‭ ‬introduction To Accounting

72 Questions

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Accounting Quizzes & Trivia

Questions and Answers
  • 1. 
    #toc,.toc,.mw-warning{border:1px solid rgb(170,170,170);background-color:rgb(249,249,249);padding:5px;font-size:95%;}#toc h2,.toc h2{display:inline;border:medium none;padding:0px;font-size:100%;font-weight:bold;}#toc #toctitle,.toc #toctitle,#toc .toctitle,.toc .toctitle{text-align:center;}#toc ul,.toc ul{list-style-type:none;list-style-image:none;margin-left:0px;padding-left:0px;text-align:left;}#toc ul ul,.toc ul ul{margin:0px 0px 0px 2em;}#toc .toctoggle,.toc .toctoggle{font-size:94%;}body{font-weight:normal;font-family:'Liberation Serif';font-style:normal;text-decoration:none;text-indent:0in;text-align:left;widows:2;font-variant:normal;color:rgb(0,0,0);font-size:12pt;}table{}td{border-collapse:collapse;text-align:left;vertical-align:top;}p,h1,h2,h3,li{color:rgb(0,0,0);font-family:'Liberation Serif';font-size:12pt;margin-left:0in;margin-right:0in;text-align:left;}.answerline{font-size:10pt;margin-left:0.2375in;text-indent:-0.2375in;} ____________ is concerned with recording the financial impacts of business processes as they  are executed
    • A. 

      Management accounting

    • B. 

      Financial accounting‭ (‬Fl‭)

    • C. 

      Controlling‭ (‬CO‭)

    • D. 

      Bank‭ ‬ledger‭ ‬accounting

    • E. 

      None of the above

  • 2. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } Which of the following is a key process in financial accounting?
    • A. 

      Sales order processing

    • B. 

      Accounts receivable accounting

    • C. 

      Credit management

    • D. 

      Income verification

    • E. 

      All of the above

  • 3. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; }p, h1, h2, h3, li { color: rgb(0, 0, 0); font-family: 'Liberation Serif'; font-size: 12pt; margin-left: 0in; margin-right: 0in; text-align: left; }.answerline { font-size: 10pt; margin-left: 0.2375in; text-indent: -0.2375in; } Which process is used to manage money owed by customers for goods and services purchased from the company
    • A. 

      General ledger accounting

    • B. 

      Accounts receivable accounting

    • C. 

      Fixed asset accounting

    • D. 

      Bank ledger accounting

    • E. 

      All of the above

  • 4. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } Which process is concerned with recording data associated with bank statements?
    • A. 

      Bank ledger accounting

    • B. 

      Fixed asset accounting

    • C. 

      General ledger accounting

    • D. 

      Accounts receivable accounting

    • E. 

      None of the above

  • 5. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } ____________ are internal divisions of an enterprise that are used to define areas of responsibility or to meet the external reporting requirements of an enterprise segment.
    • A. 

      Cost centers‭

    • B. 

      Depreciation areas

    • C. 

      Business areas

    • D. 

      Sub-ledgers

    • E. 

      None of the above

  • 6. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } Which term refers to an ordered listing of accounts that comprise a company’s general ledger?
    • A. 

      General ledger

    • B. 

      Balance sheet

    • C. 

      Bank ledger

    • D. 

      Chart of accounts‭ (‬COA‭)

    • E. 

      None of the above

  • 7. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } Which term represents what a company owns, such as cash, inventory of materials, and buildings?
    • A. 

      Liabilities

    • B. 

      Equity

    • C. 

      Assets

    • D. 

      Revenues

    • E. 

      None of the above

  • 8. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } Which term represents what a company owes to others, including money owed to vendors and loans from financial institutions?
    • A. 

      Liabilities

    • B. 

      Equity

    • C. 

      Assets

    • D. 

      Revenues

    • E. 

