of 84

Financial Accounting A Business Process Approach 3rd Edition Reimers Test Bank

9 views84 pages

Download

All materials on our website are shared by users. If you have any questions about copyright issues, please report us to resolve them. We are always happy to assist you.
Full download : http://alibabadownload.com/product/financial-accounting-a-business-process-approach-3rd-edition-reimers-test-bank/ Financial Accounting A Business Process Approach 3rd Edition Reimers Test Bank , Financial Accounting A Business
  1 Copyright © 2011 Pearson Education, Inc.    Financial Accounting: A Business Process Approach, 3e  (Reimers) Chapter 1 Business: What's It All About? Learning Objective 1-1 1.1-1) The ownership structure of a business includes the following forms ________. A) individual, group, and corporate B) sole proprietorship, partnership, and corporation C) service, manufacturing, and financial D) debtors, creditors, and owners Answer: B Diff: 1 Objective: LO 1-1 1.1-2) Which of the following is true about a sole proprietorship? A) A sole proprietorship is a company owned by two or more individuals. B) The owner's liability is limited to the amounts invested in the business. C) Income from a sole proprietorship is distributed to the owner in the form of a dividend. D) The income from a sole proprietorship is taxed on the owner's personal income tax return. Answer: D Diff: 2 Objective: LO 1-1 1.1-3) A partnership agreement ________. A) exempts partners from unlimited liability B) establishes the partnership as a separate legal entity C) details how much work partners will do and how they will split up the profits D) defines how many shares of stock the partnership may sell to investors Answer: C Diff: 3 Objective: LO 1-1 1.1-4) The two types of merchandising businesses include ________. A) wholesale and retail B) service and financial C) manufacturing and retail D) service and wholesale Answer: A Diff: 2 Objective: LO 1-1 Financial Accounting A Business Process Approach 3rd Edition Reimers Test Bank Full Download: http://alibabadownload.com/product/financial-accounting-a-business-process-approach-3rd-edition-reimers-test-b This sample only, Download all chapters at: alibabadownload.com  2 Copyright © 2011 Pearson Education, Inc.   1.1-5) The inputs of a firm include ________. A) revenues B) liabilities C) inventory and supplies D) All of these are correct. Answer: C Diff: 1 Objective: LO 1-1 1.1-6) A corporation ________. A) is a legal entity separate from the owners B) is a manufacturer and not a service organization C) may cause unlimited liability for its shareholders D) provides goods or services for the sole purpose of helping people Answer: A Diff: 1 Objective: LO 1-1 1.1-7) Corporations are ________. A) for-profit businesses only B) manufacturers and not service organizations C) owned by shareholders D) exempt from legal liability Answer: C Diff: 1 Objective: LO 1-1 1.1-8) Advantages of the corporate form of business organization include ________. A) double taxation B) limited liability for shareholders C) separation of ownership and management D) Two or more of these are correct. Answer: B Diff: 3 Objective: LO 1-1 1.1-9) Disadvantages of the corporate form of business organization include ________. A) double taxation B) limited liability for shareholders C) separation of ownership and management D) two or more of these Answer: D Diff: 3 Objective: LO 1-1  3 Copyright © 2011 Pearson Education, Inc.   1.1-10) Which of the following is legally a separate entity from its owner(s)? A) sole proprietorship B) partnership C) corporation D) Two of these are correct. Answer: C Diff: 1 Objective: LO 1-1 1.1-11) The outputs of a firm are its ________. A) capital contributions B) services provided to customers C) delivery of products to customers D) Two or more of these are correct. Answer: D Diff: 1 Objective: LO 1-1 1.1-12) A service company ________. A) is a wholesale business B) manufactures goods C) is a retail business D) None of these are correct. Answer: D Diff: 1 Objective: LO 1-1 1.1-13) The four types of business are ________. A) service, wholesale, retail, and financial B) for profit, nonprofit, wholesale, and retail C) service, merchandising, manufacturing, and financial services D) financial, manufacturing, service, and wholesale Answer: C Diff: 3 Objective: LO 1-1 1.1-14) A manufacturing business ________. A) will lend money to customers B) buys goods for resale C) provides services to its customers D) makes the products it sells Answer: D Diff: 1 Objective: LO 1-1  4 Copyright © 2011 Pearson Education, Inc.   1.1-15) Financial services companies ________. A) deal in services related to money B) sell insurance to their customers C) lend money to consumers to pay for cars and houses D) All of these are correct. Answer: D Diff: 1 Objective: LO 1-1 1.1-16) A business in the form of a sole proprietorship ________. A) is separate and distinct from its owner B) is a separate legal entity C) files its own tax return D) is a company with a single owner Answer: D Diff: 1 Objective: LO 1-1 1.1-17) A partnership ________. A) is a business owned by two or more individuals B) has owners who are legally liable for everything the company does C) may be organized under a partnership agreement D) is all of these Answer: D Diff: 2 Objective: LO 1-1 1.1-18) The owners of a corporation are called ________. A) shareholders B) partners C) stockholders D) two or more of these Answer: D Diff: 1 Objective: LO 1-1 1.1-19) Which of the following is true about a corporation? A) Corporations must have a minimum of two or more shareholders. B) Each individual shareholder has individual legal responsibility for the corporation's actions. C) Corporations are exempt from taxes; however, the shareholders are required to pay taxes on dividends received. D) Managers of corporations can be held responsible for the actions of the corporation. Answer: D Diff: 3 Objective: LO 1-1  5 Copyright © 2011 Pearson Education, Inc.   1.1-20) Stock sold for the first time is called ________. A) issued B) traded C) capital D) dividends Answer: A Diff: 2 Objective: LO 1-1 1.1-21) Stock may be purchased ________. A) on a stock exchange B) on the internet C) from a stockbroker D) from more than one of these Answer: D Diff: 2 Objective: LO 1-1 1.1-22) The stock market is ________. A) located in New York City B) the general term used to refer to all stock exchanges C) where the IRS is located D) where businesses become incorporated Answer: B Diff: 2 Objective: LO 1-1 1.1-23) The law firm of Doolittle and Baroque is an example of a ________ firm. A) service B) merchandising C) manufacturing D) financial services Answer: A Diff: 1 Objective: LO 1-1 1.1-24) The governmental agency that monitors the stock market and the financial reporting of firms that trade in the market is the ________. A) Financial Accounting Standards Board (FASB) B) Internal Revenue Service (IRS) C) Public Company Accounting Oversight Board (PCAOB) D) Securities and Exchange Commission (SEC) Answer: D Diff: 2 Objective: LO 1-1
We Need Your Support
Thank you for visiting our website and your interest in our free products and services. We are nonprofit website to share and download documents. To the running of this website, we need your help to support us.

Thanks to everyone for your continued support.

No, Thanks