Questions from Financial Accounting

Q: Why is the percent of sales method called the “income statement

Why is the percent of sales method called the “income statement approach” while the aging method is called the “balance sheet approach”?

Q: Uncollectible accounts are the same as a. notes receivable

Uncollectible accounts are the same as a. notes receivable. b. bad debts. c. both a and b. d. none of the above.

Q: Match the term with its definition by placing the corresponding letter in

Match the term with its definition by placing the corresponding letter in the space provided: ______ Example: Amounts owed to a business by another business or individual ______ 1. A contra-account,...

Q: Which depreciation method would be most appropriate for each of the following

Which depreciation method would be most appropriate for each of the following assets? a. This machine is used as a backup to the other machines in the production process. As a result, there are some...

Q: Which depreciation method is generally preferable for income tax purposes? Why

Which depreciation method is generally preferable for income tax purposes? Why? a. Double-declining-balance because it gives higher depreciation deductions in earlier years b. Straight-line because it...

Q: Jody Martin just slept through the class in which Professor Ibanez explained

Jody Martin just slept through the class in which Professor Ibanez explained the concept of depreciation. Because the next test is scheduled for Wednesday, Jody Martin telephones Hanna Svensen to get...

Q: What do we know about the relationship between the market rate of

What do we know about the relationship between the market rate of interest and the stated interest rate for a particular bond when the bond is sold at a. par? b. a premium? c. a discount?

Q: Internal controls are designed to safeguard assets, encourage employees to follow

Internal controls are designed to safeguard assets, encourage employees to follow company policies, promote operational effciency, and ensure accurate records. Which objective is most important? What...

Q: Which interest rate on a bond determines the amount of the semi

Which interest rate on a bond determines the amount of the semi-annual interest payment? a. Effective rate b. Market rate c. Stated rate d. None of the above

Q: Score More Sports uses the (perpetual) LIFO inventory method.

Score More Sports uses the (perpetual) LIFO inventory method. Score More Sports started December with 10 helmets that cost $54 each. On December 19, Score More Sports bought 15 helmets at $52 each. On...