Revenue is most commonly recognized at the time when:
(a) Cash is collected
(b) The order is received from customers
(c) The sale is made
(d) None of these
Revenue is most commonly recognized at the time when: Read More »
Accounting
In projecting the future profitability of a trading company, investors will be least concerned with changes in:
(a) The gross profit rate
(b) The quick ratio
(c) Sales volume
(d) None of these
When a partnership is liquidated
(a) Any cash distribution to partners is allocated according to the profit and loss sharing ratio.
(b) Cash is distributed to each partner according to his or her capital account balance before the sale of partnership assets.
(c) Any gain or loss on disposal of partnership assets is divided among the partners according to their relative account balances.
(d) None of these
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Both the accounts for depreciation expense and accumulated depreciation
(a) Are closed at the end of the period
(b) Appear in the Adjusted Trial Balance Columns of the worksheet
(c) Appear in the Trial Balance Columns of the worksheet
(d) None of these
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which of the following amounts appears in both the income statement and balance sheet?
(a) Net Income
(b) Accumulated depreciation
(c) Dividends
(d) None of these
which of the following amounts appears in both the income statement and balance sheet? Read More »
Which of the following is not an acceptable inventory method?
(a) Lower of cost or market
(b) Sales value
(c) Specific identification
(d) None of these
Which of the following is not an acceptable inventory method? Read More »
If sales increase by 10% from year 1 to 2 and cost of goods sold increases only 6%, the gross profit on sales will increase by:
(a) 4%
(b) 10%
(c) 6%
(d) None of these
company has current ratio of 2 to 1 at the end of year 1. Which one of the following transactions will increase this ratio
(a) Sales of bonds payable at a discount
(b) Declaration of a 20% cash dividend
(c) Collection of a large account receivable
(d) None of these
Which of the following is not an intangible asset?
(a) A patent
(b) A trademark
(c) An investment in marketable securities
(d) None of these
Which of the following is not an intangible asset? Read More »
The book value of the depreciable asset is best defined as
(a) The un-depreciated cost of the asset
(b) The price that the asset would fetch if offered for sale
(c) Accumulated depreciation of the asset since acquisition
(d) None of these
The book value of the depreciable asset is best defined as Read More »