Question 17 pts /0x4*
Which of the following focuses on the information used to make economic decisions by those outside the business?
Group of answer choices
financial accounting
tax accounting
governmental accounting
managerial accounting
Flag question: Question 2Question 27 pts
Which of the following is the type of accounting that focuses on the information used to make economic decisions by those outside the business?
Group of answer choices
financial accounting
tax accounting
governmental accounting
managerial accounting
Flag question: Question 3Question 37 pts
Which of the following determines if a business is effectively using its resources by looking at its controls and procedures?
Group of answer choices
Government accountants
Tax accountants
Internal auditors
Flag question: Question 4Question 47 pts
Which of the following is a component of an internal control system that ensures that it is working as designed?
Group of answer choices
risk assessment
monitoring
standards of conduct
control activities
Flag question: Question 5Question 57 pts
Which of the following internal control components represent the actual policies and procedures of the internal control system?
Group of answer choices
risk assessment
control environment
standards of conduct
control activities
Flag question: Question 6Question 67 pts
Which of the following is used to initiate the closing process within the general ledger?
Group of answer choices
accruals
adjustments
journal entries
post-closing trial balance
Flag question: Question 7Question 77 pts
Which of the following requires public companies to document and certify their internal control system in order to increase confidence in the accuracy of financial reports?
Group of answer choices
Internal auditors
Governmental Accounting Standards Board (GASB)
Generally Accepted Accounting Principles (GAAP)
Sarbanes-Oxley Act (SOX)
Flag question: Question 8Question 87 pts
Which is the type of accounting that focuses upon preparing and analyzing financial statements and reports for public sector entities?
Group of answer choices
auditing
tax accounting
governmental accounting
managerial accounting
Flag question: Question 9Question 97 pts
True or false. A partnership is a legally created economic entity that is owned by one or more persons.
Group of answer choices
TRUE
FALSE
Flag question: Question 10Question 107 pts
Which of the following is the type of accounting that focuses on providing information for internal users?
Group of answer choices
financial accounting
tax accounting
governmental accounting
managerial accounting
Flag question: Question 11Question 117 pts
Which steps in the accounting cycle are performed continuously?
Group of answer choices
Steps 1 and 2
Steps 5 and 9
Steps 1-4
Steps 1-9
Flag question: Question 12Question 127 pts
are owned by one person, can be started informally and are not technically separate legal entities from the owner.
Group of answer choices
Sole proprietorships
Partnerships
Flag question: Question 13Question 137 pts
Which of the following standards are beneficial because they allow easier comparison of financial information for companies across the globe?
Group of answer choices
QASAB
IASB
IFRS
SEC
Flag question: Question 14Question 147 pts
What type of business is owned by one person?
Group of answer choices
sole proprietorship
partnership
corporation
nonprofit business
Flag question: Question 15Question 157 pts
A(n) _____ occurs when a corporation first goes public and allows the corporation to raise a lot of money from the purchase of shares by investors.
Group of answer choices
initial public offering (IPO)
internal control
creditor investment
partnerhsip
Flag question: Question 16Question 167 pts
True or false. Accounting only involves recording transactions for a business.
Group of answer choices
TRUE
FALSE
Flag question: Question 17Question 177 pts
Which of the following is the last step in the closing process?
Group of answer choices
Preparing a post-closing trial balance
Recording accumulated depreciation
Recording prepaid expenses
Recording exchange transactions
Flag question: Question 18Question 187 pts
Which of the following is the private sector group primarily responsible for developing the Generally accepted accounting principles (GAAP) in the United States?
Group of answer choices
GAAP
IASB
FASB
SEC
Flag question: Question 19Question 197 pts
is predictive and forward looking.
Group of answer choices
Accounting
Bookkeeping
Finance
Flag question: Question 20Question 207 pts
True or false. Management is considered an external user of financial information.
Group of answer choices
TRUE
FALSE
Flag question: Question 21Question 217 pts
Which of the following becomes the beginning balance for the new fiscal year in the process of closing accounts?
Group of answer choices
journal
accrued
permanent
nominal
Flag question: Question 22Question 227 pts
An account that represents something owned or used by a company would be an example of what type of account?
Group of answer choices
asset
liability
equity
revenue
Flag question: Question 23Question 237 pts
Stockholder\’s equity represents the shareholder\’s __________ on the business assets after satisifying liabilities.
Group of answer choices
claim
dividend
investment
net income
Flag question: Question 24Question 247 pts
Which of the following is not part of the definition of accounting?
Group of answer choices
It is referred to as the language of business.
It provides information that allows business owners to plan, monitor, and control.
It provides information about the financial condition of the business to those outside of the business.
It only involves recording transactions for a business.
Flag question: Question 25Question 257 pts
Which of the following is the formula for the accounting equation?
Group of answer choices
Assets = Liabilities + Stockholders’ Equity
Liabilities = Assets + Stockholders’ Equity
Stockholders’ Equity = Assets + Liabilities
Liabilities = Stockholders’ Equity + Assets
Flag question: Question 26Question 267 pts
True or false. In a closing entry, permanent accounts are transferred to the retained earnings account on the balance sheet of the new accounting period.
