Accounting

Question: In exchange of similar assets:
A
neither gains nor losses are recognized immediately.

B
gains but not losses, are recognized immediately.

C
losses, but not gains, are recognized immediately.

D
both gains and losses are recognized immediately.

Note: Not available
1. Report
Question: Maggie Sharrer Company expects to extract 20 million tons of coal from a mine that cost $12 million. If no salvage value is expected and 2 million tons are mined and sold in the first year, the entry to record depletion will include a:
A
debit to Accumulated Depletion of $2,000,000.

B
credit to Depletion Expense of $1,200,000.

C
debit to Depletion Expense of $1,200,000

D
credit to Accumulated Depletion of $2,000,000

Note: Not available
1. Report
Question: Martha Beyerlein Company incurred $150,000 of research and development costs in its laboratory to develop a patent granted on January 2, 2002. On July 31,2002, Beyerlein paid $35,000 for legal fees in a successful defense of the patent. The total debited to patents through July 31,2002, should be:
A
$150,000

B
$35,000

C
$185,000

D
some other amount.

Note: Not available
1. Report
Question: Indicate which of the following statements is true.
A
Since intangible assets lack physical substance, they need be disclosed only in the notes to the financial statements.

B
Goodwill should be reported as a contra-account in the owner's equity section.

C
Totals of major classes of assets can be shown in the balance sheet, with asset details disclosed in the notes to the financial statements.

D
Intangible assets are typically combined with plant assets and natural resources and shown in the property, plant and equipment section.

Note: Not available
1. Report
Question: The time period for classifying a liability as current is one year or the operating cycle, whichever is:
A
longer.

B
shorter.

C
probable.

D
possible.

Note: Not available
1. Report
Question: To be classified as a current liability, a debt must be expected to be paid:
A
out of existing current assets.

B
by creating other current assets.

C
within 2 years.

D
both (a) and (b).

Note: Not available
1. Report
Question: Maggie Sharrer Company borrows $88,500 on September 1,2002 from Sandwich State Bank by signing an $88,500, 12%, one-year note. What is the accrued interest at December 31,2002 ?
A
$2655

B
$3540

C
$4425

D
$10620

Note: Not available
1. Report
Question: Rhodes Company has total proceeds from sales of $4515. If the proceeds include sales taxes of 5%, the amount to be credited to Sales is:
A
$4000

B
$4300

C
$4,289.25

D
No correct answer given.

Note: Not available
1. Report
Question: Working capital is calculated as:
A
current assets minus current liabilities.

B
total assets minus total liabilities.

C
long-term liabilities minus current liabilities.

D
both (b) and (c)

Note: Not available
1. Report
Question: A contingent liability should be recorded in the accounts when:
A
it is probable the contingency will happen, but the amount cannot be reasonably estimated.

B
it is reasonably possible the contingency will happen, and the amount can be reasonable estimated.

C
it is probable the contingency will happen and the amount can be reasonable estimated.

D
it is reasonably possible the contingency will happen but the amount cannot be reasonably estimated.

Note: Not available
1. Report

First Prev 9 10 11 12 13 Next Last

Question: In exchange of similar assets:

Question: Maggie Sharrer Company expects to extract 20 million tons of coal from a mine that cost $12 million. If no salvage value is expected and 2 million tons are mined and sold in the first year, the entry to record depletion will include a:

Question: Indicate which of the following statements is true.

Question: The time period for classifying a liability as current is one year or the operating cycle, whichever is:

Question: To be classified as a current liability, a debt must be expected to be paid:

Question: Maggie Sharrer Company borrows $88,500 on September 1,2002 from Sandwich State Bank by signing an $88,500, 12%, one-year note. What is the accrued interest at December 31,2002 ?

Question: Rhodes Company has total proceeds from sales of $4515. If the proceeds include sales taxes of 5%, the amount to be credited to Sales is:

Question: Working capital is calculated as:

Question: A contingent liability should be recorded in the accounts when: