Financial Statements-3

Quiz

Which of the following statements contains the amount of fixed assets ?
1. Balance Sheet
2. Income Statement
3. Cash Flow Statement
4. Statement Of Equity (Capital)
Which of the following statements contains what is often referred to as "the bottom line" ?
1. Balance Sheet
2. Income Statement
3. Cash Flow Statement
4. Dividend Statement
Which of the following equations are correct ?
1. Capital=Assets-Liabilities
2. Assets + Capital=Liabilities
3. Liabilities=Assets-Capital
4. Assets+Liabilities=Capital
Which of the following is prepared to determine a business's profit/loss for a period ?
1. Balance Sheet
2. Income Statement
3. Statement Of Cash Flows
4. Trial Balance
5. Capital Statement
The term Gross Profit appears in what statement ?
1. Balance Sheet
2. Income Statement
3. Trial Balance
4. Statement Of Cash Flows
5. Capital Statement
The calculation of Gross Profit is __________________.
1. Sales less Purchases
2. Sales less Cost Of Goods Sold
3. Sales less Total Expenses
4. Sales less Selling Expenses
Which of the following is not a Current Asset ?
1. Cash
2. Inventory
3. Goodwill
4. Accounts Receivable
How does the Income Statement link to the Balance Sheet ?
1. thru the Cash Accounts
2. thru the Retained Earnings Accounts
3. thru the Fixed Asset Account
4. thru the Liability Accounts
EBIT means ____________________.
1. Earnings before interest and taxes
2. Earnings before income taxes
3. Earnings before income and taxes
Which of the following statements is made up of three sections - operating, investing, and financing ?
1. the Cash Flow Statement
2. the Statement of Equity
3. the Balance Sheet
4. the Income Statement
The Balance Sheet Accounts are also referred to as Nominal or Temporary Accounts.
1. True
2. False
Balance Sheet Accounts are normally grouped into sub-categories such as Current Assets, Fixed Assets, and Other Assets.
1. True
2. False
Which of the following are Current Assets ?
1. Cash
2. Accounts Receivable
3. Goodwill
4. Equipment
5. Notes Payable
6. Inventory
Which of the following are Balance Sheet Accounts ?
1. Cash
2. Cost Of Goods Sold
3. Employee Wages
4. Accounts Receivable
5. Inventory
6. Sales
7. Prepaid Insurance
The Income Statement is also known as a Profit/Loss Statement.
1. True
2. False
The Balance Sheet reports the profit/loss for a period of time.
1. True
2. False
Cost Of Goods Sold appears in which Financial Statement ?
1. Balance Sheet
2. Income Statement
3. Cash Flow Statement
4. Capital Statement
Which of the following are assets ?
1. Cash
2. Accounts Payable
3. Notes Payable
4. Equipment
5. Buildings
Which of the following are Current Assets ?
1. Cash
2. Accounts Receivable
3. Goodwill
4. Equipment
5. Notes Payable
6. Inventory
Gross Profit is calculated by deducting Cost Of Goods Sold from Net Sales.
1. True
2. False
A Single-Step Income Statemnt has a line for Gross Profit.
1. True
2. False
A Balance Sheet does NOT include which of the following ?
1. Assets
2. Liabilities
3. Owner's Equity
4. Expenses
Another term sometimes used to refer to the assets of a business is property.
1. True
2. False
The Balance Sheet is a formal financial statement that summarizes revenues and expenses for a specific period of time.
1. True
2. False
Retained Earnings is a part of Stockholder's Equity.
1. True
2. False
A Balance Sheet is also known as a Statement Of Financial Position.
1. True
2. False
Prepaid Expenses should be classified in a Balance Sheet as ?
1. Fixed Assets
2. Intangible Assets
3. Current Liabilities
4. Current Assets
5. Owner's Equity
Which Financial Statemnt does not cover a Period Of Time ?
1. Income Statement
2. Balance Sheet
3. Statement of Cash Flows
4. Capital Statement
Which of the following should NOT be classified in the Balance Sheet as Property, Plant, and Equipment ?
1. Automobile held for resale
2. Land
3. Building used as an office
4. Land Improvements
5. Machinery used in the business
In a Classified Balance Sheet, Current Assets are normally listed ?
1. In the order that they are expected to be converted into cash (collected)
2. Alphabetically
3. By Account Number
4. Largest dollar amount first
Which accounts listed below are not a subcategory of Owner's Equity ?
1. Assets
2. Liabilities
3. Revenues
4. Expenses
5. Dividends/Draws
In addition to Cash, the Current Asset Classification includes ?
1. Accounts Receivable
2. Inventory
3. Temporary Investments
4. Land
5. Accounts Payable
6. Equipment
Which account is NOT included in the Income Statement ?
1. Accumulated Depreciation
2. Depreciation Expense
3. Sales Revenue
4. Advertising Expense
5. Interest Expense
On which Financial Statement would the description "For The Period Ending" NOT appear ?
1. Balance Sheet
2. Income Statement
3. Statement Of Owner's Equity
4. Statement Of Cash Flows
What does the Income Statement report ?
1. profitability
2. liquidity
3. solvency
4. all of the listed answers are correct