EXAM1Aa - Exam Dr. M.D. Chase Accounting 201 Examination 1...

Info iconThis preview shows pages 1–4. Sign up to view the full content.

View Full Document Right Arrow Icon
Exam Dr. M.D. Chase Accounting 201 Examination 1 Kimmel et al 3 rd ed. Fall, 2006 Business Ethics are the cornerstone of a successful free enterprise economy. Personal ethics are the foundation for all personal intercourse. In the University setting, ethical behavior is an essential component of academic honesty. Please read and sign the following statement. This examination represents my sole effort. I have neither given nor received aid in the completion of this examination. S i g n a t u r e : P r i n t e d N a m e :
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Dr. M. D. Chase Accounting 201 a Long Beach State University Examination 1A Page 1 of 16 1. Accounting information is relevant to business decisions because it a. has been verified by external audit. b. is prepared on an annual basis. c. confirms or corrects prior expectations. d. is neutral in its representations. 2. The matching principle matches a. customers with businesses. b. expenses with revenues. c. assets with liabilities. d. creditors with businesses. 3. The right to receive money in the future is called a(n) a. account payable. b. account receivable. c. liability. d. revenue. 4. A debit is not the normal balance for which account listed below? a. Dividends b. Cash c. Accounts Receivable d. Service Revenue 5. The recording process occurs a. once a year. b. once a month. c. repeatedly during the accounting period. d. infrequently in a manual accounting system. 6. At the end of the fiscal year, the usual adjusting entry for depreciation on equipment was omitted. Which of the following statements is true? a. Net income will be overstated for the current year. b. Total assets will be understated at the end of the current year. c. The balance sheet and income statement will be misstated but the Retained Earnings statement will be correct for the current year. d. Total assets will be understated at the end of the current year. 7. The ability of a business to pay obligations that are expected to become due within the next year or operating cycle is a. leverage. b. liquidity. c. profitability. d. wealth.
Background image of page 2
Dr. M. D. Chase Accounting 201 a Long Beach State University Examination 1A Page 2 of 16 8. If a resource has been consumed but a bill has not been received at the end of the accounting period, then a. an expense should be recorded when the bill is received. b. an expense should be recorded when the cash is paid out. c. an adjusting entry should be made recognizing the expense. d. it is optional whether to record the expense before the bill is received. 9. The closing entry process consists of closing a. all asset and liability accounts. b. out the Retained Earnings account. c. all permanent accounts. d. all temporary accounts. 10. Accrued expenses are a. paid and recorded in an asset account before they are used or consumed. b. paid and recorded in an asset account after they are used or
Background image of page 3

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 4
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 02/25/2010 for the course ACCT 300A taught by Professor Bob during the Spring '10 term at University of Arizona- Tucson.

Page1 / 17

EXAM1Aa - Exam Dr. M.D. Chase Accounting 201 Examination 1...

This preview shows document pages 1 - 4. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online