Group of answer choices
True
False
Flag question: Question 27Question 277 pts
Cash basis accounting is used to record revenue in the period in which it is earned, regardless of whether or not it has been collected in that period.
Group of answer choices
True
False
Flag question: Question 28Question 287 pts
Match the element of the accounting equation with its description.
amount paid for shares
[ Select ] [“dividends”, “stockholders\’ equity”, “net assets”, “contributed capital”]
earnings distributed to shareholders
[ Select ] [“dividends”, “stockholders\’ equity”, “net assets”, “contributed capital”]
claims on company’s assets.
[ Select ] [“dividends”, “stockholders\’ equity”, “net assets”, “contributed capital”]
assets less liabilities
[ Select ] [“dividends”, “stockholders\’ equity”, “net assets”, “contributed capital”]
Flag question: Question 29Question 297 pts
Which accounts are those that only reflect activities and transactions taking place during the current fiscal year?
Group of answer choices
journal
accrued
permanent
temporary
Flag question: Question 30Question 307 pts
____________ are owned by one person, can be started informally and are not technically separate legal entities from the owner.
Group of answer choices
Sole proprietorships
Partnership
Corporation
GAAPs
Flag question: Question 31Question 317 pts
The identification and analysis of potential threats is called _____.
Group of answer choices
control environment
risk assessment
threat analysis
threat identification
Flag question: Question 32Question 327 pts
External users of financial information include which of the following?
Group of answer choices
Management
Employees
Creditors
Flag question: Question 33Question 337 pts
What business is required to file formal documentation at the state level?
Group of answer choices
sole proprietorship
partnership
corporation
nonprofit business
Flag question: Question 34Question 347 pts
Stockholders’ equity consists of which elements? (Select all that apply.)
Group of answer choices
liabilities
contributed capital
retained earnings
dividends
Flag question: Question 35Question 357 pts
Which of the following is an example of a liability?
Group of answer choices
equipment
inventory
salaries
supplies
Flag question: Question 36Question 367 pts
Internal controls are the processes a company puts in place to ensure reliable and accurate financial reporting and compliance with what?
Group of answer choices
Budgets
Laws and regulations
Recordkeeping
Protection of assets
Flag question: Question 37Question 377 pts
True or false. Accrual accounting does not accurately reflect the true net income for a business.
Group of answer choices
True
False
Flag question: Question 38Question 387 pts
The accounting equation ensures that all accounting entries for a given period stay in _____ with the equation of assets = liabilities + owners’ equity.
Group of answer choices
assets
balance
credits
entries
Flag question: Question 39Question 397 pts
True or false. In the process of updating the retained earnings balance during close, we close out all of the revenue, expense, and dividend accounts to prepare them for the new year.
Group of answer choices
True
False
Flag question: Question 40Question 407 pts
Which of the following are one of the nine steps in the accounting cycle? (Select all that apply.)
Group of answer choices
Preparing the financial statements
Analyzing business transactions
Preparing the unadjusted trial balance
Filing the financial statements
Flag question: Question 41Question 417 pts
Which accounting standards are perceived based on principles and not rules?
Group of answer choices
International Accounting Standards Board (IASB)
International Financial Reporting Standards (IFRS)
Financial Accounting Standards Board (FASB)
Governmental Accounting Standards Board (GASB)
Flag question: Question 42Question 427 pts
Which of the following requires public companies to document and certify their internal control system in order to increase confidence in the accuracy of financial reports?
Group of answer choices
IASB
IFRS
QASAB
SOX
Flag question: Question 43Question 437 pts
Which of the following is a form of accounting that records transactions based on when they occur, to ensure proper alignment between revenues and expenses for a period of time?
Group of answer choices
cash
accrual
net income
credit
Flag question: Question 44Question 447 pts
Section 404 of the Sarbanes-Oxley Act (SOX) requires public companies to document and certify their internal control system in order to do what?
Group of answer choices
Guide accounting advancements.
Hire accountants.
Increase confidence in the accuracy of financial reports.
Improve reporting procedures.
Flag question: Question 45Question 457 pts
___________ is predictive and forward looking.
Group of answer choices
accounting
finance
bookkeeping
financial statements
Flag question: Question 46Question 467 pts
Which of the following organizations began regulating securities markets and restoring investor confidence in capital markets in 1934?
Group of answer choices
IASB
IFRS
QASAB
SEC
Flag question: Question 47Question 477 pts
Which of the following control activities represents the company’s cultural approach to ethics and integrity?
Group of answer choices
Control activities
Control environment
Risk assessment
Monitoring
Flag question: Question 48Question 487 pts
What is the primary purpose of the closing process in accounting?
Group of answer choices
Calculating stockholders’ equity.
Closing a business permanently.
Ending an accounting period and beginning a new one.
Transferring temporary accounts to retained earnings.
Flag question: Question 49Question 497 pts
True or false. GAAP ensures that information reported in financial statements is relevant, reliable, cohesive, and consistent.
Group of answer choices
TRUE
FALSE
Flag question: Question 50Question 507 pts
Which form of business involves co-ownership of a business and does not require the owners to file paperwork with local, state, or federal government?
Group of answer choices
Partnership
Sole proprietorships
Corporation
Creditor investor
