Questions
Multiple Choice 1) A classified balance sheet: • Organizes assets and liabilities into important subgroups that...

Multiple Choice

1) A classified balance sheet:

• Organizes assets and liabilities into important subgroups that provide more information.
• Broadly groups items into assets, liabilities and equity.
• Measures a company's ability to pay its bills on time.
• Reports the effect of profit and dividends on retained earnings.
• Reports operating, investing, and financing activities.

2) A credit entry:

• Is recorded on the left side of a T-account.
• Decreases asset and expense accounts, and increases liability, stockholders' equity, and revenue accounts.
• Is always an increase in an account.
• Is always a decrease in an account.
• Increases asset and expense accounts, and decreases liability, stockholders' equity, and revenue accounts.

3) A debit:

• ls the left-hand side of a T-account.
• Is the right-hand side of a T-account.
• Is not need to record a transaction.
• Always decreases an account.
• Always increases an account.

4) A double-entry accounting system is an accounting system:

• That records each transaction twice.
• That insures that errors never occur.
• That may only be used if T-accounts are used.
• In which each transaction affects and is recorded in two or more accounts but that could include two debits and no
credits.
• That records the effects of transactions and other events in at least two accounts with equal debits and credits.

5) Accounting is an information and measurement system that does all of the following except:

• Communicates business activities.
• Records business activities.
• Helps people make better decisions.
• ldentifies business activities.
• Eliminates the need for interpreting financial data.

6) An account linked with another account that has an opposite normal balance and is subtracted from
the balance of the related account is a(n):

• Adjunct account.
• Accrued expense
• Accrued revenue.
• Intangible asset.
• Contra account.

7) Closing the temporary accounts at the end of each accounting period does all of the following except:

• Brings the revenue and expense accounts to zero balances.
• Serves to trarnsfer the effects of these accounts to the retained earnings account on the balance sheet.
• Causes retained earnings to reflect increases from revenues and decreases from expenses and dividends.
• Prepares the dividends account for use in the next period.
• Has no effect on the retained earnings account.

8) Fragmental Co. leased a portion of its store to another company for eight months beginning on
October 1, at a monthly rate of $800. Fragmental collected the entire $6,400 cash on October 1 and
recorded it as unearned revenue. Assuming adjusting entries are only made at year-end, the adjusting
entry made by Fragmental Co. on December 31 would be

• Adebit to Rent Revenue anda credit to Unearned Rent for $2,400.
• A debit to Unearned Rent and a credit to Rent Revenue for $2,400.
• A debit to Rent Revenue and a credit to Cash for $2,400.
• A debit to Cash and a credit to Rent Revenue for $6,400.
• A debit to Unearned Rent and a credit to Rent Revenue for $4,000.

9) Holman Company owns equipment with an original cost of $95,000 and an estimated salvage value of
$5,000 that is being depreciated at $15,000 per year using the straight-ine depreciation method, and
only prepares adjustments at year-end. The adjusting entry needed to record annual depreciation is

• Debit Depreciation Expense, $10,000; credit Accumulated Depreciation, $10,000.
• Debit Equipment, $15,000: credit Accumulated Depreciation, $15,000.
• Debit Depreciation Expense, $10,000; credit Equipment, $10,000.
• Debit Depreciation Expense, $15,000; credit Equipment, $15,000.
• Debit Depreciation Expense, $15,000; credit Accumulated Depreciation, $15,000.

10) It is obvious that an error occurred in the preparation and/or posting of closing entries if:

• the income summary account is debited for the amount of net income for the period.
• all revenue and expense accounts have zero balances.
• all balance sheet accounts have zero balances.
• only permanent accounts appear on the post-closing trial balance.
• the retained earnings account is debited for the amount of the net loss for the period.

In: Accounting

Provide an example of transaction that follows five-step revenue recognition principle. Please identify each revenue recognition...

Provide an example of transaction that follows five-step revenue recognition principle. Please identify each revenue recognition steps.

In: Accounting

Explain the relationship between Marketing efforts and actual Revenue dollars?  How does Marketing efforts drive Revenue?

Explain the relationship between Marketing efforts and actual Revenue dollars?  How does Marketing efforts drive Revenue?

In: Operations Management

1: Marginal revenue product equals a. marginal revenue multiplied by marginal product b. marginal product multiplied...

