income $ 21,000 Current liabilities 8,000 Stockholders‘ equity 39,000 Average assets 80,000 Total liabilities 21,000 Total assets 60,000 Average common shares outstanding was 10,000. Question 14 Which of the following is not considered a measure of liquidity? Question 15 Free cash flow provides an indication of a company‘s ability to Question 16 If Morris Corporation has a negative $131 million free cash flow, which of the following statements is most likely true? Question 17 Accounting information should be neutral in order to enhance Question 18 The principle that indicates that assets should be reported at the price received to sell an asset is the Question 19 Garrison Company prepares quarterly reports, which it distributes to all stockholders and other entities that rely on its accounting information. Which of the following is the best term for the key assumption in financial reporting that Garrison is following? Question 20 Each of the following statements is justified by a fundamental quality or an enhancing of quality accounting. Write the letter in the blank next to each statement corresponding to the quality involved. ===============================================
ACC 556 Chapter 3 Quiz (100% Score)
FOR MORE CLASSES VISIT www.acc556guide.com Chapter 3 Quiz · Question 1 Economic events that require recording in the financial statements are called accounting transactions · Question 2 An account is often referred to as a T-account because of the way it is constructed. · Question 3 Revenues are a subdivision of stockholders‘ equity. · Question 4 Salaries and wages payable is a type of expense. · Question 5 Operating activities are the types of activities the company performs to generate profits. · Question 6 If total liabilities decreased by $4,000, then · Question 7 An expense · Question 8 Are advanced receipts from customers treated as revenue at the time of receipt? Why or why not? · Question 9 Which statement about an account is true? · Question 10 Which one of the following