Questions from College Accounting

Q: Describe leveraging and give an example of how a corporation can gain

Describe leveraging and give an example of how a corporation can gain leverage by issuing bonds.

Q: Identify four disadvantages of a partnership form of business organization.

Identify four disadvantages of a partnership form of business organization.

Q: Describe the indirect method of reporting cash flows from operating activities.

Describe the indirect method of reporting cash flows from operating activities.

Q: List the six steps to be followed when preparing a statement of

List the six steps to be followed when preparing a statement of cash flows. Be sure to include all aspects of the statement’s preparation.

Q: Financial statement analysis generally focuses on five main aspects of the business’s

Financial statement analysis generally focuses on five main aspects of the business’s financial health. What are they?

Q: Name the types of cash flows associated with operating activities.

Name the types of cash flows associated with operating activities.

Q: Using T accounts for Cash, Accounts Receivable, Sales Tax Payable

Using T accounts for Cash, Accounts Receivable, Sales Tax Payable, Sales, Sales Returns and Allowances, and Sales Discounts, enter the following sales transactions. Use a new set of accounts for each...

Q: Based on the following information, compute net sales. Gross

Based on the following information, compute net sales. Gross sales $3,860 Sales returns and allowances 410 Sales discounts 80

Q: Prepare journal entries for the following transactions. Aug. 4

Prepare journal entries for the following transactions. Aug. 4 sold merchandise on account to S. Miller for $320 plus sales tax of 4%, with 2/10, n/30 cash discount terms. 6 Sold merchandise on accou...

Q: Enter the following transactions in a general journal. Use a 6

Enter the following transactions in a general journal. Use a 6% sales tax rate. May 1 Sold merchandise on account to J. Adams, $2,000 plus sales tax. Sale No. 488. 4 Sold merchandise on account to B....