Which of the following issuances of common stock are treated retroactively (i.e., which are not weighted for the time they are outstanding during the year)? o A. Reissuance of treasury stock for cash B. Purchase of treasury stock C. A stock split D. Sale of shares for cash An income statement for an entity would include which of the following? A. Revenues, expenses, assets, and liabilities O B. Assets, liabilities, and stockholders' equity C. Revenues, expenses, gains, and losses D. Cash flows from operating activities, investing activities, and financing activities Which of the following is the primary advantage of the direct method for reporting net cash flow from operating activities? o A. It is easy to prepare and understand. B. It focuses on the differences between net income and net cash flow from operating activities, C. It shows specific operating cash receipts and payments. D. It focuses on investing and financing activities rather than operating activities Under what circumstance is it acceptable to record (recognize) goodwill? A. Only in connection with a business combination accounted for under the acquisition method. O B. Only when internally generated goodwill has been created during the period. C. It is not acceptable to record goodwill. O D. Only when the entity reports net income. Select the best answer. Net sales Gross margin Net income Total assets Current assets Current liabilities $ 200,000 90,000 30,000 2,500,000 500,000 100,000 What is ESM Company's profit margin on sales for the year ended December 31, 20X8? A. 55% o B. 45% O C. 15% o D. 75% According to the Financial Accounting Standards Board, which of the following is not a purpose of general financial reporting? To assess an entity's prospects for future net cash inflows, existing and potential investors, . lenders, and other creditors need information about the resources of the entity, claims against the entity, and how efficiently and effectively the entity's management and governing board have discharged their responsibilities to use the entity's resources B. Provide information about the financial position of a reporting entity, which is information about the entity's economic resources and the claims against the reporting entity Provide financial information about the reporting entity that is useful to existing and potential C. Investors, lenders, and other creditors in making decisions about providing resources to the entity o O D. To provide social media information that should help customers with upcoming promotions Identification of material changes in all the following, except is one of the principal objectives of financial statement analysis. O A. Trends B. Accounting principles C. Relationships 0 D. Amounts Select the best answer. Which of the following are categories found in the stockholders' equity section of a balance sheet? o A. Investments B. Premium on bonds payable o C. Accumulated other comprehensive income o D. Accounts payable Submit Answers