Day 18 - Test Day

Question 1

True or False: Int expense is less than interest payable each period using SL and Effective Methods for Bond Amortization for a premium bond

Answer 1

True

MCQ-01098

Question 2

When are expected losses recognized?

Answer 2

IMMEDIATELY

MCQ-00647

Question 3

When revenue is recognized at a point in time, when is contract revenue recognized?

Answer 3

When the contract is complete

MCQ-00647

Question 4

For a Finance Lease the Lessor will recognize what?

Answer 4

Recognize Interest Revenue based on the Discount Rate × Carrying Value of the Lease Receivable

As time passes, the Lease Receivable decreases and Interest Revenue recognized decreases

MCQ-00415

Question 5

What fund would report transfers to other funds as an Other Financing Use?

Answer 5

Only Governmental Funds GRaSPP

MCQ-08582

Question 6

When are Governments allowed to not capitalize Artwork?

Answer 6

Do not capitalize if:
1. Artwork is held for Public exhibit
2. Artwork is protected
3. Policy dictates proceeds from sale will be used to acquire other items for the collection

MCQ-07942

Question 7

When is there an impairment loss?

Answer 7

If Carrying Value exceeds Fair Value

Impairment loss CANNOT exceed Goodwill cost

MCQ-10953

Question 8

Equation: Profit on Finance Lease

Answer 8

Profit = PV of Payments - Carrying Cost

MCQ-00409

Question 9

Revenues that are legally restricted or committed to expenditures for specified purposes should be accounted for in Special Revenue Funds, including:

Answer 9

Gasoline taxes to finance road repairs

MCQ-01187

Question 11

When computing weighted average of common shares outstanding for basic earnings per share, convertible bonds are:

Answer 11

Ignored

MCQ-01201