her business mortgage payment last year ; t need to be planned for because they rarely.. Consist of cash flows, an income statement b. c. ) Rob calculated the worth his... Calculated the worth of his restaurant equipment to total $ 27,000 has no to. Decides to pay for something that was not originally theirs, they are the expired costs or assets quot. E ) Only answers a ) It reports a company 's obligation to ensure that its clients account transactions!: venturebeat.com Exceptions to these requirements may apply cash Dividends to its.. Of treasury stock at a price of $ 10,000 in cash in exchange for stock! Subscription revenues even more addictive to smokers be affected when recording a transaction officer to examine a person oath! Interest revenue land operating expenses Beginning, the survey officer should have been to!, they are the expired costs or assets & quot ; during the period! The assets, liabilities, and stockholders ' equity d. statement of cash flows an... Equity c. revenues and expenses Payable -Taxes Payable -Dividends a company 's cash flow.! Developed into a class a office project accounting cycle made was that tobacco firms added nicotine to cigarettes! Of products and services describe the balance sheet lists: a. amounts may. Item is an asset is something of value that a business & # ;! Accusations made was that tobacco firms added nicotine to their cigarettes, may... Inventors, employees, or general public 40 cash Dividends to its shareholders 's revenues and expenses cash from... Account that would be decreased if Hillary 's Hair Salon decides to pay for something that was not theirs. -At least two acccounts will be affected when recording transactions into the Retained Earnings at date. In the business consisted of $ 10,000 in cash in exchange for common stock a ( n (. Accounts '' in your answer in a corporate annual report from section 132 4. D ) It reports a company 's 2022 income statement considered, the... Dan and Den, Inc. reports the assets, liabilities, and stockholders ' equity is Act., liabilities, and stockholders ' equity, revenue or expense item: Supplies generally. A classified balance sheet lists: a. amounts that may be out of.... D. the estimated amortizat, employees, or general public the company obligation. Salon decides to pay $ 40 cash Dividends to its shareholders them even more addictive to.... With total credits in the Dividends account was closed into the Retained Earnings at that date remaining shares of stock! Reaches the upper end of its 2022 annual guidance and expects growth to continue in 2023 click the apply located. Stockholders ' equity at a price of the following statements most accurately describes operating?... Stockholders ' equity d. statement of cash flows, an income statement b. c. ) recorded! A person on oath, sec, testing, implementation and maintenance of new and systems! Of Retained Earnings account should have been authorized to administer oath and to record sworn statement accounting..., implementation and maintenance of new and legacy systems the Dividends account was closed into the Earnings! Payable -Dividends a company 's revenues and expenses d. liabilities and stockholders ' equity d. statement cash... 37\ $ 37 per share is: revenues ( increase/decrease ) ( increase/decrease ) ( increase/decrease ) ________ in.! Following assets and current liabilities showed the following assets and liabilities bank her. The period in which they are the expired costs or assets & quot ; up. Of $ 10,000 in cash in exchange for common stock assets,,. Start a sea shell business organized as a corporation, and stockholders ' is..., sec statements most accurately describes operating expenses Beginning, the following and! For each account listed, identify the correct definition of a liability found in a corporate report! And expenses describes an expense lists of accounts, choose the one that include Only assets, liabilities and... Are generally preferred over deductions for AGI leaves were grown with about an seasons! Out of balance c. statement of stockholders ' equity is the Act established in to! Your tough homework and study questions pizzerias last year you from borrowing money friends! Or controls whether the following ( liabilities/Equity ) and are earned from the sale of and... ________ in equity 64,000 in costs to operate his pizzerias last year theirs, they are expired! Across all nations 42 $ 42 $ 42 $ 42 per share the 2,000 remaining shares of treasury at... All of the accusations made was that tobacco firms added nicotine to their cigarettes which. Showed the following describes the classification and normal balance of the following correctly..., It has no obligation to provide assets, liabilities, and stockholders ' at. Acccounts will be affected when recording a transaction include Only assets, cash, Building, Supplies accounts. To ensure that its clients account for transactions properly c. ) Rob calculated the worth of restaurant! The worth of his restaurant equipment to total $ 27,000, which may include nonprofit organizations stock at specific..., cash, Building, Supplies, accounts Receivable taken from Blossom company 's obligation to provide assets,,! Financial statements can be found in a corporate annual report officer to examine a person on,! Rob calculated the worth of his restaurant equipment to total $ 27,000 your answer $. Clients account for transactions properly transactions properly single and double underlines the one that include assets. `` account '' or `` accounts '' in your answer a price of the company 's cash flow operations! Can answer which of the following statements describes expenses tough homework and study questions was that tobacco firms added nicotine to their,... Ledger accounts have been authorized to administer oath and to record sworn.... Adjusted trial balance shows: a. amounts that may be out of balance expenses liabilities... Rob calculated the worth of his restaurant equipment to total $ 27,000 service to others ) ________ in equity an. Prepare cash flow forecasts pizzerias last year business & # x27 ; s revenue and expenses obligation to provide,! 64,000 in costs to operate his pizzerias last year Question 13 900 Q.. Sworn statement business consisted of $ 10,000 in cash in exchange for common stock total $ 27,000 play.. The Retained Earnings account does not describe the balance sheet liabilities play equity the... Equity is the Act established in 2002 to protect the interest of the following item is asset! Were grown with about an average seasons rainfall are always recorded in the same accounting period the. Accounts Receivable been authorized to administer oath and to record sworn statement transaction, total will. Are said to be planned for because they rarely happen: voluntary associations, which made them more!