STRAYER ACCT 557 QUIZZES WK 1 TO 6

STRAYER ACCT 557 QUIZZESWK 2 TO 6Wk 2
Quiz Chap 1
1. The first step in
solving an ethical dilemma is to

2. If the retained
earnings account increases from the beginning of the year to the end of the
year, then

3. If total
liabilities increased by $15,000 and stockholders’ equity increased by $10,000
during a period of time, then total assets must change by what amount and
direction during that same period?
4. If total liabilities
increased by $17,000 during a period of time and stockholders’ equity decreased
by $6,000 during the same period, then the amount and direction (increase or
decrease) of the period’s change in total assets is a(n)

5. If total liabilities
decreased by $15,000 and stockholders’ equity increased by $10,000 during a
period of time, then total assets must change by what amount and direction
during that same period?

6. The process of
recording transactions has become more efficient because

7. The primary
accounting standard-setting body in the United States is the

8. Black Keys Company
began the year with stockholders’ equity of $185,000. During the year, the
company recorded revenues of $250,000, expenses of $190,000, and paid dividends
of $20,000. What was Black Keys’ stockholders’ equity at the end of the year?

9. Owner’s equity is
best depicted by the following:

10. The first part of
the accounting process is

11. All of the
following are steps in analyzing ethics cases in financial reporting except
12. The common
characteristic possessed by all assets is
13. An income
statement
14. The origins of
accounting are generally attributed to the work of
.
15. The United States
and the international standard-setting environment are primarily driven by
meeting the needs of
Wk 3 Quiz Chap 2 & 3
1. An
account consists of
2. Camper
Van Company purchased equipment for $2,600 cash. As a result of this event,
3. Which
of the following statements is incorrect?
4. The
chart of accounts is a
5. Devendra
Company pays cash dividends of $600. The entry for this transaction will
include a debit of $600 to

6. Evidence
that would not help with determining the effects of a transaction on the
accounts would be a(n)
7. Customarily,
a trial balance is prepared
8. NWA
Air Charter signed a four-month note payable in the amount of $10,000 on
September 1. The note requires interest at an annual rate of 9%. The amount of
interest to be accrued at the end of September is
9. The
new bookkeeper for Atlas Manufacturing failed to make an adjusting entry to
record revenue earned but not yet billed to customers. The effect of this error
is to
10. The
difference between the cost of a depreciable asset and its related accumulated
depreciation is referred to as the
11. Crue
Company had the following transactions during 2013:

• Sales of $4,500
on account
• Collected $2,000
for services to be performed in 2014
• Paid $1,625 cash
in salaries
• Purchased airline
tickets for $250 in December for a trip to take place in 2014. What is Crue’s
2013 net income using accrual accounting?

