acc. test 1

Which of the following financial statements is prepared as of a specific date? A. Balance sheet B. Income statement C. Owner's equity statement D. Statement of cash flows

A. Balance sheet

IFRS is considered to be more: A. principles-based and less rules-based than GAAP B. rules-based and less principles-based than GAAp C. detailed than GAAP D. None of the above

A. Principles-based and less rules-based than GAAP

Combining the activities of kellogg and general mills would violate the? A. Cost principle B. Economic entity assumption C. Monetary unit assumption D. Ethics principle

B. Economic entity assumption

A business organized as a separate legal entity under state law having ownership divided into shares of stock is a? A. Proprietorship B. Partnership C. Corporation D. Sole proprietorship

C. Corporation

The Sarbanes-Oxley Act determines: A. international tax regulations B. Internal control standards as enforced by the IASB C. Internal control standards of U.S. publicly traded companies D. U.S. tax regulations

C. Internal control standards of U.S. publicly traded companies

Ethics are the standards of conduct by which one's actions are judged as: A. right or wrong B. Honest or dishonest C. Fair or not fair D. All of these options

D. All of these options

Which of the following is not a reason why a single set of high-quality international accounting standards would be beneficial? A. Mergers and acquisition activity B. Financial markets C. Multinational corporations D. GAAP is widely considered to be a superior reporting system

D. GAAP is widely considered to be a superior reporting system

Net income will result during a time period when? A. Assets Exceed liabilities B. Assets exceed revenues C. Expenses exceed revenues D. Revenues exceed expenses

D. Revenues exceed Expenses

Purpose of accounting is to?

Identify, record, and communicate