Search
Info
Warning
Danger

Study Resources (Accounting)

21) Wallace Inc wishes to use the revaluation model for this property: Before Revaluation Building Gross Value 150,000 Building Accumulated Depreciation 70,000 Net carrying value 80,000 The fair value for the property is $60,000. Assuming this is the first year of using the revaluation model, what amount would be booked to profit and loss if Wallace chooses.
0 Views
View Answer
21) In value chain analysis, what is the activity of arranging the delivery of products to customers called? A) outbound logistics B) inbound logistics C) shipping D) delivery 22) An AIS provides value by A) improving products or services through information that increases quality and reduces costs. B) providing timely.
0 Views
View Answer
4) A professional sports team and related items (including a stadium) were bought by an exceedingly wealthy investor and sports fan. The negotiated price was $225,000,000. Details of what was purchased and the agreed fair values are as follows: Fair value in $ millions Stadium 70 Land 20 Cable TV broadcasting contract 9 Player contracts 31 Spectator leases on luxury.
1 Views
View Answer
68) Describe an audit trail. 69) Explain how data is organized and stored in an AIS. 70) Describe the basic cycles and business activities for a typical merchandising company. 71) Describe guidelines to follow for a well-designed coding system. 72) Describe the relationship between the general and subsidiary ledgers. .
0 Views
View Answer
11) Which of the following is not a true statement? A) Documentation tools save an organization both time and money. B) Documentation tools are used extensively in the systems development process. C) Data flow diagrams and flowcharts are the two most frequently used systems development documentation tools. D) Data flow diagrams and flowcharts.
0 Views
View Answer
11) Data must be collected about three facets of each business activity. What are they? A) the business activity, the resources it affects, the people who participate B) the business activity, the transactions it creates, the impact on the financial statements C) the inputs, outputs and processes used D) who is involved, what was.
2 Views
View Answer
51) The coding technique most likely used for sales orders is called a A) group code. B) block code. C) data code. D) sequence code. 52) Data processing includes all of the following except A) verifying subsidiary ledger balances. B) changing customer addresses. C) removing inventory items no longer offered. D) adding the name of a new vendor. 53) Which.
0 Views
View Answer
41) In Petaluma, California, electric power is provided to consumers by the Power To The People Electrical Company (PTTP), a local co-op. Each month PTTP mails bills to 70,000 households and then processes payments as they are received. What is the best way for this business to ensure that payment.
0 Views
View Answer
11) Grover Inc wishes to use the revaluation model for this property: Before Revaluation Building Gross Value 120,000 Building Accumulated Depreciation 40,000 Net carrying value 80,000 The fair value for the property is $100,000. What amount would be booked to the 'accumulated depreciation' account if Grover chooses to use the elimination method to record the revaluation? A) $20,000.
1 Views
View Answer
41) What impairment, if any, exists on these product lines? Product A Product B Original cost $7,222,000 $12,536,000 Accumulated depreciation 2,500,000 4,200,000 Fair value 5,062,000 8,916,000 Costs to sell 90,000 340,000 Value in use 4,375,000 8,100,000 A) Product A Product B $0 $0 B) Product A Product B $347,000 0 C) Product A Product B 0 236,000 D) Product A Product B 347,000 236,000 42) What impairment, if any, exists on these product lines? Product A Product B Original cost $7,200,000 $12,000,000 Accumulated depreciation 2,500,000 4,000,000 Fair value 5,000,000 8,000,000 Costs to sell 100,000 350,000 Value in use.
0 Views
View Answer
11) Calculate the missing amounts by completing the table below. 12) Explain the difference between indefinite lived and finite lived intangible assets. 13) What is economic profit as it would be defined in finance or economics? Why is accounting net income not the same as an economist's determination of earnings, as measured.
0 Views
View Answer
31) Inventory information is provided in real time by a firm's accounting information system. The accuracy of this information is questionable, however, since the production manager often reports stock outs of components that the system indicates are in stock. Which of the following characteristics of useful information is absent in.
0 Views
View Answer
9) What are the unique features that lead to the differing accounting treatment between research and development costs? 10) Below are several intangible assets. For each case suggest whether the item should be amortized. If amortization is recommended, what is the useful life that it should be amortized over? Provide justification.
0 Views
View Answer
31) Wilson Inc wishes to use the revaluation model for this property: Before Revaluation Building Gross Value 120,000 Building Accumulated Depreciation 40,000 Net carrying value 80,000 The fair value for the property is $140,000. Using straight-line depreciation and assuming that the property has a remaining depreciable life of 5 years, how much would be booked to accumulated.