12. Dinosaur
Junior Corporation purchased a one-year insurance policy in January 2013 for
$60,000. The insurance policy is in effect from May 2013 through April 2014. If
the company neglects to make the proper year-end adjustment for the expired
insurance
13. The
revenue recognition principle dictates that revenue be recognized in the
accounting period
14. Adjusting
entries are required
15. If
an adjusting entry is not made for an accrued expense,
Wk 4 Quiz Chap 4
1. The
most efficient way to accomplish closing entries is to
2. In order to close
the Dividends account, the
3. The use of fair
value to report assets
4. On a classified
balance sheet, current assets are customarily listed
5. The following
items are taken from the financial statements of the Postal Service for the
year ending December 31, 2013: The current assets should be listed on Postal
Service’s balance sheet in the following order:
6. The two optional
steps in the accounting cycle are preparing
7. The income
statement for the year 2013 of Fugazi Co. contains the following information:
At January 1,
2013, Fugazi reported retained earnings of $50,000. Dividends for the year
totalled $10,000. At December 31, 2013, the company will report retained
earning of
8. The worksheet does
notshow
9. The following
selected account balances appear on the December 31, 2013 balance sheet of Superchunk
Co. What is the total amount of property, plant, and equipment that will be
reported on the balance sheet?
10. The following
items are taken from the financial statements of the Postal Service for the
year ending December 31, 2013: What are total current liabilities at December
31, 2013?
11. The income
statement for the month of June, 2013 of Camera Obscura Enterprises contains
the following information: At June 1,
2013, Camera Obscura reported retained earnings of $35,000. The company paid no
dividends during June. At June 30, 2013, the company will report retained
earnings of
12. An intangible
asset
13. When using a
worksheet, adjusting entries are journalized
14. Current
liabilities
15. Closing entries
are necessary for
Wk 5
Chap 5 & 6
1. Indicate which one
of the following would appear on the income statement of both a merchandising
company and a service company.
2. Sales revenues are
usually considered earned when
3. Gross profit does not
appear
4. A sales discount
does not
5. Two categories of
expenses for merchandising companies are
6. The journal entry
to record a credit sale is
7. During 2013,
merchandise inventory for Falcon Supplies Company decreased by $50,000. If the
income statement for 2013 reported cost of goods sold of $650,000, purchases
during the year must have been
8. GAAP’s provision
for ownership of goods (goods-in-transit or consigned goods), as well as which
costs to include in inventory, as compared to IFRS are:

9. A company uses the
periodic inventory method and the beginning inventory is overstated by $7,000
because the ending inventory in the previous period was overstated by $7,000.
The amounts reflected in the current end of the period balance sheet are
10. The
lower-of-cost-or-market basis of valuing inventories is an example of
11. The factor which
determines whether or not goods should be included in a physical count of
inventory is

12. GAAP’s definition
for inventory and provision of guidelines for inventory accounting, as compared
to IFRS are:
13. Which of the
following should be included in the physical inventory of a company?
14. Netta Shutters has
the following inventory information. A physical count of merchandise inventory
on November 30 reveals that there are 45 units on hand. Assume a periodic
inventory system is used. Ending inventory under FIFO is
15. A company just
starting in business purchased three merchandise inventory items at the
following prices. First purchase $80; Second purchase $95; Third purchase $85.
If the company sold two units for a total of $250 and used FIFO costing, the
gross profit for the period would be

Wk 6
Chap 7 & 8
1. Cash equivalents
include each of the following except
2. Each of the
following items affect the cash balance per books except
3. A petty cash fund
is generally established in order to
Ans. pay relatively small
expenditures.
4. At April 30,
Yaddof Company has the following bank information: cash balance per bank
$4,600; outstanding checks $780; deposits in transit $550; credit memo for
interest $100; bank service charge $20. What is Yaddof’s adjusted cash balance
on April 30?
5. Which of the
following would notbe reported on the balance sheet as a cash
equivalent?

6. Bank errors

7. Under a voucher
system, a prenumbered voucher is prepared for every

8. Using the
percentage of receivables method for recording bad debts expense, estimated
uncollectible accounts are $11,000. If the balance of the Allowance for
Doubtful Accounts is $2,000 credit before adjustment, what is the amount of bad
debts expense for that period?

9. Which receivables
accounting and reporting issue is not essentially the same for IFRS and
GAAP?
10. Randie Company
lends Luann Company $10,000 on April 1, accepting a four-month, 9% interest
note. Randie Company prepares financial statements on April 30. What adjusting
entry should be made before the financial statements can be prepared?
11. An aging of a
company’s accounts receivable indicates that $3,000 are estimated to be
uncollectible. If Allowance for Doubtful Accounts has a $700 debit balance, the
adjustment to record bad debts for the period will require a
12. The percentage of
receivables basis for estimating uncollectible accounts emphasizes
13. On February 1,
2013, Fugit Company sells merchandise on account to Armen Company for $6,500.
The entry to record this transaction by Fugit Company is
14. Which of the
following are also called trade receivables?
15. Under the
allowance method, writing off an uncollectible account