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Optional Final Justin Stumpf ACC 206 AA Fleetwood.docx -...

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ACC 206Name: Justin StumpfFall 2020 Optional FinalSection:AACAMultiple Choice (2 points each):The proprietorship form of business organizationoMust have at least two owners in most statesoGenerally receives favorable tax treatment relative to a corporationoCombines the records of the business with the personal records of the owner = My answer.oIs calculated as a separate legal entityA business organized as a corporationoIs not a separate legal entity in most statesoRequires that stockholders be personally liable for the dets of the businessoIs owned by its stockholders = My answer.oHas tax advantages over a proprietorship or partnershipThe partnership form of business organizationoIs a separate legal entityoIs a common form of organization for service-type businesses = My answer.oEnjoys an unlimited lifeoHas limited liabilityCollection of a $600 Accounts ReceivableoIncreases an asset $600, decreases an asset $600 = My answer.oIncreases an asset $600, decreases a liability $600oDecreases a liability $600, increases stockholders’ equity $600oDecreases an asset $600, decreases a liability $600If an individual asset is increased, thenoThere could be an equal decrease in a specific liabilityoThere could be an equal decrease in stockholders’ equityoThere could be an equal decrease in another asset = My answer.oNone of these answer choices are correctIf services are rendered for cash, thenoAssets will increase = My answer.oLiabilities will increaseoStockholders’ equity will decreaseoLiabilities will decreaseManufactured inventory that has begun the production process but is not yet completed isoWork in process = My answer.oRaw materialsoMerchandise inventoryoFinished goodsThe accounting process involves all of the following except:oIdentify economic transactions that are relevant to the businessoCommunicating financial information to users by preparing financial reportsoRecording only the economic events for a company = My answer.oRecording all events for a companyLiabilitiesoAre future economic benefitsoAre things of value owned by a businessoPossess service potentialoAre debts and obligations = My answer.

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Term
Spring
Professor
COLAIEZZI
Tags
Balance Sheet, Depreciation, o Corporation

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