Quiz 2 - list the equity of each stockholder on the balance...

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View My Grades HOMEWORK MANAGER > STUDENTS > VIEW MY GRADES > ALL QUESTIONS Return to Previous Main Menu Exit Current Session Help Question 1: Score 1/1 According to Sarbanes-Oxley, internal controls must be audited by the same accounting firm that audits the financial statements. Your Answer: Choice Selected True False Question 2: Score 0/1 A net profit results from having more revenues than liabilities. Your Answer: Choice Selected True Selected False Question 3: Score 1/1 The owner of a sole proprietorship is personally liable for the debts of the business, whereas the stockholders of a corporation are not personally liable for the debts of the business. Your Answer: Choice Selected True False Question 4: Score 1/1 The sale of additional shares of capital stock will cause treasury stock to increase.
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Your Answer: Choice Selected True False Question 5: Score 1/1 Articulation between the financial statements means that they relate closely to each other. Your Answer: Choice Selected True False Question 6: Score 1/1 In a business organized as a corporation, it is not necessary to
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Unformatted text preview: list the equity of each stockholder on the balance sheet. Your Answer: Choice Selected True False Question 7: Score 1/1 Total assets plus total liabilities always equal total owners' equity. Your Answer: Choice Selected True False Question 8: Score 1/1 The realization principle states that the activities of an entity should be kept separate from those of its owner. Your Answer: Choice Selected True False Question 9: Score 1/1 The entity principle states that the affairs of the owners are not part of the financial operations of a business entity and should be separated. Your Answer: Choice Selected True False Question 10: Score 1/1 The purchase of an asset such as office equipment, for cash will cause owners' equity to decrease. Your Answer: Choice Selected True False Question 11: Score 1/1 The going concern principle assumes that the business will continue indefinitely. Your Answer: Choice Selected True False...
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This note was uploaded on 11/10/2009 for the course ACCOUNTING FA taught by Professor Jonathan during the Spring '08 term at Maastricht.

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Quiz 2 - list the equity of each stockholder on the balance...

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