ACC 556 Week 1 Quiz 1

ACC 556 Week 1 Quiz 1 | Assignment Help | Strayer University 

Question 1

Tamarisk, Inc. compiled the following financial information as of December 31, 2022:

Service revenue        $845000

Common stock            193000

Equipment       254000

Operating expenses   727000

Cash     206000

Dividends          60000

Supplies             36000

Accounts payable      124000

Accounts receivable                94000

Retained earnings, 1/1/22     429000

 

Tamarisk's retained earnings on December 31, 2022 are:

 

o   $36000.

o   $429000.

o   $546000.

o   $487000.

 

Question 2

During September 2022, Sandhill Diner’s total liabilities decreased by $57000 and its stockholders’ equity increased by $14000. The company’s total assets must change by what amount and in what direction during that same period?

 

o   $57000 increase

o   $43000 increase

o   $43000 decrease

o   $71000 increase

 

 

Question 3

Based on the following data, what are total assets?

Accounts payable    $63000

Accounts receivable            57000

Cash   84000

Inventory       130000

Buildings       163000

Bonds payable          519000

Supplies         10500

Notes payable           59000

Equipment     356000

 

 

o   $800500

o   $733000

o   $790000

o   $859500

 

 

Question 4

 Sheffield Corp. had the following accounts and balances:

Accounts payable    $28300                      Equipment     $34800

Accounts receivable            4550              Land   34700

Buildings       ?                     Unearned service revenue  9700

Cash   14750            Total stockholders' equity  ?

If total stockholder's equity is $95000, what is the balance of the Buildings account?

 

 

 

o   $34700

o   $134500

o   $144500

o   $44200

 

Question 5

 Whispering Winds Corp. began the year with retained earnings of $415000. During the year, the company recorded revenues of $494000, expenses of $380000, and paid dividends of $37500. What was Whispering's retained earnings balance at the end of the year?

 

 

o   $831500

o   $494000

o   $531500

o   $491500

 

Question 6

A company’s total liabilities decreased by $135000 and its stockholders’ equity decreased by $31500 during a period of time. By what amount and in what direction must the company’s total assets have changed during that same period?

 

 

o   $103500 decrease

o   $166500 decrease

o   $103500 increase

o   $166500 increase

 

Question 7

Sunland Company had the following accounts and balances:

Accounts payable    $29300                      Equipment     $34900

Accounts receivable            5100              Land   35600

Buildings       66300            Unearned service revenue  9500

Cash   15150            Total stockholders' equity  ?

 

 

If Sunland pays $4900 of Accounts Payable in cash, total stockholders' equity would be:

 

 

o   $118250

o   $133400

o   $168300

o   $127750

 

 

Question 8

Sheffield Corp. began the year with retained earnings of $116000. During 2022, the company issued $79000 of common stock for cash. The company recorded revenues of $760000, expenses of $661000, and paid dividends of $45000. What was Sheffield's net income for the year 2022?

 

 

o   $133000

o   $54000

o   $99000

o   $178000

 

 

Question 9

 Blossom Company recorded the following cash transactions for the year:

 

Paid $139500 for salaries.

Paid $59400 to purchase office equipment.

Paid $14100 for utilities.

Paid $6400 in dividends.

Collected $289000 from customers.

 

What was Blossom's net cash provided by operating activities?

 

o   $135400

o   $149500

o   $129000

o   $76000

 

Question 10

The total liabilities of Bonita Industries decreased by $99000 during the month of August 2022. Stockholders’ equity increased by $32000 during this period. By what amount and in what direction must total assets have changed during August?

 

o   $131000 increase

o   $67000 decrease

o   $67000 increase

o   $99000 decrease

 

Question 11

 Skysong, Inc. began the year with retained earnings of $308000. During the year, the company issued $417000 of common stock, recorded expenses of $1193000, and paid dividends of $80400. If Skysong's ending retained earnings was $328000, what was the company’s revenue for the year?

 

o   $1710400

o   $1293400

o   $1630000

o   $1213000

 

Question 11

Skysong, Inc. began the year with retained earnings of $308000. During the year, the company issued $417000 of common stock, recorded expenses of $1193000, and paid dividends of $80400. If Skysong's ending retained earnings was $328000, what was the company’s revenue for the year?

 

 

o   $1630000

o   $1213000

o   $1293400

o   $1710400

 

Question 12

 Novak Corp. had the following accounts and balances:

Accounts payable    $30000                      Equipment     $34300

Accounts receivable            5400              Land   34500

Buildings       ?                     Unearned service revenue  10500

Cash   14700            Total stockholders' equity  ?

 

If the balance of the Buildings account was $79200, what would be the total of liabilities and stockholders' equity?

 

 

o   $168100

o   $162700

o   $117100

o   $127600

 

Question 13

 Which statement about long-term investments is not true?

 

o   They will be held for more than one year.

o   They are not currently used in the operation of the business.

o   They include investments in stock of other companies and land held for future use.

o   They do not include long-term notes receivable.

 

 

Question 14

 Buildings are classified on the balance sheet as

 

o   An intangible asset.

o   Property, plant, and equipment.

o   A long-term investment.

o   A current asset.

