Question : 31. U.S. GAAP and IFRS require firms to initially report the : 1245889

 

 

31. U.S. GAAP and IFRS require firms to initially report the results of most income transactions in the  
A. retained earnings bypassing the income statement.
B. income statement instead of bypassing the income statement and reporting the amounts in some other shareholders’ equity account.
C. paid-in-capital bypassing the income statement.
D. retained earnings bypassing the income statement.
E. treasury stock bypassing the income statement.

 

32. The last step in the accounting record-keeping process is: 
A. making adjusting journal entries to the accounts to correct errors and to reflect the financial statement impacts of items that occur because of usage or the passage of time.
B. preparing the income statement for the period from amounts in the income statement accounts.
C. closing the temporary income statement accounts to retained earnings.
D. preparing the balance sheet from amounts in the balance sheet accounts.
E. preparing the statement of cash flows from balance sheet amounts and from details of transactions affecting the cash account.

 

33. Under accrual accounting, revenue is recognized when 
A. the firm has performed all, or most of, the services it expects to provide.
B. the firm has received cash, or some other asset such as a receivable, whose cash-equivalent value it can measure with reasonable precision.
C. the firm has significant uncertainty about the amount and timing of the cash inflows and outflows from the sales transaction.
D. both a and b must be present.
E. none of the above.

 

34. The stockholders’ equity of a firm can be defined as 
A. net current assets.
B. net noncurrent assets.
C. a residual interest.
D. total assets plus total liabilities.
E. the owners’ claim to the assets and liabilities.

 

35. Which of the following concepts best characterizes the accrual basis of accounting? 
A. Conservatism
B. Matching
C. Understandability
D. Going concern
E. Unit of measurement

 

36. The accrual basis of accounting is often contrasted with the cash basis of accounting. Which of the following is true of the cash basis of accounting? 
A. The cash basis is not subject to manipulation
B. Most larger companies use the cash basis of accounting
C. The cash basis of accounting provides a strong basis to determine the total assets of the company
D. The cash basis provides an inferior picture of operating performance
E. The cash basis provides an superior picture of operating performance

 

37. Over sufficiently long time periods, the amount of net income equals 
A. cash inflows minus cash outflows from operating activities.
B. cash inflows minus cash outflows from operating and investing activities.
C. cash inflows minus cash outflows from operating, investing, and debt servicing activities.
D. cash inflows minus cash outflows from operating and debt servicing activities.
E. cash inflows minus cash outflows from investing and debt servicing activities.

 

38. The _____ convention, links the timing of some expenses with revenue recognition.  
A. going concern
B. conservatism
C. matching
D. materiality
E. objectivity

 

39. Which of the following is/are false? 
A. Firms do not necessarily recognize revenues when they receive cash
B. Firms do not necessarily recognize expenses when they disburse cash.
C. Net income will not necessarily equal cash flow from operations each period.
D. A profitable firm will likely borrow funds in order to remain in business, but eventually operations must generate cash to repay the borrowing.
E. None of the above are false

 

40. Which of the following is/are true? 
A. Revenues measure the inflow of net assets from operating activities.
B. Expenses measure the outflow of net assets consumed in the process of generating revenues.
C. Recognizing revenues and expenses always involves a simultaneous entry in an asset and/or liability account.
D. Adjusting entries almost always involve an entry in at least one income statement and one balance sheet account.
E. All of the above answer choices are true.

 

 

Place your order
(550 words)

Approximate price: $22

Calculate the price of your order

550 words
We'll send you the first draft for approval by September 11, 2018 at 10:52 AM
Total price:
$26
The price is based on these factors:
Academic level
Number of pages
Urgency
Basic features
  • Free title page and bibliography
  • Unlimited revisions
  • Plagiarism-free guarantee
  • Money-back guarantee
  • 24/7 support
On-demand options
  • Writer’s samples
  • Part-by-part delivery
  • Overnight delivery
  • Copies of used sources
  • Expert Proofreading
Paper format
  • 275 words per page
  • 12 pt Arial/Times New Roman
  • Double line spacing
  • Any citation style (APA, MLA, Chicago/Turabian, Harvard)

Our guarantees

Delivering a high-quality product at a reasonable price is not enough anymore.
That’s why we have developed 5 beneficial guarantees that will make your experience with our service enjoyable, easy, and safe.

Money-back guarantee

You have to be 100% sure of the quality of your product to give a money-back guarantee. This describes us perfectly. Make sure that this guarantee is totally transparent.

Read more

Zero-plagiarism guarantee

Each paper is composed from scratch, according to your instructions. It is then checked by our plagiarism-detection software. There is no gap where plagiarism could squeeze in.

Read more

Free-revision policy

Thanks to our free revisions, there is no way for you to be unsatisfied. We will work on your paper until you are completely happy with the result.

Read more

Privacy policy

Your email is safe, as we store it according to international data protection rules. Your bank details are secure, as we use only reliable payment systems.

Read more

Fair-cooperation guarantee

By sending us your money, you buy the service we provide. Check out our terms and conditions if you prefer business talks to be laid out in official language.

Read more