Practice Quiz Week 1 ACC 561 – Flashcards

The proprietorship form of business organization

Most business enterprises in the United States are

A business organized as a separate legal entity is a

Which of the following is the best definition of an internal user of accounting information?

Which of the following groups uses accounting information primarily to insure the entity is operating within prescribed rules?

Which of the following external groups uses accounting information to determine whether the company can pay its obligations?

Which of the following financial statements is divided into major categories of operating, investing, and financing activities?

Ending retained earnings for a period is equal to beginning

The financial statement that summarizes the changes in retained earnings for a specific period of time is the

To show how successfully your business performed during a period of time, you would report its revenues and expenses in the

Which financial statement is prepared first?

An income statement shows

Wildhorse Co. compiled the following financial information as of December 31, 2017:

Dividends paid

Bramble Corp. began the year with retained earnings of $651000. During the year, the company recorded revenues of $566000, expenses of $375000, and paid dividends of $144000. What was Bramble retained earnings at the end of the year?

Which of the following organizations issues accounting standards for countries outside the United States?

Generally accepted accounting principles

The agency of the United States Government that oversees the U.S. financial markets is the

What organization issues U.S. accounting standards?

The two fundamental qualities of useful information are

If accounting information has relevance, it is useful in making predictions about