For government-wide financial statements, what account is credited when a piece of equipment is leased
on a capital lease?
A. Equipment - Capital Lease
B. Encumbrances - Long Term
C. Encumbrances - Lease Obligations
D. Capital Lease Ob
Buckette Co. owned 60% of Shuvelle Corp. and 40% of Tayle Corp., and Shuvelle owned 35% of Tayle.
When Buckette prepared consolidated financial statements, it should include
A. Shuvelle but not Tayle.
B. Tayle but not Shuvelle.
In accounting, the term translation refers to
A. the calculation of gains or losses from hedging transactions.
B. the calculation of exchange rate gains or losses on individual transactions in foreign currencies.
C. the procedure requi
On November 8, 2011, Power Corp. sold land to Wood Co., its wholly owned subsidiary. The land cost
$61,500 and was sold to Wood for $89,000. From the perspective of the combination, when is the gain on
the sale of the land realized?
On January 1, 2011, Riley Corp. acquired some of the outstanding bonds of one of its subsidiaries. The
bonds had a carrying value of $421,620, and Riley paid $401,937 for them. How should you account for
the difference between the carry
Generally accepted accounting principles require a U.S. corporation to disclose the following
disaggregated information for each operating segment, except:
A. Revenues from external customers.
B. Discontinued operations.
C. Cost of good
In the United States, foreign companies filing annual reports with the SEC that are not prepared in
accordance with U.S. GAAP must:
A. present financial statements that comply with international GAAP.
B. conform with U.S. GAAP or prese
Cherryhill and Hace had been partners for several years, and they decided to admit Quincy to the
partnership. The accountant for the partnership believed that the dissolved partnership and the newly
formed partnership were two separate
A Chapter 7 bankruptcy is a(n)
A. involuntary reorganization.
B. bankruptcy forced by a company's creditors.
D. bankruptcy in which all creditors receive payment in full.
E. voluntary reorganization.
Where should a c
When a person dies without leaving a valid will, how is the distribution of his or her property
A. in accordance with federal inheritance laws.
B. in accordance with generally accepted accounting principles.
C. in accordanc
Which one of the following is not a division of the SEC?
A. the Division of Corporation Finance.
B. the Division of Investment Management.
C. the Division of Compliance Information.
D. the Division of Enforcement.
E. the Division of Tr
Reciprocal transfers where both parties give and receive something of value are
A. contributed services.
B. unconditional promises to give.
C. endowment transactions.
D. exchange transactions.
E. required contributions.
Which of the