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External link to Question : 81) On any given day, ________ changes to achieve equilibrium : 1238080
Economics

Question : 81) On any given day, ________ changes to achieve equilibrium : 1238080

  81) On any given day, ________ changes to achieve equilibrium in the money market. A) real GDP B) the price level C) the inflation rate D) the nominal interest rate E) the real interest rate 82) Every day, ________ changes to make the quantity of money demanded equal the quantity of money supplied. A) real GDP B) the money supply C) the price level […]

External link to Question : 81) Consider a macro model with demand-determined output. The equations : 1384387
Economics

Question : 81) Consider a macro model with demand-determined output. The equations : 1384387

  81) Consider a macro model with demand-determined output. The equations are: C = 150 + 0.8Yd, Yd = Y-T, I = 400, G = 700, T = 0.2Y, X = 130, and IM = 0.14Y. Equilibrium national income in this model is A) 1120. B) 1350. C) 2240. D) 2760. E) 5400. 82) Consider the following macro model with demand-determined output: C = 150 […]

External link to Question : 91) A(n) ________ a small text file left a website : 1283719
Economics

Question : 91) A(n) ________ a small text file left a website : 1283719

    91) A(n) ________ is a small text file left on a website visitor’s hard drive that is used to personalize the site for the visitor or track web activities. A) plug-in B) tag cloud C) spider D) cookie   92) Which of the following is true about third-party cookies? A) Click-through rates are lower when third-party cookies are used. B) They are not […]

External link to Question : 21) Huey has eaten two hamburgers and considering a third. : 1227737
Economics

Question : 21) Huey has eaten two hamburgers and considering a third. : 1227737

    21) Huey has eaten two hamburgers and is considering a third. The marginal benefit in his decision is the pleasure from consuming A) the two previous hamburgers. B) all three hamburgers. C) just the third hamburger. D) just the second hamburger. E) the third hamburger minus the pleasure from consuming zero hamburgers. 22) What typically happens to benefits as the amount of an […]

External link to Question : 51) If GDP currently $13 trillion and growing at a : 1244769
Economics

Question : 51) If GDP currently $13 trillion and growing at a : 1244769

    51) If GDP is currently $13 trillion and is growing at a rate of 2.3% per year, how long will it take GDP to reach $26 trillion? A) about 15 years B) about 17 years C) about 25 years D) about 30 years   52) Labor productivity is A) the quantity of output produced in one hour by several workers. B) the quantity […]

External link to Question : Figure 2-4 Figure 2-4 shows various points three different production : 1387302
Economics

Question : Figure 2-4 Figure 2-4 shows various points three different production : 1387302

  Figure 2-4   Figure 2-4 shows various points on three different production possibilities frontiers for a nation.     60) Refer to Figure 2-4. Consider the following movements: a.from point V to point W b.from point W to point Y c.from point Y to point Z   Which of the movements listed above represents advancements in technology with respect to both plastic production and […]

External link to Question : 61.              Martin Company incurred the following costs for 70,000 units: Variable : 1311770
Economics

Question : 61.              Martin Company incurred the following costs for 70,000 units: Variable : 1311770

    61.              Martin Company incurred the following costs for 70,000 units: Variable costs$420,000 Fixed costs  392,000   Martin has received a special order from a foreign company for 3,000 units. There is sufficient capacity to fill the order without jeopardizing regular sales. Filling the order will require spending an additional $6,300 for shipping.   If Martin wants to break even on the order, what […]

External link to Question : 81.According to the Keynesian view of aggregate supply, an increase : 1232969
Economics

Question : 81.According to the Keynesian view of aggregate supply, an increase : 1232969

  81.According to the Keynesian view of aggregate supply, an increase in the money supply will:    A. Always cause inflation. B. Cause inflation if the economy is at full employment. C. Cause inflation only if aggregate supply is horizontal. D. Never cause inflation. 82.According to the monetarist view, the aggregate supply curve is:    A. Upward sloping to the right. B. Perfectly vertical at the natural rate of unemployment. C. Flat or horizontal […]

