Moving to another question will save this response. estion 2 What is noted as a liability on a balance sheet? a. prepaid expenses b. inventory c. accounts receivable d. accounts payable A) Moving to another question will save this response. Question 3 Where would unearned revenue most likely appear in a set of financial statements? a. In the Income Statement as a cost of sales b. In the Balance Sheet as a liability c. In the Balance Sheet as an asset d. In the Income Statement as a sales Moving to another question will save this response. Question 4 Which financial statement contains the transactions of a company for a period of time and shows the profitability? a. Income statement b. Balance Sheet c. Statement of Cash Flows d. None of these Which of the following does not classify as an asset of a company? a. Buildings b. Prepaid expenses c. Unearned revenue d. Accounts receivable Which of the following statements is the rationale for the accounting equation? a. The firm can calculate its profit margin by subtracting expenses and liabilities from revenue. b. The value of a firm's assets must always be greater than the total amount of financing to purchase those assets c. The value of the firm's assets must equal the total amount of financing used to purchase assets d. A firm's financial worth is calculated by subtracting the assets from shareholder equity. Moving to another question will save this response. uestion 7 is a branch of accounting that addresses the needs of extemal stakeholders, including stockholders, erediton, and government regulators. 3. Financial accounting b. Forensic aceounting c. Managerial accounting d. Inventigative accounting Managerial accounting: a, is the branch of accounting that adheres most strictly to the generally accepted accounting principles. b. provides managets information about a firm's financial situation on a predetermined schedule. c. provides reports and analysis to external stakeholders to show them the current business state. d. provides reports and analysis to managers to help them make informed business decisions. Which of the following does not classify as an asset of a company? a. Buldings b. Cash c. Salaries payable d. Accounts receivable The major responsibilities of financial accounting is the preparation of the: a. management accounting practices, social audit, and journal ledger. b. journal ledger, cash budget, and company bylaws. c. balance sheet, income statement, and statement of cash flows. d. articles of incorporation, auditor's opinion, and master budget. question 11 If t borrowed the money to buy the asset then the source of financing is considered equity, On the other hand, if the money was invested by owners, I say Viability was the soure of money to buy the asset. (hint: think about the accounting equation) True False Fullin-the-blank question - put the letter (e.g. b) that correspends to the correct answer in the bos below When Waimart buys inventory and it promises its suppliers that it will pay them in the future, it recorde the amount it owes as on tis baiance aheet a. Unasarmed revemue b. Bhort-terin barcowang c. Accounts payabie d entry is required for an amount omed vint a cash payment is made c. Accounts payabie Fill-in-the-blank question - put the letter (e.9.4 b) that corresponds to the correct answer in the box below. Which of the following is a shortcoming of the balance sheet? a. Most assets being recorded at their original purchase price instead of their market value b. Most assets being recorded at their market value instead of their original purchase price c. Inclusion of a company's organically grown intangible assets (e.9. the brand value for Apple) on its balance sheet d. None of the above is a shortcoming of balance sheet Fillin-the-blank question - put the letter (e.g., b) that corresponds to the correct answer in the box below. When Walmart generates assets through selling products to its customers (through doing business), the source of that asset is called: a. Revenue b. Liabity c. Omner's Equity d Paid-in-Capital Fill-in-the-blank question - put the letter (e.g+,b) that corresponds to the correct answer in the box below. Why is EPS (Earnings Per Share) so important to potential investors? a. It shows investors how small their share will be relative to the other investors b. It shows investors companies' after tax eamings c. It shows investors the percentage retum they can get on their investment d. It shows investors what a company gets to keep for every $1 of sales it makes Fill-in-the-blank question - put the letter (e.g., b) that corresponds to the correct answer in the box below. Which best describes the equality required in the basic accounting equation? a. Assets plus Liabilities must equal Owner's Equity b. Liabiltios must be offset by Owner's Equity c. Assets must be matched to the source of Assets d. Assets must be equal to Owner's equity Fill-in-the-blank question - put the letter (e.g+, b) that corresponds to the correct answer in the box below. Which financial statement can be described as a "snapshot" of a company's financial position? a. Balance sheet b. Statement of Cash Flows c. Income statement d. None of the above Fill-in-the-blank question - put the letter (e.g., b) that corresponds to the correct answer in the box below. ABC Inc.'s Balance Sheet appears to understate the true value of its long-term assets. What is the likely reason? a ABC's balance sheet shows land at the original purchase price b. ABC's balance sheet shows land at current market price c. ABC's balance sheet shows all its economic assets d. ABC's balance sheot shows market price per share Fill-in-the-blank question - put the letter (e.g., b) that corresponds to the correct answer in the box below. What is the primary asset of any bank? a. Checking and savings accounts b. Investments c. Accounts receivable d. Real estate Fill-in-the-blank question - put the letter (e.g., b) that corresponds to the correct answer in the box below. Which is an example of a bookkeeping system? a. Recording how much money you spend on gas every month b. Going to the gym to make your membership payment c. Making a weekly grocery list d. Paying all your bills online Fill-in-the-blank question - put the letter (e.g., b) that corresponds to the cocrect anwwer in the bok below. Your boss has asked you to create summary reports to distribute to potential investors in your company. This is an example of acceuntng a Income tax b. Managerial c. Finencial d Bookkeoping Fill-in-the-blank question - put the letter (e4 b) that corresponds to the correct answer in the box below. If you bought a plece of property 20 years ago for $100,000 and it is now worth $500,000, how would you record the property asset on a balance sheet? a. As $400,000 b. As $100,000 c. As $500,000 d. As $300,000 Fill-in-the-blank question - put the letter (e.9. b) that corresponds to the correct answer in the box below. How does an airline report the money you pay when you have purchased a plane ticket, but have not yet taken the flight? a. As realized revenue b. As revenue c. As deferred revenue d. As uneamed revenue Fill-in-the-blank question - put the letter (e.g. . b) that corresponds to the correct answer in the box below. What are retained earnings? a. The amount of money that a company earns as profit b. Profits that are distributed to shareholders as dividends c. Profits that are put back into the company d. Revenue that is used to pay taxes