Question :
61. The following examples of external users of accounting information except A. governmentB. customersC. creditorsD. managers
62. Due : 1251340
61. The following are examples of external users of accounting information except
A. government
B. customers
C. creditors
D. managers
62. Due to various fraudulent business practices and accounting coverups in the early 2000’s, Congress enacted the Sarbanes-Oxley Act of 2002. The Act was responsible for establishing a new oversight board for public accountants called the
A. Generally Accepted Accounting Practices for Public Accountants Board
B. Public Company Accounting Oversight Board
C. Congressional Accounting Oversight Board
D. none of these
63. Which of the following is the best description of accounting’s role in business?
A. Accounting provides stockholders with information regarding the market value of the company’s stocks.
B. Accounting provides information to managers to operate the business and to other users to make decisions regarding the economic condition of the company.
C. Accounting provides creditors and banks with information regarding the credit risk rating of the company.
D. Accounting is not responsible for providing any form of information to users. That is the role of the Information Systems Department.
64. Managerial accountants would be responsible for providing which of the following?
A. Tax reports to government agencies.
B. Profit reports to owners and management.
C. Expansion of a product line report to management.
D. Consumer reports to customers.
65. Which of the following is not a certification for accountants?
A. CIA
B. CMA
C. CISA
D. All are certifications.
66. Which of the following is not a role of accounting in business?
A. to provide reports to users about the economic activities and conditions of a business
B. to personally guarantee loans of the business
C. to provide information to other users to determine the economic performance and condition of the business
D. to assess the various informational needs of users and design its accounting system to meet those needs
67. Which of the following are guidelines for behaving ethically?
I.Identify the consequences of a decision and its effect on others.
II.Consider your obligations and responsibilities to those affected by the decision.
III.Identify your decision based on personal standards of honesty and fairness.
A. I and II.
B. II and III.
C. I and III.
D. I, II, and III.
68. The Sarbanes-Oxley Act of 2002 prohibits employment of auditors by their clients for what period after their last audit of the client?
A. indefinitely
B. one year
C. two years
D. none of these
69. Which of the following isnot a characteristic of a corporation?
A. Corporations are organized as a separate legal taxable entity.
B. Ownership is divided into shares of stock.
C. Corporations experience an ease in obtaining large amounts of resources by issuing stock.
D. A corporation’s resources are limited to its individual owners’ resources.
70. Countries outside the United States use financial accounting standards issued by the
A. LLC
B. SEC
C. IASB
D. GAAP
