Question Details

HSM 340 WEEK 2 Quiz
 1.	Question :	A statement that reports inflows and outflows of cash during the accounting period in the categories of operations, investing, and financing, is called a(an):

 
Question 2. Two major methods of asset valuation are:

	
Question 3._____ is the most important financial metric to review to determine long-term financial viability.

 	


Question 4. What should be a firm's primary long-term financial objective?
 	


Question 5	 What are the major reasons for accrual accounting?

 	

Question 6. What is an audit (in the context of financial accounting)?

 		

Question 7 The HC method, which uses unadjusted historical costs, does not take into account depreciation expenses, purchasing power, and unrealized gains in replacement value. Despite these weaknesses as a financial reporting method, the HC method is used more frequently for accounting purposes than other methods, such as the HC-GPL, CV, and CV-GPL methods. Why is this so?

 	


Question 8. List and describe the three categories of net assets.