      None of the above

  • 9. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } Which term represents the monies a company earns by selling its products and services?
    • A. 

      Liabilities

    • B. 

      Assets

    • C. 

      Expenses

    • D. 

      Revenue

    • E. 

      Equity

  • 10. 
    #toc,.toc,.mw-warning{border:1px solid rgb(170,170,170);background-color:rgb(249,249,249);padding:5px;font-size:95%;}#toc h2,.toc h2{display:inline;border:medium none;padding:0px;font-size:100%;font-weight:bold;}#toc #toctitle,.toc #toctitle,#toc .toctitle,.toc .toctitle{text-align:center;}#toc ul,.toc ul{list-style-type:none;list-style-image:none;margin-left:0px;padding-left:0px;text-align:left;}#toc ul ul,.toc ul ul{margin:0px 0px 0px 2em;}#toc .toctoggle,.toc .toctoggle{font-size:94%;}body{font-weight:normal;font-family:'Liberation Serif';font-style:normal;text-decoration:none;text-indent:0in;text-align:left;widows:2;font-variant:normal;color:rgb(0,0,0);font-size:12pt;}table{}td{border-collapse:collapse;text-align:left;vertical-align:top;} Which term represents the costs associated with creating and selling products and services?
    • A. 

      Assets

    • B. 

      Expenses

    • C. 

      Liabilities

    • D. 

      Equity

    • E. 

      None of the above

  • 11. 
    #toc,.toc,.mw-warning{border:1px solid rgb(170,170,170);background-color:rgb(249,249,249);padding:5px;font-size:95%;}#toc h2,.toc h2{display:inline;border:medium none;padding:0px;font-size:100%;font-weight:bold;}#toc #toctitle,.toc #toctitle,#toc .toctitle,.toc .toctitle{text-align:center;}#toc ul,.toc ul{list-style-type:none;list-style-image:none;margin-left:0px;padding-left:0px;text-align:left;}#toc ul ul,.toc ul ul{margin:0px 0px 0px 2em;}#toc .toctoggle,.toc .toctoggle{font-size:94%;}body{font-weight:normal;font-family:'Liberation Serif';font-style:normal;text-decoration:none;text-indent:0in;text-align:left;widows:2;font-variant:normal;color:rgb(0,0,0);font-size:12pt;}table{}td{border-collapse:collapse;text-align:left;vertical-align:top;} Which element is not a part of the typical company code data in general ledger accounts?
    • A. 

      Tax-related data

    • B. 

      Field status groups

    • C. 

      Line item display

    • D. 

      Reconciliation account data

    • E. 

      None of the above

  • 12. 
    #toc,.toc,.mw-warning{border:1px solid rgb(170,170,170);background-color:rgb(249,249,249);padding:5px;font-size:95%;}#toc h2,.toc h2{display:inline;border:medium none;padding:0px;font-size:100%;font-weight:bold;}#toc #toctitle,.toc #toctitle,#toc .toctitle,.toc .toctitle{text-align:center;}#toc ul,.toc ul{list-style-type:none;list-style-image:none;margin-left:0px;padding-left:0px;text-align:left;}#toc ul ul,.toc ul ul{margin:0px 0px 0px 2em;}#toc .toctoggle,.toc .toctoggle{font-size:94%;}body{font-weight:normal;font-family:'Liberation Serif';font-style:normal;text-decoration:none;text-indent:0in;text-align:left;widows:2;font-variant:normal;color:rgb(0,0,0);font-size:12pt;}table{}td{border-collapse:collapse;text-align:left;vertical-align:top;} Which term is a general ledger account that consolidates data from a group of related sub-ledger accounts?
    • A. 

      Subsidiary ledger

    • B. 

      Reconciliation account

    • C. 

      Line item display

    • D. 

      None of the above

  • 13. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } Which of the following records the impact of a transaction step on financial accounting?
    • A. 

      Financial accounting document

    • B. 

