http://www.devryonlinehelp.com/product/acct-504-week-4-midterm-set-2/ 1. (TCO A, B, C) External users want answers to all of the following questions except: 2. (TCO C) Issuing shares of stock in exchange for cash is an example of a(n): 3. (TCO C) Which activities involve putting the resources of the business into action to generate a profit? 4. (TCO A) Resources owned by a business are referred to as: 5. (TCO C) Jamie Company recorded the following cash transactions for the year: Paid $70,000 for salaries. Paid $20,000 to purchase office equipment. Paid $6,000 for utilities. Paid $7,000 in dividends. Collected $130,000 from customers. What was Jamie’s net cash provided by operating activities? 6. (TCO A) On a classified balance sheet, prepaid insurance is classified as: 7. (TCO A) Which of the following should not be classified as a current asset? 8. (TCO A) These are selected account balances on December 31, 2007. -Land (location of the corporation’s office building) $200,000 -Land (held for future use) 300,000 -Corporate Office Building 1,200,000 -Inventory 400,000 -Equipment 900,000 -Office Furniture 200,000 -Accumulated Depreciation 600,000 What is the total NET amount of property, plant, and equipment that will appear on the balance sheet?. 9. Question : (TCO B) For 2010, Mossland Corporation reported net income of $28,000; net sales $400,000; and average share outstanding 6,000. There were no preferred stock dividends. What was the 2010 earnings per share? 10. (TCO B) At December 31, 2010, Shorts Company had retained earnings of $2,184,000. During 2010 they issued stock for $98,000, and paid dividends of $34,000. Net income for 2010 was $402,000. The retained earnings balance at the beginning of 2010 was: 11. (TCO D) On March 1, 2010, Dillon Company hires a new employee who will start the work on March 6. The employee will be paid on the last day of each month. Should a journal entry be made on March 6? Why or why not? 12. (TCO D) Which one of the following is not a part of an account? 13. (TCO D) The classification and normal balance of the dividend account is: 14. (TCO D) A debit is not the normal balance for which account listed below? 15. (TCO D) Which of the following is not always true of the terms debit and credit? 1. (TCO E) The time period assumption states that: 2. (TCO E) In a service-type business, revenue is considered earned: 3. (TCO E) Expenses sometimes make their contribution to revenue in a different period than when the expense is paid. When wages are incurred in one period and paid in the next period, this often leads to which account appearing on the balance sheet at the end of the first period? 4. (TCO E) The following is selected information from M Corporation for the fiscal year ending October 31, 2010: Cash received from customers $300,000 Revenue earned 350,000 Cash paid for expenses 170,000 Expenses incurred 200,000 Based on the accrual basis of accounting, what is M Corporation’s net income for the year ending October 31, 2010? 5. (TCO E) The general term employed to indicate an expense that has not been paid or revenue that has not been received and has not yet been recognized in the accounts is: 6. (TCO A, B) Detailed records of movements in merchandise (each purchase and sale) are not maintained in the inventory account in a:

• published: 10 Oct 2014
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