 

Question 15

 Which of the following would not be classified as a long-term liability?

 

o   Lease liabilities

o   Bonds payable

o   Current maturities of long-term debt

o   Mortgage payable

 

 

Question 16

 A current asset is

 

 

o   The last asset purchased by a business.

o   Usually found as a separate classification in the income statement.

o   An asset which is currently being used to produce a product or service.

o   Expected to be converted to cash or used in the business within one year or one operating cycle, whichever is longer.

 

 

 

 

Question 17

 An intangible asset

 

o   Is worthless because it has no physical substance.

o   Is converted into a tangible asset during the operating cycle.

o   Derives its value from the rights and privileges it provides the owner.

o   Cannot be classified on the balance sheet because it lacks physical substance.

 

 

 

Question 18

On a classified balance sheet, intangible assets are

 

o   Listed directly under current assets on the balance sheet.

o   Not listed on the balance sheet because they do not have physical substance.

o   Listed after property, plant, and equipment.

o   Listed as a long-term investment on the balance sheet.

 

 

Question 19

 On a classified balance sheet, companies usually list current assets

 

o   In the order in which they are expected to be converted into cash.

o   In the order of acquisition.

o   In alphabetical order.

o   With the largest dollar amounts first.

 

Question 20

 What is the order in which assets are generally listed on a classified balance sheet?

 

o   Current; property, plant and equipment; intangibles; long-term investments

o   Current; long-term investments; property, plant and equipment, intangibles

o   Current and long-term

o   Current; property, plant and equipment; long-term investments; intangibles

 

Question 21

 Which of the following is not classified properly as a current asset?

 

o   Supplies

o   Short-term debt investments

o   A fund to be used to purchase a building within the next year

o   A receivable from the sale of an asset to be collected in two years

 

 

Question 22

 Which of the following is generally not classified as a current liability?

 

o   Salaries and Wages Payable

o   Taxes Payable

o   Bonds Payable

o   Accounts Payable

 

 

Question 23

 Liabilities are generally classified on a balance sheet as

 

 

o   Current liabilities and long-term liabilities.

o   Small liabilities and large liabilities.

o   Tangible liabilities and intangible liabilities.

o   Present liabilities and future liabilities.

 

 

 

 

Question 24

 The operating cycle of a company is the average time that is required to go from cash to

 

o   Accounts receivable in producing revenues.

o   Sales in producing revenues.

o   Cash in producing revenues.

o   Inventory in producing revenues.

 

Question 25

 In which balance sheet section would trademarks be reported?

 

o   Investments

o   Property, plant, and equipment

o   Current assets

o   Intangible assets

 

 Question 1

Tamarisk, Inc. compiled the following financial information as of December 31, 2022:

Service revenue        $845000

Common stock            193000

Equipment       254000

Operating expenses   727000

Cash     206000

Dividends          60000

Supplies             36000

Accounts payable      124000

Accounts receivable                94000

Retained earnings, 1/1/22     429000

 

Tamarisk's retained earnings on December 31, 2022 are:

 

o   $36000.

o   $429000.

o   $546000.

o   $487000.

 

Question 2

During September 2022, Sandhill Diner’s total liabilities decreased by $57000 and its stockholders’ equity increased by $14000. The company’s total assets must change by what amount and in what direction during that same period?

 

o   $57000 increase

o   $43000 increase

o   $43000 decrease

o   $71000 increase

 

 

Question 3

Based on the following data, what are total assets?

Accounts payable    $63000

Accounts receivable            57000

Cash   84000

Inventory       130000

Buildings       163000

Bonds payable          519000

Supplies         10500

Notes payable           59000

Equipment     356000

 

 

o   $800500

o   $733000

o   $790000

o   $859500

 

 

Question 4

 Sheffield Corp. had the following accounts and balances:

Accounts payable    $28300                      Equipment     $34800

Accounts receivable            4550              Land   34700

Buildings       ?                     Unearned service revenue  9700

Cash   14750            Total stockholders' equity  ?

If total stockholder's equity is $95000, what is the balance of the Buildings account?

 

 

 

o   $34700

o   $134500

o   $144500

o   $44200

 

Question 5

 Whispering Winds Corp. began the year with retained earnings of $415000. During the year, the company recorded revenues of $494000, expenses of $380000, and paid dividends of $37500. What was Whispering's retained earnings balance at the end of the year?

 

 

o   $831500

o   $494000

o   $531500

o   $491500

 

Question 6

A company’s total liabilities decreased by $135000 and its stockholders’ equity decreased by $31500 during a period of time. By what amount and in what direction must the company’s total assets have changed during that same period?

 

 

o   $103500 decrease

o   $166500 decrease

o   $103500 increase

o   $166500 increase

 

Question 7

Sunland Company had the following accounts and balances:

Accounts payable    $29300                      Equipment     $34900

Accounts receivable            5100              Land   35600

Buildings       66300            Unearned service revenue  9500

Cash   15150            Total stockholders' equity  ?