      Parallel accounting document

    • C. 

      Sub-ledger

    • D. 

      Subsidiary ledger

    • E. 

      None of the above

  • 14. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } Which of the following is used to implement multiple ledgers and use each ledger for different purposes?
    • A. 

      Financial accounting document

    • B. 

      Subsidiary ledger

    • C. 

      Sub-ledger

    • D. 

      Parallel Accounting

    • E. 

      None of the above

  • 15. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } Which type of asset has a physical form?
    • A. 

      Master asset

    • B. 

      Tangible asset

    • C. 

      Informal asset

    • D. 

      Intangible asset

    • E. 

      None of the above

  • 16. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } Which type of asset has a non-physical form?
    • A. 

      Master asset

    • B. 

      Tangible asset

    • C. 

      Informal asset

    • D. 

      Intangible asset

    • E. 

      None of the above

  • 17. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } Which of the following is used to report data needed to meet legal and regulatory requirements?
    • A. 

      Assets

    • B. 

      Equity

    • C. 

      Tangible‭ ‬document

    • D. 

      Financial‭ ‬statement

    • E. 

      None of the above

  • 18. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } Which of the following best describes the operative chart of accounts?
    • A. 

      Contains the operational accounts that are used to record the financial impact of an organization’s day-to-day transactions

    • B. 

      Used to enable companies to meet special country-specific reporting requirements

    • C. 

      Contains accounts that are used by multiple companies to consolidate their financial reporting

    • D. 

      Contains‭ ‬only‭ ‬accounts payable transactions

    • E. 

      Contains‭ ‬only‭ ‬accounts receivable transaction

  • 19. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } Which of the following is not a mode of acquiring an asset for a company?
    • A. 

      Acquiring internally‭ ‬via the‭ ‬production process

    • B. 

      Acquire from‭ ‬a vendor using the purchasing process

    • C. 

      Acquire from a vendor‭ ‬without using the purchasing process

    • D. 

      Selling equipment

    • E. 

      Acquiring without a vendor

  • 20. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } All of the following are transaction types that occur during the life of an asset except ___________ .
    • A. 

      Acquisition

    • B. 

      Depreciation

    • C. 

      Allocation

    • D. 

      Retirement

  • 21. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } Financial statements can be generated from which of the following?
    • A. 

      Operative COA

    • B. 

      Country-specific COA

    • C. 

      Both operative and country-specific COAs

    • D. 

      Neither operative nor country-specific COAs

  • 22. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } Balance sheet accounts are grouped into which of the following categories?
    • A. 

      Revenue

    • B. 

      Assets

    • C. 

      Liabilities

    • D. 

      Equity

    • E. 

      Expenses

  • 23. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } An organization can possess which of the following types of assets?
    • A. 

      Tangible

    • B. 

      Intangible

    • C. 

      Financial

    • D. 

      Economic

    • E. 

      Virtual

  • 24. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } Tangible assets can include which of the following?
    • A. 

      Computers

    • B. 

      Bonds

    • C. 

      Production Machinery

    • D. 

      Real Estate

    • E. 

      Mortgage

  • 25. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } What are the most common transaction types that occur during the life of an asset?
    • A. 

      Production

    • B. 

      Allocation

    • C. 

      Acquisition

    • D. 

      Depreciation

    • E. 

      Retirement‭

  • 26. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } What are the primary ways in which an asset can be acquired?
    • A. 

      Internally by production

    • B. 

      Internally by inventory tracking

    • C. 

      Externally by vendor

    • D. 

      Externally without a vendor

    • E. 

      By asset liquidation

  • 27. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } Which of the following are common depreciation areas used in the US?
    • A. 

      Book depreciation

    • B. 

      Cost accounting depreciation

    • C. 

      Legal depreciation

    • D. 

      Special depreciation

    • E. 

      Physical depreciation

  • 28. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } Reporting in financial accounting is broadly divided into which of the following two categories?
    • A. 