External link to Question : 81) Refer to Table 21-4. The equilibrium level of national : 1384372
Economics

Question : 81) Refer to Table 21-4. The equilibrium level of national : 1384372

  81) Refer to Table 21-4. The equilibrium level of national income will be A) $ 70. B) $ 93. C) $120. D) $160. E) $280. 82) Refer to Table 21-4. At the equilibrium level of national income, desired consumption expenditure will be A) $ 30. B) $ 70. C) $210. D) $240. E) $280. 83) Refer to Table 21-4. At the equilibrium level of […]

External link to Question : 49) The marginal product of labor A) the payment made : 1387970
Economics

Question : 49) The marginal product of labor A) the payment made : 1387970

    49) The marginal product of labor is A) the payment made to workers for their contribution to the output they produce. B) equal to the demand for labor. C) the change in a firm’s revenue as a result of hiring one more worker. D) the additional output a firm produces as a result of hiring one more worker.     50) A firm […]

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July 1, 2023
    

 

Learning Objective 11-3

 

1) How can you tell if a company is taking big bath charges this year?

A) Compare this year's accounts receivable with last year's. If this year's accounts receivable are much bigger, there must have been many charges.

B) Compare this year's income statement with several previous years', looking for unusual expenses or write-offs.

C) Compare this year's cash flow from operating activities with several previous years'. If this year's cash flow from operating activities is much smaller, there must have been many charges.

D) Look for a note titled "Big Bath Charges" in the annual report.

 

2) Which of the following may indicate a company is setting up a cookie jar reserve this year?

A) The current year's estimated warranty liability is significantly larger than prior years'.

B) The current year's warranty expense is significantly smaller than several previous years'.

C) The current year's cash flow from operating activities is significantly larger than previous years'.

D) There is a note titled "Cookie Jar Reserves" in the annual report.

 

3) What may be the effect on a company's financial statements in the year a company sets up a cookie jar reserve?

A) Net income and total assets may be too high.

B) Net income and total liabilities may be too low.

C) Net income may be too high and total assets may be too low.

D) Net income may be too low and total liabilities may be too high.

 

4) What may be the effect on a company's financial statement in the year a company sets up a cookie jar reserve?

A) Net income and total assets may be too high.

B) Net income and total assets may be too low.

C) Net income may be too high and total assets may be too low.

D) Net income and total liabilities may be too high.

5) Out of Africa, a multi-national corporation, had a very bad year. Management decided to write off a large amount of its long-term assets because they might lose value in future years. Management is ________.

A) acting ethically and being conservative

B) recording big bath charges

C) recognizing revenue too early

D) setting up a cookie jar reserve

 

6) RH Company shipped goods to a customer on December 31, 2011 that the customer had not ordered. RH Company recorded a credit sale of $75,000. What is the effect of recording this sale on RH Company's 2011 financial statements?

A) Net income and total assets are too high.

B) Net income and total assets are too low.

C) Net income is too high and total assets are too low.

D) Net income is too low and total assets are too high.

 

7) RH Company shipped goods to a customer on December 31, 2011 that the customer had not ordered. RH Company recorded a credit sale of $75,000. As a result of recording this sale, which of the following will be overstated on RH Company's 2011 financial statements?

A) sales

B) accounts receivable

C) earning per share

D) all of these

 

8) Trading Places, a multi-national corporation, had a very successful year and was more than meeting analyst's expectations. Management decided to increase the amount of its warranty expense to more than was needed. Management is ________.

A) acting ethically and being conservative

B) recording big bath charges

C) recognizing revenue too late

D) setting up a cookie jar reserve

9) GB Company had a very bad year in 2011. The controller knew that the company already had a significant loss for the year, so he put the paperwork in his bottom drawer for some of the shipments made in the last two weeks of 2011. As a result, $100,000 of sales were not recorded and the customers weren't billed until 2012. The controller is ________.

