ch06 - CHAPTER 6 ACCOUNTING AND THE TIME VALUE OF MONEY...

Info iconThis preview shows pages 1–3. Sign up to view the full content.

View Full Document Right Arrow Icon
CHAPTER 6 ACCOUNTING AND THE TIME VALUE OF MONEY MULTIPLE CHOICE —Conceptual Answer No. Description d 1. Definition of present value. c 2. Understanding compound interest tables. a 3. Identification of correct compound interest table. d 4. Identification of correct compound interest table. c 5. Identification of correct compound interest table. c 6. Identification of correct compound interest table. b 7. Identification of correct compound interest table. d 8. Identification of number of compounding periods. a 9. Adjust the interest rate for time periods. c 10. Identification of present value of 1 table. c 11. Determine present value of an ordinary annuity. b 12. Identification of a future value of an ordinary annuity of 1. a 13. Appropriate use of an annuity due table. c 14. Determine the timing of rents of an annuity due. b 15. Present value of an ordinary annuity and an annuity due. b 16. Factors of an ordinary annuity and an annuity due. b 17. Difference between an ordinary annuity and an annuity due. d 18. Definition of deferred annuities. MULTIPLE CHOICE —Computational Answer No. Description c 19. Calculate present value of a future amount. b 20. Calculate a future value. a 21. Calculate a future value of an annuity due. b 22. Calculate a future value. c 23. Calculate a future value. c 24. Calculate present value of a future amount. d 25. Calculate present value of a future amount. a 26. Calculate present value of an annuity due. d 27. Interest compounded quarterly. d 28. Calculate the future value of 1. a 29. Calculate future value of an annuity due. a 30. Calculate present value of an ordinary annuity. b 31. Calculate present value of an annuity due. a 32. Calculate future value of an ordinary annuity. d 33. Calculate future value of an annuity due. c 34. Calculate annual deposit for annuity due.
Background image of page 1

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

View Full DocumentRight Arrow Icon
Test Bank for Intermediate Accounting, Eleventh Edition MULTIPLE CHOICE—Computational (cont.) Answer No. Description d 35. Calculate cost of machine purchased on installment. b 36. Calculate cost of machine purchased on installment. c 37. Calculate cost of machine purchased on installment. a 38. Calculate the annual rents of leased equipment. b 39. Calculate present value of an investment in equipment. b 40. Calculate proceeds from issuance of bonds. b 41. Calculate proceeds from issuance of bonds. MULTIPLE CHOICE —CPA Adapted Answer No. Description d 42. Identification of correct compound interest table. a 43. Appropriate use of an ordinary annuity table. b 44. Calculate annual deposit of annuity due. a 45. Calculate the present value of a note. a 46. Calculate the present value of a note. c 47. Calculate interest revenue of a noninterest-bearing note. d
Background image of page 2
Image of page 3
This is the end of the preview. Sign up to access the rest of the document.

Page1 / 23

ch06 - CHAPTER 6 ACCOUNTING AND THE TIME VALUE OF MONEY...

This preview shows document pages 1 - 3. Sign up to view the full document.

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