Question

Part I. Multiple Choice (4*10=40) 1. Which of the following best describes the balance sheet? A. It includes a listing of assets at their market values. B. It includes a listing of assets, liabilities, and stockholders' equity at their market values. C. It provides information pertaining to a company's assets and the providers of the assets. D. It provides information pertaining to a company's liabilities for a period of time. 2. Which of the following correctly describes the various financial statements? A. An income statement covers a period of time. B. The cash flow statement is a point in time financial statement. C. The balance sheet is a period of time financial statement. D. The statement of retained earnings is a point in time financial statement 3. Which of the following best describes assets? A. Resources with possible future economic benefits owed by an entity as a result of past transactions. B. Resources with probable future economic benefits owned by an entity as a result of past transactions. C. Resources with probable future economic benefits owned by an entity as a result of future transactions. D. Resources with possible future economic benefits owed by an entity as a result of future transactions. 4. Which of the following reflects the impact of a transaction where $200,000 cash was invested by stockholders in exchange for stock? A. Assets and liabilities each increased $200,000. B. Assets and revenues each increased $200,000. C. Stockholders' equity and revenues each increased $200,000. D. Stockholders' equity and assets each increased $200,000. 5. Colby Corporation has provided the following information: Operating revenues were $199,700. Operating expenses were $111,000. Interest expense was $9,200. Gain from sale of plant and equipment was $3,300. Dividend payments to Colby's stockholders were $7,700. Income tax expense was $36,000. How much was Colby's net income? A. $39,100 B. 548,300 C. $52,700 D. $46,800 6. Which of the following journal entries is prepared when a customer pays cash prior to delivery of the goods or services? Revenues B. Cash Unearned revenues C. Unearned revenues Cash D. Cash Accounts receivable A. Option A B. Option B C. Option C D. Option D 7. Which of the following journal entries is correct when a company has incurred interest expense but has not yet paid the interest? A Cash

Answer 1

As per HOMEWORKLIB RULESs, when multiple questions are given expert have to answer first questions or specified question asked by expert. I answered as HOMEWORKLIB RULES guidelines. Hope u understand and thanks