A) acting ethically and being conservative

B) recording big bath charges

C) recognizing revenue too late

D) setting up a cookie jar reserve

 

10) GB Company had a very bad year in 2011. The controller knew that the company already had a significant loss for the year, so he put the paperwork in his bottom drawer for some of the shipments made in the last two weeks of 2011. As a result, $100,000 of sales were not recorded and the customers weren't billed until 2012. What is the effect of omitting these sales from GB Company's 2011 financial statements?

A) Net income and total assets are too high.

B) Net income and total assets are too low.

C) Net income is too high and total assets are too low.

D) Net income is too low and total assets are too high.

 

 

default image
July 1, 2023
    

 

Learning Objective 11-3

 

1) How can you tell if a company is taking big bath charges this year?

A) Compare this year's accounts receivable with last year's. If this year's accounts receivable are much bigger, there must have been many charges.

B) Compare this year's income statement with several previous years', looking for unusual expenses or write-offs.

C) Compare this year's cash flow from operating activities with several previous years'. If this year's cash flow from operating activities is much smaller, there must have been many charges.

D) Look for a note titled "Big Bath Charges" in the annual report.

 

2) Which of the following may indicate a company is setting up a cookie jar reserve this year?

A) The current year's estimated warranty liability is significantly larger than prior years'.

B) The current year's warranty expense is significantly smaller than several previous years'.

C) The current year's cash flow from operating activities is significantly larger than previous years'.

D) There is a note titled "Cookie Jar Reserves" in the annual report.

 

3) What may be the effect on a company's financial statements in the year a company sets up a cookie jar reserve?

A) Net income and total assets may be too high.

B) Net income and total liabilities may be too low.

C) Net income may be too high and total assets may be too low.

D) Net income may be too low and total liabilities may be too high.

 

4) What may be the effect on a company's financial statement in the year a company sets up a cookie jar reserve?

A) Net income and total assets may be too high.

B) Net income and total assets may be too low.

C) Net income may be too high and total assets may be too low.

D) Net income and total liabilities may be too high.

5) Out of Africa, a multi-national corporation, had a very bad year. Management decided to write off a large amount of its long-term assets because they might lose value in future years. Management is ________.

A) acting ethically and being conservative

B) recording big bath charges

C) recognizing revenue too early

D) setting up a cookie jar reserve

 

6) RH Company shipped goods to a customer on December 31, 2011 that the customer had not ordered. RH Company recorded a credit sale of $75,000. What is the effect of recording this sale on RH Company's 2011 financial statements?

A) Net income and total assets are too high.

B) Net income and total assets are too low.

C) Net income is too high and total assets are too low.

D) Net income is too low and total assets are too high.

 

7) RH Company shipped goods to a customer on December 31, 2011 that the customer had not ordered. RH Company recorded a credit sale of $75,000. As a result of recording this sale, which of the following will be overstated on RH Company's 2011 financial statements?

A) sales

B) accounts receivable

C) earning per share

D) all of these

 

8) Trading Places, a multi-national corporation, had a very successful year and was more than meeting analyst's expectations. Management decided to increase the amount of its warranty expense to more than was needed. Management is ________.

A) acting ethically and being conservative

B) recording big bath charges

C) recognizing revenue too late

D) setting up a cookie jar reserve

9) GB Company had a very bad year in 2011. The controller knew that the company already had a significant loss for the year, so he put the paperwork in his bottom drawer for some of the shipments made in the last two weeks of 2011. As a result, $100,000 of sales were not recorded and the customers weren't billed until 2012. The controller is ________.

A) acting ethically and being conservative

B) recording big bath charges

C) recognizing revenue too late

D) setting up a cookie jar reserve

 

10) GB Company had a very bad year in 2011. The controller knew that the company already had a significant loss for the year, so he put the paperwork in his bottom drawer for some of the shipments made in the last two weeks of 2011. As a result, $100,000 of sales were not recorded and the customers weren't billed until 2012. What is the effect of omitting these sales from GB Company's 2011 financial statements?