1:

Marginal revenue product equals

a.

marginal revenue multiplied by marginal product
b.

marginal product multiplied by total revenue
c.

total revenue multiplied by total product
d.

marginal revenue multiplied by total product

2:

The long-run is a period of time

a.

during which at least one input is variable
b.

during which at least one input is fixed
c.

sufficient to vary all inputs in the production process
d.

greater than one year

3:

Marginal cost equals

a.

average variable cost at its maximum point
b.

the change in total fixed cost divided by the change in quantity
c.

the change in total variable cost divided by the change in quantity
d.

total cost divided by quantity

4:

The unique characteristic of a firm in perfectly competitive market equilibrium is

a.

MR continues to decrease
b.

P > AC
c.

P > MR
d.

P = MC

5:

The distinction between a firm and an industry does not exist in

a.

imperfectly ccompetitive markets
b.

Oligopoly
c.

monopoly
d.

perfect competition

6:

In a perfectly competitive market

a.

sellers and buyers have perfect information
b.

entry and exit are difficult
c.

sellers produce similar, but not identical products
d.

each seller can affect the market price by changing output

In: Economics

Restaurant Revenue and Website Hits (n = 10 restaurants) Web Hits Revenue 1213 $12,113 1490 11,409...

Restaurant Revenue and Website Hits (n = 10 restaurants)
Web Hits Revenue
1213 $12,113
1490 11,409
1365 14,579
1455 11,605
1269 12,308
1632 12,320
1323 13,225
1865 13,652
1590 13,893
1878 13,896
Note: Data are for one week.

-Obtain the regression equation. (Negative values should be indicated by a minus sign. Round your answers to 4 decimal places.)
  
Y = _______ X + ______

-Calculate R2. (Round your answer to 4 decimal places.)
  
R2 ______

-Calculate the degrees of freedom and t-critical for a two-tailed t test for zero slope at α = .05. (Round your answers to 2 decimal places.)
  

Degrees of freedom
t - critical ±

  

In: Statistics and Probability

a. Explain how marginal revenue curves are derived from total revenue curves. b. Explain why marginal...

a. Explain how marginal revenue curves are derived from total revenue curves.

b. Explain why marginal revenue curves might slope downwards.

c. Explain why marginal revenue curves might be horizontal.

In: Economics

Crops & feed revenue 145,600 Livestock and livestock product revenue 215,300 Total nonfarm income 12,000 Total...

Crops & feed revenue 145,600
Livestock and livestock product revenue 215,300
Total nonfarm income 12,000
Total farm operating expenses 252,629
Depreciation expense 50,526
Income tax expense 10,827
Interest expense 64,962
Withdrawals for family living 28,000
Principal payments on unpaid operating debts 0
Principal payments on current portions of debt & leases 29,890

1) Calculate capital replacement and term debt repayment capacity for LongView Farms.

2) Calculate capital replacement and term debt repayment margin (CRDRM) for LongView Farms.

3) Solve the percent that crop revenue and livestock revenue can decline and still maintain positive CRDRM.

4) Solve the percent operating expenses and interest expenses can increase and still maintain positive CRDRM.

In: Accounting

clark county school district revenue sources & expenditures. include revenue page i meant to put reference...

clark county school district revenue sources & expenditures. include revenue page

i meant to put reference page

In: Finance

Based on the information below, answer questions (a)-(g) Price (P) Quantity (Q) Revenue Marginal Revenue 20...

  1. Based on the information below, answer questions (a)-(g)

Price (P)

Quantity (Q)

Revenue

Marginal Revenue

20

0

18

2

16

4

14

6

12

8

10

10

8

12

6

14

4

16

2

18

0

20

(a) Based on the information above write down the demand equation.

(b) Write down the marginal revenue equation.

(c) Given that the marginal cost is Q, what would be the profit maximizing level of Q?

(d) What would be the profit maximizing level of P?

(e) What would be the price elasticity at the profit maximizing P?

(f) What would be the maximized profit?

(g) Draw a well-labeled graph that shows your answers from questions (a)-(f).

In: Economics

Assume Domino's Pizza has the following monthly revenue and cost functions: Total Revenue= $10.00x Total Cost=...

Assume Domino's Pizza has the following monthly revenue and cost functions:

Total Revenue= $10.00x Total Cost= $16000+$4.00x

a. Prepare a graph illistrating Domino's cost-volume-profit relationship. The vertical axis should range from $0 to $72,000, in increments os $12,000. The horizontal axis should range from 0 units to 6,000 units, in increments of 2,000 units.

b. Prepare a graph illustrating Domino's profit-volume relationship. The horizontal axis should range from 0 units to 6,000 units, in increments of 2,000 units.

c. When is it most appropriate to use a profit-volume graph?

In: Accounting