 

 

If Sunland pays $4900 of Accounts Payable in cash, total stockholders' equity would be:

 

 

o   $118250

o   $133400

o   $168300

o   $127750

 

 

Question 8

Sheffield Corp. began the year with retained earnings of $116000. During 2022, the company issued $79000 of common stock for cash. The company recorded revenues of $760000, expenses of $661000, and paid dividends of $45000. What was Sheffield's net income for the year 2022?

 

 

o   $133000

o   $54000

o   $99000

o   $178000

 

 

Question 9

 Blossom Company recorded the following cash transactions for the year:

 

Paid $139500 for salaries.

Paid $59400 to purchase office equipment.

Paid $14100 for utilities.

Paid $6400 in dividends.

Collected $289000 from customers.

 

What was Blossom's net cash provided by operating activities?

 

o   $135400

o   $149500

o   $129000

o   $76000

 

Question 10

The total liabilities of Bonita Industries decreased by $99000 during the month of August 2022. Stockholders’ equity increased by $32000 during this period. By what amount and in what direction must total assets have changed during August?

 

o   $131000 increase

o   $67000 decrease

o   $67000 increase

o   $99000 decrease

 

Question 11

 Skysong, Inc. began the year with retained earnings of $308000. During the year, the company issued $417000 of common stock, recorded expenses of $1193000, and paid dividends of $80400. If Skysong's ending retained earnings was $328000, what was the company’s revenue for the year?

 

o   $1710400

o   $1293400

o   $1630000

o   $1213000

 

Question 11

Skysong, Inc. began the year with retained earnings of $308000. During the year, the company issued $417000 of common stock, recorded expenses of $1193000, and paid dividends of $80400. If Skysong's ending retained earnings was $328000, what was the company’s revenue for the year?

 

 

o   $1630000

o   $1213000

o   $1293400

o   $1710400

 

Question 12

 Novak Corp. had the following accounts and balances:

Accounts payable    $30000                      Equipment     $34300

Accounts receivable            5400              Land   34500

Buildings       ?                     Unearned service revenue  10500

Cash   14700            Total stockholders' equity  ?

 

If the balance of the Buildings account was $79200, what would be the total of liabilities and stockholders' equity?

 

 

o   $168100

o   $162700

o   $117100

o   $127600

 

Question 13

 Which statement about long-term investments is not true?

 

o   They will be held for more than one year.

o   They are not currently used in the operation of the business.

o   They include investments in stock of other companies and land held for future use.

o   They do not include long-term notes receivable.

 

 

Question 14

 Buildings are classified on the balance sheet as

 

o   An intangible asset.

o   Property, plant, and equipment.

o   A long-term investment.

o   A current asset.

 

Question 15

 Which of the following would not be classified as a long-term liability?

 

o   Lease liabilities

o   Bonds payable

o   Current maturities of long-term debt

o   Mortgage payable

 

 

Question 16

 A current asset is

 

 

o   The last asset purchased by a business.

o   Usually found as a separate classification in the income statement.

o   An asset which is currently being used to produce a product or service.

o   Expected to be converted to cash or used in the business within one year or one operating cycle, whichever is longer.

 

 

 

 

Question 17

 An intangible asset

 

o   Is worthless because it has no physical substance.

o   Is converted into a tangible asset during the operating cycle.

o   Derives its value from the rights and privileges it provides the owner.

o   Cannot be classified on the balance sheet because it lacks physical substance.

 

 

 

Question 18

On a classified balance sheet, intangible assets are

 

o   Listed directly under current assets on the balance sheet.

o   Not listed on the balance sheet because they do not have physical substance.

o   Listed after property, plant, and equipment.

o   Listed as a long-term investment on the balance sheet.

 

 

Question 19

 On a classified balance sheet, companies usually list current assets

 

o   In the order in which they are expected to be converted into cash.

o   In the order of acquisition.

o   In alphabetical order.

o   With the largest dollar amounts first.

 

Question 20

 What is the order in which assets are generally listed on a classified balance sheet?

 

o   Current; property, plant and equipment; intangibles; long-term investments

o   Current; long-term investments; property, plant and equipment, intangibles

o   Current and long-term

o   Current; property, plant and equipment; long-term investments; intangibles

 

Question 21

 Which of the following is not classified properly as a current asset?

 

o   Supplies

o   Short-term debt investments

o   A fund to be used to purchase a building within the next year

o   A receivable from the sale of an asset to be collected in two years

 

 

Question 22

 Which of the following is generally not classified as a current liability?

 

o   Salaries and Wages Payable

o   Taxes Payable

o   Bonds Payable

o   Accounts Payable

 

 

Question 23

 Liabilities are generally classified on a balance sheet as

 

 

o   Current liabilities and long-term liabilities.

o   Small liabilities and large liabilities.

o   Tangible liabilities and intangible liabilities.

o   Present liabilities and future liabilities.

 

 

Question 24

 The operating cycle of a company is the average time that is required to go from cash to

 

o   Accounts receivable in producing revenues.

o   Sales in producing revenues.

o   Cash in producing revenues.

o   Inventory in producing revenues.

 

Question 25

 In which balance sheet section would trademarks be reported?

 

o   Investments

o   Property, plant, and equipment

o   Current assets

o   Intangible assets