      Posting goods issue

    • B. 

      Displaying account information

    • C. 

      Generating financial statements

    • D. 

      Recording transactions

    • E. 

      Automatic posting of accounts

  • 29. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } From which of the following can financial statements be generated?
    • A. 

      Operative chart of accounts

    • B. 

      Country-specific chart of accounts

    • C. 

      Revenue‭ ‬accounts

    • D. 

      Assets

    • E. 

      Liability accounts

  • 30. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } What is true about a business area?
    • A. 

      It is a internal division of an enterprise

    • B. 

      It helps management monitor performance

    • C. 

      It is used for external reporting

    • D. 

      It is‭ ‬associated with one company code

  • 31. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } Which of the following are types of chart of accounts?
    • A. 

      Operative COA

    • B. 

      Country specific COA

    • C. 

      Active COA

    • D. 

      Group COA

  • 32. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } What does the COA data include?
    • A. 

      Client segment

    • B. 

      Storage location segment

    • C. 

      Plant segment

    • D. 

      Company code segment

  • 33. 
    #toc,.toc,.mw-warning{border:1px solid rgb(170,170,170);background-color:rgb(249,249,249);padding:5px;font-size:95%;}#toc h2,.toc h2{display:inline;border:medium none;padding:0px;font-size:100%;font-weight:bold;}#toc #toctitle,.toc #toctitle,#toc .toctitle,.toc .toctitle{text-align:center;}#toc ul,.toc ul{list-style-type:none;list-style-image:none;margin-left:0px;padding-left:0px;text-align:left;}#toc ul ul,.toc ul ul{margin:0px 0px 0px 2em;}#toc .toctoggle,.toc .toctoggle{font-size:94%;}body{font-weight:normal;font-family:'Liberation Serif';font-style:normal;text-decoration:none;text-indent:0in;text-align:left;widows:2;font-variant:normal;color:rgb(0,0,0);font-size:12pt;}table{}td{border-collapse:collapse;text-align:left;vertical-align:top;} The COA segment of the COA data includes which of the following?
    • A. 

      Account currency

    • B. 

      Account number

    • C. 

      Account group

    • D. 

      Short text

  • 34. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } Which of the following does the balance sheet include?
    • A. 

      Revenue

    • B. 

      Expenses

    • C. 

      Assets

    • D. 

      Liabilities

  • 35. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } Which of the following statements concerning reconciliation accounts are true?
    • A. 

      Reconciliation account for customers is accounts payable

    • B. 

      Reconciliation account for customers is accounts receivable

    • C. 

      Reconciliation account for vendors is accounts payable‭

    • D. 

      Reconciliation account for vendors is accounts receivable

  • 36. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } Which of the following statements regarding reconciliation accounts are not true?
    • A. 

      Data‭ ‬are posted directly into them

    • B. 

      Data‭ ‬are automatically‭ ‬posted into them‭ ‬after‭ ‬they are‭ ‬posted to the corresponding sub-ledger

    • C. 

      The‭ ‬reconciliation account‭ ‬includes the‭ ‬sum of‭ ‬the‭ ‬postings of‭ ‬the‭ ‬sub-ledgers.

    • D. 

      None of the above

  • 37. 
    #toc,.toc,.mw-warning{border:1px solid rgb(170,170,170);background-color:rgb(249,249,249);padding:5px;font-size:95%;}#toc h2,.toc h2{display:inline;border:medium none;padding:0px;font-size:100%;font-weight:bold;}#toc #toctitle,.toc #toctitle,#toc .toctitle,.toc .toctitle{text-align:center;}#toc ul,.toc ul{list-style-type:none;list-style-image:none;margin-left:0px;padding-left:0px;text-align:left;}#toc ul ul,.toc ul ul{margin:0px 0px 0px 2em;}#toc .toctoggle,.toc .toctoggle{font-size:94%;}body{font-weight:normal;font-family:'Liberation Serif';font-style:normal;text-decoration:none;text-indent:0in;text-align:left;widows:2;font-variant:normal;color:rgb(0,0,0);font-size:12pt;}table{}td{border-collapse:collapse;text-align:left;vertical-align:top;} Which attributes are present in the FI document items?
    • A. 

