FiltersDone

Question type

Essay

Multiple Choice

Short Answer

True False

Matching

Exam 15: Using Management Information Systems and Accounting Information

Show Answer

Share

---

All types

Filters

Study FlashcardsPractice ExamLearn

Question 21

Multiple Choice

Review LaterAdd Note

Review Later

If a company has $50,000 of assets, which of the following could be true?

A) It has −$50,000 in stockholders' equity and $100,000 in liabilities.
B) The company has fewer assets than it does liabilities.
C) It has $30,000 in liabilities and $80,000 in owners' equity.
D) The company has more owners' equity than assets.
E) It has $23,000 in owners' equity and $27,000 in liabilities.

F) A) and B)
G) B) and D)

Correct Answer

verified

Show Answer

Question 22

Multiple Choice

Review LaterAdd Note

Review Later

Lutex Corporation began its accounting period with a merchandise inventory (beginning inventory) that cost $10,000. During the period, it purchased for resale merchandise with a retail value of $100,000. With purchase discounts, it paid only $80,000 for this merchandise. Thus, during this period, Lutex had ____ in goods available for sale.

A) $180,000
B) $70,000
C) $80,000
D) $90,000
E) $190,000

F) A) and E)
G) A) and C)

Correct Answer

verified

Show Answer

Question 23

Multiple Choice

Review LaterAdd Note

​Return on sales is also known as

Which of the following best describes the organization of a statement of cash flows?

What is inventory turnover and how is it calculated? Why is it important for a manager to track this ratio?

Owners' equity is the dollar value that remains after the total liabilities of a business are subtracted from its total assets.

Dr. Ted Walker runs a chiropractic clinic. He typically bills his customers for services he performs and gives them about 30 days to make the payments. These amounts of money that his customers owe are called

​The total dollar amount of all goods and services sold during the accounting period is the

The total dollar amount of all goods and services sold during the accounting period is called net sales.

All of the following are sections of the income statement for a business except

How would it be easier to determine if a firm made or lost money last year-by looking at the balance sheet or by looking at the income statement? Support your answer by explaining in general terms what accounts a balance sheet lists and what accounts an income statement lists.

The value of goods on hand for sale to customers is called

According to the accounting equation, cash, inventory, equipment, and real estate are classified as owners' equity.

Since furniture and store equipment for Rosalind's Boutique will be held or used for a period longer than one year, they are considered

The balance sheet is composed of

Christine's First Job Christine has just earned her undergraduate degree in accounting and has successfully completed the CPA exam. She recently interviewed with a relatively small and new company and was offered a job. The offer sounded very promising; the job had opportunities to grow with the company and provided diverse challenges. Christine accepted the job. Once Christine started working, she realized that the owners and employees did not have a general understanding of accounting. She had to teach them the steps in an accounting cycle so they would be able to understand how she was going to create reports. When she talked about the statement of financial position, they had no idea what she was talking about. She was the qualified individual responsible for accounting. No one else working with her had much knowledg -Refer to Christine's First Job. If the owners did not recognize the term "statement of financial position," Christine could use which of the following more common terms?

On a balance sheet, assets are listed in order, from the most liquid to the least liquid.

A prepaid expense would be classified as

All American National Company earned $240,000 last year. The board of directors decided to pay out one-half of the firm's earnings to the stockholders. Before the board's decision, the firm's retained earnings were $740,000. Which of the following statements is true?

Assets = liabilities + owners' equity is the equation for information reported on the