A) Net income and total assets are too high.

B) Net income and total assets are too low.

C) Net income is too high and total assets are too low.

D) Net income is too low and total assets are too high.

 

 

default image
July 1, 2023
    

 

Learning Objective 11-3

 

1) How can you tell if a company is taking big bath charges this year?

A) Compare this year's accounts receivable with last year's. If this year's accounts receivable are much bigger, there must have been many charges.

B) Compare this year's income statement with several previous years', looking for unusual expenses or write-offs.

C) Compare this year's cash flow from operating activities with several previous years'. If this year's cash flow from operating activities is much smaller, there must have been many charges.

D) Look for a note titled "Big Bath Charges" in the annual report.

 

2) Which of the following may indicate a company is setting up a cookie jar reserve this year?

A) The current year's estimated warranty liability is significantly larger than prior years'.

B) The current year's warranty expense is significantly smaller than several previous years'.

C) The current year's cash flow from operating activities is significantly larger than previous years'.

D) There is a note titled "Cookie Jar Reserves" in the annual report.

 

3) What may be the effect on a company's financial statements in the year a company sets up a cookie jar reserve?

A) Net income and total assets may be too high.

B) Net income and total liabilities may be too low.

C) Net income may be too high and total assets may be too low.

D) Net income may be too low and total liabilities may be too high.

 

4) What may be the effect on a company's financial statement in the year a company sets up a cookie jar reserve?

A) Net income and total assets may be too high.

B) Net income and total assets may be too low.

C) Net income may be too high and total assets may be too low.

D) Net income and total liabilities may be too high.

5) Out of Africa, a multi-national corporation, had a very bad year. Management decided to write off a large amount of its long-term assets because they might lose value in future years. Management is ________.

A) acting ethically and being conservative

B) recording big bath charges

C) recognizing revenue too early

D) setting up a cookie jar reserve

 

6) RH Company shipped goods to a customer on December 31, 2011 that the customer had not ordered. RH Company recorded a credit sale of $75,000. What is the effect of recording this sale on RH Company's 2011 financial statements?

A) Net income and total assets are too high.

B) Net income and total assets are too low.

C) Net income is too high and total assets are too low.

D) Net income is too low and total assets are too high.

 

7) RH Company shipped goods to a customer on December 31, 2011 that the customer had not ordered. RH Company recorded a credit sale of $75,000. As a result of recording this sale, which of the following will be overstated on RH Company's 2011 financial statements?

A) sales

B) accounts receivable

C) earning per share

D) all of these

 

8) Trading Places, a multi-national corporation, had a very successful year and was more than meeting analyst's expectations. Management decided to increase the amount of its warranty expense to more than was needed. Management is ________.

A) acting ethically and being conservative

B) recording big bath charges

C) recognizing revenue too late

D) setting up a cookie jar reserve

9) GB Company had a very bad year in 2011. The controller knew that the company already had a significant loss for the year, so he put the paperwork in his bottom drawer for some of the shipments made in the last two weeks of 2011. As a result, $100,000 of sales were not recorded and the customers weren't billed until 2012. The controller is ________.

A) acting ethically and being conservative

B) recording big bath charges

C) recognizing revenue too late

D) setting up a cookie jar reserve

 

10) GB Company had a very bad year in 2011. The controller knew that the company already had a significant loss for the year, so he put the paperwork in his bottom drawer for some of the shipments made in the last two weeks of 2011. As a result, $100,000 of sales were not recorded and the customers weren't billed until 2012. What is the effect of omitting these sales from GB Company's 2011 financial statements?

A) Net income and total assets are too high.

B) Net income and total assets are too low.

C) Net income is too high and total assets are too low.

D) Net income is too low and total assets are too high.

 

 

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