      Amount

    • B. 

      Document type

    • C. 

      Posting date

    • D. 

      Currency

    • E. 

      Posting key

  • 38. 
    #toc,.toc,.mw-warning{border:1px solid rgb(170,170,170);background-color:rgb(249,249,249);padding:5px;font-size:95%;}#toc h2,.toc h2{display:inline;border:medium none;padding:0px;font-size:100%;font-weight:bold;}#toc #toctitle,.toc #toctitle,#toc .toctitle,.toc .toctitle{text-align:center;}#toc ul,.toc ul{list-style-type:none;list-style-image:none;margin-left:0px;padding-left:0px;text-align:left;}#toc ul ul,.toc ul ul{margin:0px 0px 0px 2em;}#toc .toctoggle,.toc .toctoggle{font-size:94%;}body{font-weight:normal;font-family:'Liberation Serif';font-style:normal;text-decoration:none;text-indent:0in;text-align:left;widows:2;font-variant:normal;color:rgb(0,0,0);font-size:12pt;}table{}td{border-collapse:collapse;text-align:left;vertical-align:top;} Which attributes are present in the FI document header?
    • A. 

      Amount

    • B. 

      Document type

    • C. 

      Posting date

    • D. 

      Currency

    • E. 

      Posting key

  • 39. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } Which of the following statements concerning the leading ledger are true?
    • A. 

      It is a type of sub-ledger

    • B. 

      Global accounting principles are consolidated into it

    • C. 

      Having‭ ‬a leading ledger is optional

    • D. 

      All transaction data‭ ‬are posted to it

  • 40. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } A cost center:
    • A. 

      Absorbs costs

    • B. 

      Can be associated with a department

    • C. 

      Is similar to a cost object

    • D. 

      Is associated with locations where costs are incurred

  • 41. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } When does a debit take place?
    • A. 

      When assets and expenses decrease

    • B. 

      When assets and expenses increase

    • C. 

      When revenue and liabilities decrease

    • D. 

      When revenue and liabilities increase

  • 42. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } Balance sheet accounts are grouped into:
    • A. 

      Assets

    • B. 

      Liabilities

    • C. 

      Equity

    • D. 

      Revenue

  • 43. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } When does a credit take place?
    • A. 

      When assets and expenses decrease

    • B. 

      When assets and expenses increase

    • C. 

      When revenue and liabilities decrease

    • D. 

      When revenue and liabilities increase

  • 44. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } In accounts payable, which general ledger accounts are affected?
    • A. 

      Accounts‭ ‬payable reconciliation

    • B. 

      Vendor

    • C. 

      Supplies expense

    • D. 

      Bank

  • 45. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } In accounts receivable, which general ledger accounts are affected?
    • A. 

      Accounts receivable reconciliation

    • B. 

      Sales revenue

    • C. 

      Bank

    • D. 

      Supplies expense

  • 46. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } Accounting processes are broadly divided into two main categories:  financial accounting and management accounting
    • A. 

      True

    • B. 

      False

  • 47. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } Financial accounting (Fl) is concerned with recording the financial impacts of business processes as they are executed.
    • A. 

      True

    • B. 

      False

  • 48. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } Management accounting, or controlling (CO), is intended primarily for audiences outside the organization.
    • A. 

      True

    • B. 

      False

  • 49. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } Accounts payable accounting is not associated with the procurement process.
    • A. 

      True

    • B. 

      False

  • 50. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } The general ledger is used to record the financial impacts of business process steps.
    • A. 

      True

    • B. 

