Account final part 2 Flashcards
Which of the following would be unethical?
Recording backdated revenue
A business organized as a separate legal entity from its owners is a
corporation
Retained Earnings is reduced by which of the following?
dividends
Which of the following terms fits the definition: Te area of accounting principally concerned with reporting the external users
Financial Accounting
Net Income may be defined as:
Excess of revenues over expenses for the time period
Internal control is important to a business because
All the above
Cash, Account Receivable and prepaid insurance are
current assets
The revenue recongnition principle dictates that revenue should be recognized only when it is
Earned
ABC company showed the following information:
554
Interest charged on a 400 note payable, at the rate of 6% on a 90 day note would be
6 dollars
Which of the following principals dictates that expenses are recognized
Expense Recognition or matching
If total assets are 100,00, liabilities are 60,000 and common stock is 25,000 then retained earnings is?
15,000
For Year 2 Daisy Corporation reported net income of 60, net sales of 800, and average shares outstanding of 6. What was year 2 earning per share?
10 dollars
A corporation purchased a three year insurance policy on December…
Credit for prepaid insurance for 200
Which of the following relationships shows proper structure of a corp?
Stockholders select the board, board picks offiers
