Q1 - During which NFL season did the 1969 Super bowl Champion New York Jets win the Super bowl?

Select one:

a. 1776

b. 1865

c. 2025

d. 1968-1969

Q2- For which of the following reconciling items would an adjusting entry be necessary on the company's book?

Select one:

a. A deposit in transit.

b. An error by the bank.

c. Outstanding checks.

d. A bank service charge.

Q3- The accounting concept or principle applied when the cost of short-term marketable securities is adjusted to market value is:

Select one:

a. objectivity.

b. matching revenue and expense.

c. original cost.

d. consistency.

Q4-With respect to the write-off of an uncollectible account receivable against the allowance for bad debts, a sound system of internal control would require:

Select one:

a. the write-off be approved by two employees.

b. an investigation of why credit was extended to this customer in the first place.

c. a lawsuit to be initiated to recover the uncollectible amount.

d. the write-off to be made within six months after the date of sale.

Q5- One of the most important reasons for having a system of internal control is to:

Select one:

a. improve the effectiveness and efficiency of the operations of the organization.

b. ensure no employees have ever been convicted of stealing.

c. eliminate any temptations that may be presented to employees that could lead to theft from the company.

d. prevent a salesperson from using a company car for personal transportation.

Q6- The principal reason for converting a customer's account receivable to a note receivable is:

Select one:

a. the note receivable earns interest and the account receivable does not.

b. the receivable is less likely to have to be written off as uncollectible.

c. working capital is immediately increased.

d. the customer is more likely to continue purchasing the company's products.

Q7- Which of the following accounting concepts/principles is most significant in the development of a capitalization policy?

Select one:

a. Matching of revenue and expense.

b. Materiality.

c. Original Cost.

d. Consistency.

Q8- If there is a loss on the disposal of a depreciable asset:

Select one:

a. no cash was received in the disposal transaction.

b. the net book value of the asset was negative.

c. in retrospect, the life over which the asset was depreciated was too short.

d. in retrospect, the depreciation expense recognized over the asset's life was too low.

Q9- If there is a loss on the disposal of a depreciable asset:

Select one:

a. no cash was received in the disposal transaction.

b. the net book value of the asset was negative.

c. in retrospect, the life over which the asset was depreciated was too short.

d. in retrospect, the depreciation expense recognized over the asset's life was too low.

Q10- Moped, Inc. purchased machinery at a cost of $22,000 on January 1, 2014. The expected useful life is 5 years and the asset is expected to have salvage value of $2,000. Moped depreciates its assets using the double-declining balance method. What is the firm's gain or loss if the machinery is sold for $11,000 on December 31, 2015?

Select one:

a. Gain of $4,000

b. Gain of $3,080

c. Loss of $600

d. Loss of $4,000

Q 11- Which of the following is not a term that describes part of the accounting for noncurrent assets?

Select one:

a. Accumulation.

b. Depletion.

c. Amortization.

d. Depreciation.

Q12- Which of the following statements best describes the process of accounting for depreciation?

Select one:

a. A process that attempts to recognize loss in economic value over a period of time.

b. A process for setting aside cash so funds will be available to replace the asset.

c. A process for recognizing the cost of an asset that should be matched against revenue earned as a result of using the asset.

d. A process for recognizing all of the cost associated with using an asset in a revenue generating activity.

Q 13- A magazine publisher has an account called "Unearned Subscription Revenue." The transaction that causes the balance of this account to decrease is:

Select one:

a. cash is received from new subscribers.

b. magazines are printed for the publisher.

c. magazines are mailed to subscribers.

d. subscriptions are sold to new subscribers.

Q14 - Southern Company's accountant failed to accrue as of 12/31/13 some employee fringe benefit program expenses that were incurred in 2013 and that will be paid in 2014. The result of this omission is to:

Select one:

a. overstate the current ratio at 12/31/13 and overstate ROI and ROE for the year ended 12/31/13.

b. overstate the current ratio at 12/31/13 and understate ROI and ROE for the year ended 12/31/13.

c. understate the current ratio at 12/31/13 and understate ROI and ROE for the year ended 12/31/13.

d. not affect the current ratio at 12/31/13 but to overstate ROI and ROE for the year ended 12/31/13.