Question: In some cases, individuals who start a business have special voting rights that help them exercise more control over the firm. They own a special class of stock called ______ shares.
Answer Choices: Common Preferred Dual-class Convertible
Answer: Dual-class
Question: E-commerce has streamlined the
Answer Choices: a. purchase and payment cycle by automating transactions and eliminating paperwork. b. purchase cycle only by automating transactions. c. purchase cycle but has increased paperwork in the payment cycle. d. payment cycle only.
Answer: a. purchase and payment cycle by automating transactions and eliminating paperwork.
Question: Internet applications to plan and coordinate marketing and sales efforts are known as
Answer Choices: a. supply chain management. b. cloud software management. c. customer relationship management. d. product life-cycle management.
Answer: c. customer relationship management.
Question: Identify the correct journal for this transaction: Adjustment to record accrued salaries at the end of the year.
Answer Choices: General journal Revenue journal Cash receipts journal
Answer: General journal
Question: True or False: The preemptive right allows Larry to purchase any additional shares sold by the company. This right will protect Larry from dilution in the value of the stocks he holds.
Answer Choices: True False
Answer: True
Question: Finding the future value of a cash flow or series of cash flows is called
Answer Choices: A Compounding B Discounting C Depreciation D Amortization E Forecasting
Answer: A Compounding
Question: Which of the following is a common special journal?
Answer Choices: a. Revenue journal b. Purchases journal c. Cash payments journal d. All of these choices are correct.
Answer: d. All of these choices are correct.
Question: Which column would be used in a purchases journal for a lawn service company?
Answer Choices: a. Accounts Payable Cr. b. Accounts Receivable Dr. c. Accounts Payable Dr. d. Accounts Receivable Cr.
Answer: a. Accounts Payable Cr.
Question: The process in the evolution of an accounting system that determines how the system should provide information and meet the users’ needs is the __________ stage.
Answer Choices: a. analysis b. design c. implementation d. feedback
Answer: b. design
Question: Which of the following statements regarding segment analysis is NOT true?
Answer Choices: a. Segment analysis helps analyze the contributions of various segments to the total operating performance of a company. b. Segment analysis dictates total operating performance of a company. c. Segment analysis helps determine the amount of revenue earned by each segment. d. Segment analysis helps determine the increases and/or decreases over a time period of each segment.
Answer: b. Segment analysis dictates total operating performance of a company.
Question: Identify the correct journal for this transaction: Providing services on account.
Answer Choices: General journal Revenue journal Cash receipts journal
Answer: Revenue journal
Question: A repeating payment that is made at the beginning of each period is known as a(n)
Answer Choices: A Ordinary Annuity B Early Annuity C Perpetuity D Annuity Due E Installment Contract
Answer: D Annuity Due
Question: In applying segment analysis to a business with declining total revenue from one year to the next,
Answer Choices: a. a company may discover that revenue growth in one segment may not be sufficient to offset revenue decline in another segment. b. a company will learn very little because segment analysis cannot be done to compare one year to the next. c. a company will not be able to determine if revenue growth in one segment is sufficient to offset revenue decline in another segment. d. a company will learn very little because segment analysis should not be done for companies with declining revenues.
Answer: a. a company may discover that revenue growth in one segment may not be sufficient to offset revenue decline in another segment.
Question: A popular computerized accounting software is
Answer Choices: a. Word® b. Excel® c. Cisco Systems d. QuickBooks®
Answer: d. QuickBooks®
Question: The methods and procedures for collecting, classifying, summarizing, and reporting financial information make up
Answer Choices: a. an accounting system b. bookkeeping c. subsidiary ledgers d. e-commerce
Answer: a. an accounting system
Question: An advantage of using a computer system is
Answer Choices: a. not having to run several reports. b. not having to authorize transactions. c. the simultaneous updating of customer or vendor subsidiary ledgers. d. All of these choices are correct.
Answer: c. the simultaneous updating of customer or vendor subsidiary ledgers.
Question: Based on this example (Ford dual-class structure), which of the following statements is true?
Answer Choices: Classified shares are not issued with the purpose of providing super voting rights to a certain class of investors. Classified shares have super voting rights, which give more control to a certain class of investors.
Answer: Classified shares have super voting rights, which give more control to a certain class of investors.