      False

  • 51. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } The balance sheet is a snapshot of the organization at a point in time.
    • A. 

      True

    • B. 

      False

  • 52. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } A segment is a division of an enterprise for which management monitors performance separately from other segments.
    • A. 

      True

    • B. 

      False

  • 53. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } Business areas are external departments of an enterprise that are used to define areas of responsibility or to meet the internal requirements of a division.
    • A. 

      True

    • B. 

      False

  • 54. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } A list of accounts that can be included in a general ledger is called master data.
    • A. 

      True

    • B. 

      False

  • 55. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } A chart of accounts (COA) is an ordered listing of accounts that comprise a company’s general ledger.
    • A. 

      True

    • B. 

      False

  • 56. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } Liabilities are what the company owns, such as cash, land, and buildings.
    • A. 

      True

    • B. 

      False

  • 57. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } Assets are monies the company earns by selling its products and services.
    • A. 

      True

    • B. 

      False

  • 58. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } Expenses are what the company owes to others, including money owed to vendors and loans from financial institutions.
    • A. 

      True

    • B. 

      False

  • 59. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } Account currency determines the currency in which all the transactions are recorded.
    • A. 

      True

    • B. 

      False

  • 60. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } A reconciliation account records the impact of a transaction step on financial accounting.
    • A. 

      True

    • B. 

      False

  • 61. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } A financial accounting document is a general ledger account that consolidates data from a group of sub-ledger accounts, such as customers and vendors.
    • A. 

      True

    • B. 

      False

  • 62. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } Parallel accounting consists of implementing multiple ledgers and using each ledger for different purposes.
    • A. 

      True

    • B. 

      False

  • 63. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } An increase in an asset account or an expense account results in a credit posting.
    • A. 

      True

    • B. 

      False

  • 64. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } An increase in revenue or liability results in a debit posting.
    • A. 

      True

    • B. 

      False

  • 65. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } Accounts payable accounting is concerned with vendors.
    • A. 

      True

    • B. 

      False

  • 66. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } Accounts receivable accounting is concerned with customers.
    • A. 

      True

    • B. 

      False

  • 67. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } Within accounts receivable accounting, when a payment is made the bank account is debited and the appropriate customer account is credited
    • A. 

      True

    • B. 

      False

  • 68. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } Intangible assets are physical items such as buildings, machinery, and computers.
    • A. 

      True

    • B. 

      False

  • 69. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } Tangible assets are non-physical items such as trademarks and patents.
    • A. 

      True

    • B. 

      False

  • 70. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } Financial accounting is affected any time money either leaves or comes into the company.
    • A. 

      True

    • B. 

      False

  • 71. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } Reporting within financial accounting is divided into two categories: generating financial statements and displaying account information.
    • A. 

      True

    • B. 

      False

  • 72. 
    #toc, .toc, .mw-warning { border: 1px solid rgb(170, 170, 170); background-color: rgb(249, 249, 249); padding: 5px; font-size: 95%; }#toc h2, .toc h2 { display: inline; border: medium none; padding: 0px; font-size: 100%; font-weight: bold; }#toc #toctitle, .toc #toctitle, #toc .toctitle, .toc .toctitle { text-align: center; }#toc ul, .toc ul { list-style-type: none; list-style-image: none; margin-left: 0px; padding-left: 0px; text-align: left; }#toc ul ul, .toc ul ul { margin: 0px 0px 0px 2em; }#toc .toctoggle, .toc .toctoggle { font-size: 94%; }body { font-weight: normal; font-family: 'Liberation Serif'; font-style: normal; text-decoration: none; text-indent: 0in; text-align: left; widows: 2; font-variant: normal; color: rgb(0, 0, 0); font-size: 12pt; }table { }td { border-collapse: collapse; text-align: left; vertical-align: top; } Financial statements can be generated for different organizational levels including one or more company codes and business areas.
    • A. 

      True

    • B. 

      False