0 Views
View Answer
18) Explain the meaning of biological assets and agricultural produce. Classify each of the following items as: biological asset, agricultural produce, or neither. 19) Explain the meaning of biological assets and agricultural produce. Classify each of the following items as: biological asset, agricultural produce, or neither. .
1 Views
View Answer
51) Based on the following information, what is the impairment amount to be recorded? Cost $750,000 Accumulated depreciation 530,000 Value in use (sum of discounted cash flows) 230,000 Fair value 240,000 Disposal costs 5,000 A) $0 B) $10,000 C) $15,000 D) $20,000 52) Based on the following information, what is the impairment amount to be recorded? Cost $750,000 Accumulated depreciation 530,000 Value in use (sum of discounted.
0 Views
View Answer
7) A professional sports team and related items (including a stadium) were bought by an exceedingly wealthy investor and sports fan. The negotiated price was $225,000,000. Details of what was purchased and the agreed fair values are as follows: Fair value in $ millions Stadium 70 Land 20 Cable TV broadcasting contract 9 Player contracts 31 Spectator leases on luxury viewing.
0 Views
View Answer
20) Explain how non-current assets that are part of a discontinued operation should be accounted for. 21) Explain how non-current assets that are held for sale should be accounted for. 22) Speakspere Partners is scaling back operations; the partnership has the following assets on its books that it is considering for sale: a.Speakspere.
2 Views
View Answer
51) Which of the following is a true statement? A) Business strategy directly influences AIS, but not information technology. B) Information technology directly influences organizational culture, but not business strategy. C) Organizational culture directly influences business strategy, but not AIS. D) AIS directly influences information technology, but not business strategy. 52) The transaction cycle that.
0 Views
View Answer
13) Due to increased competition from low-cost foreign manufacturers, Genevive's Toy Company is experiencing significant declines in sales. The company produces its toys from an assembly line. The equipment in this assembly line has not been previously revalued or impaired. For the year ending December 31, 2010, the controller gathered.
1 Views
View Answer
15) Bean World Company produces two distinct product lines: dried beans and canned beans. Due to changing consumer tastes, the company is evaluating these two cash generating units for impairment for the year ending December 31, 2011. Relevant information is as follows: Dried beans Canned beans Original cost $7,222,000 $12,536,000 Accumulated depreciation 2,500,000 4,200,000 Fair value 5,062,000 8,916,000 Costs to sell 90,000 340,000 Risk adjusted.
0 Views
View Answer
10.2   Problems 1) Explain the accounting under the revaluation model available under IFRS. 2) Compare the proportional method and the elimination method for recording the revaluation entry. Which method is preferred? 3) Company Ten purchased land for $400,000 during the year. Fair value at the end of the year was $500,000. Prepare the journal.
0 Views
View Answer
17) Explain how an impairment loss is recorded for non-current assets. 18) Adam's Bikes produces specialized bicycle frames. The production process uses two machines, which together form a cash generating unit (CGU). The following information is relevant to the evaluation of impairment for these machines. Bending machine Welding machine Total CGU Net carrying value 550,000 450,000 1,000,000 Fair value.
0 Views
View Answer
21) The general ledger account that corresponds to a subsidiary ledger account is known as a A) dependent account. B) attribute account. C) entity account. D) control account. 22) Pre-numbered checks, invoices, and purchase orders are examples of A) sequence codes. B) block codes. C) group codes. D) mnemonic codes. 23) A chart of.
0 Views
View Answer
  10.1   Multiple Choice Questions 1) Which statement describes the 'revaluation model'? A) A model which keeps the carrying value of an asset and adjusts for depreciation and impairment. B) A model which restates the value of an asset at each measurement date. C) A model which restates the carrying value of an asset to.
1 Views
View Answer
1) Graphical representations of information are often supplemented by A) product specifications. B) narrative descriptions. C) logic charts. D) oral descriptions from management. 2) The correct label for Shape 1 in the flowchart below is A) Purchase Order 2 B) Purchase Requisition 1 C) Accounts Payable Trial Balance D) 2 3) The correct label for.
5 Views
View Answer
31) The general ledger A) is used to record infrequent or non-routine transactions. B) simplifies the process of recording large numbers of repetitive transactions. C) records all detailed data for any general ledger account that has individual sub-accounts. D) contains summary-level data for every account of the organization. 32) A subsidiary ledger A) is.
0 Views
View Answer