- Description
ACC 290 Week 1 Practice Quiz
Complete the Week 1 Practice Quiz in WileyPLUS
Practice Question 05
In which forms of business organization are the owners personally liable for all the debts of the business?
| Sole proprietorships and corporations |
| Sole proprietorships and partnerships |
| Partnership and corporation |
| All of the answer choices are correct |
Practice Question 10
Which of the following is not an external user of accounting data?
| Customers |
| Economic planners |
| Labor unions |
| Chief Financial Officer |
Practice Question 26
The financial statements for Harold Corporation contained the following information:
| Accounts receivable | $ 5,000 |
| Sales revenue | 75,000 |
| Cash | 15,000 |
| Salaries and wages expense | 20,000 |
| Rent expense | 10,000 |
How much was Harold’s net income?
| $60,000 |
| $65,000 |
| $45,000 |
| $15,000 |
Practice Question 29
In which of the following sequences are the financial statements usually prepared?
| Balance sheet, statement of cash flows, income statement and retained earnings statement. |
| Balance sheet, retained earnings statement, statement of cash flows, and income statement. |
| Income statement, retained earnings statement, balance sheet, and statement of cash flows. |
| Income statement, balance sheet, retained earnings statement, and statement of cash flows. |
Practice Question 48
Which of the following are not considered to be primary users of financial statements in countries outside the U.S.?
| Economic advisors |
| Private investors |
| Central government planners |
| Tax authorities |
Practice Question 14
For 2017, Stoneland Corporation reported net income, $24,000; net sales, $400,000; and average shares outstanding, 6,000. There were no preferred stock dividends. How much was the 2017 earnings per share?
| $4.00 |
| $0.06 |
| $16.67 |
| $66.67 |
Practice Question 23
The following ratios are available for Leer Inc. and Stable Inc.
| Current Ratio | Debt to Assets Ratio | Earnings per Share | ||||
| Leer Inc. | 2:1 | 75% | $3.50 | |||
| Stable Inc. | 1.5:1 | 40% | $2.75 |
Compared to Stable Inc., Leer Inc. has
| lower liquidity, higher solvency, and higher profitability. |
| higher liquidity, higher solvency, but profitability cannot be compared based on information provided. |
| higher liquidity, lower solvency, and higher profitability. |
| higher liquidity and lower solvency, but profitability cannot be compared based on information provided. |
Practice Question 18
At December 31, 2017, Shorts Company had retained earnings of $2,184,000. During 2017, the company issued stock for $98,000, and paid dividends of $34,000. Net income for 2017 was $402,000. How much was the retained earnings balance at the beginning of 2017?
| $2,454,000 |
| $1,816,000 |
| $2,552,000 |
| $1,914,000 |
Practice Question 27
Which of the following ratios measures the ability of the company to survive over a long period of time?
| Profitability ratios |
| Current ratios |
| Liquidity ratios |
| Solvency ratios |
Practice Question 38
What are the accounting rules that have substantial authoritative support and are recognized as a general guide for financial reporting purposes in the U. S.?
| Generally accepted auditing principles |
| Generally accepted accounting principles |
| General accounting principles |
| Generally accepted accounting standards |