






Study with the several resources on Docsity
Earn points by helping other students or get them with a premium plan
Prepare for your exams
Study with the several resources on Docsity
Earn points to download
Earn points by helping other students or get them with a premium plan
Community
Ask the community for help and clear up your study doubts
Discover the best universities in your country according to Docsity users
Free resources
Download our free guides on studying techniques, anxiety management strategies, and thesis advice from Docsity tutors
ACCT 1201 Chapters 1-3 Exam Questions And Answers
Typology: Exams
1 / 10
This page cannot be seen from the preview
Don't miss anything!
Accounting Equation - correct answer ✅Assets = Liabilities + Equity Retained Earnings Equation - correct answer ✅Beginning RE + Net Income - Dividends = Ending RE Beg. RE: $2, Net income: + 975, Dividends: (1,500,000) Ending RE. = 2,012, Income Statement Equation - correct answer ✅Revenues - Expenses = Net Income Investments and accounts receivable are an (A, L, SE, R, or E) - correct answer ✅Assets Accounts, salaries or mortgages PAYABLE are... (A, L, SE, R, or E) - correct answer ✅Liabilities
Owners investments, retained earnings, and salaries expense are... (A, L, SE, R, or E) - correct answer ✅Equity Provision for income tax, income tax expense, salaries expense are (A, L, SE, R, or E) - correct answer ✅Expenses Common shares and dividends are (A, L, SE, R, or E) - correct answer ✅Stockholders Equity Liability - correct answer ✅Obligation of a business Note payable - correct answer ✅When a company borrows money at a bank (Liability)
Example: (Salaries/wages, taxes) Financial accounting - correct answer ✅Concerned with communication with outsiders Managerial Accounting - correct answer ✅accounting used to provide information and analyses to managers inside the organization to assist them in decision making Owner's Equity - correct answer ✅the owner's claims to the assets of the business Stockholders Equity - correct answer ✅The owners' equity in a corporation; The difference between a corporations assets and its obligations/liabilities
Retained earnings - correct answer ✅An amount earned by a corporation and not yet distributed to stockholders. Net Income - correct answer ✅the difference between total revenue and total expenses when total revenue is greater (Profit/earnings) Statement of Retained Earnings - correct answer ✅The statement that summarizes the income earned and dividends paid over the life of a business Statement of Cash Flows - correct answer ✅A financial statement that provides financial information about the cash receipts and cash payments of a business for a specific period of time. GAAP - correct answer ✅Generally Accepted Accounting Principles.
Current Liabilities - correct answer ✅liabilities due within a short time, usually within a year (Obligation that will be satisfied) capital stock - correct answer ✅indicates the owners' investment to a corporation *Single class of capital stock is COMMON STOCK Liquidity - correct answer ✅The ability of the company/ease with which an asset can be converted into cash single-step income statement - correct answer ✅an income statement in which all expenses are added together and subtracted from all revenues Multi-Step Income Statement - correct answer ✅Income statement format that contains subtotals to highlight significant relationships. In addition to net income, it reports gross profit and operating income.
Profit margin - correct answer ✅net income/net sales T account - correct answer ✅An accounting device used to analyze transactions Current Ratio - correct answer ✅current assets DIVIDED by current liabilities earnings per share - correct answer ✅the amount of net income after federal income tax belonging to a single share of stock Earnings per share (EPS) Equation - correct answer ✅Net income divided by # of average common shares of stock outstanding Liabilities are recorded on which financial statement? - correct answer ✅Balance sheet
Components of a Classified Balance Sheet - correct answer ✅assets (current & non-current property & equipment), liabilities (current & long-term), owner's equity Total assets=Liabilities+owners equity Unearned revenue is (A, L, SE, R, or E) - correct answer ✅Liability Dividends are (A, L, SE, R, or E) -