ACC/290

PRINCIPLES OF ACCOUNTING I

The Latest Version A+ Study Guide

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ACC 290 Entire Course Link
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ACC 290 Week 1 Practice Quiz

Complete the Week 1 Practice Quiz in WileyPLUS

Practice Question 05

In which forms of business organization are the owners personally liable for all the debts of
the business?

Sole proprietorships and corporations

Sole proprietorships and partnerships

Partnership and corporation

All of the answer choices are correct

Practice Question 10

Which of the following is not an external user of accounting data?

Customers

Economic planners

Labor unions

Chief Financial Officer

Practice Question 26

The financial statements for Harold Corporation contained the following information:

Accounts receivable $ 5,000

Sales revenue 75,000

Cash 15,000

Salaries and wages expense 20,000

Rent expense 10,000

How much was Harolds net income?

$60,000

$65,000
 $45,000

$15,000

Practice Question 29

In which of the following sequences are the financial statements usually prepared?

Balance sheet, statement of cash flows, income statement and retained earnings
statement.

Balance sheet, retained earnings statement, statement of cash flows, and income
statement.

Income statement, retained earnings statement, balance sheet, and statement of

cash flows.

Income statement, balance sheet, retained earnings statement, and statement of

cash flows.

Practice Question 48

Which of the following are not considered to be primary users of financial statements in
countries outside the U.S.?
 Economic advisors

Private investors

Central government planners

Tax authorities

Practice Question 14

For 2017, Stoneland Corporation reported net income, $24,000; net sales, $400,000; and
average shares outstanding, 6,000. There were no preferred stock dividends. How much
was the 2017 earnings per share?

$4.00

$0.06

$16.67

$66.67

Practice Question 23
The following ratios are available for Leer Inc. and Stable Inc.

Current Ratio Debt to Assets Ratio Earnings per Share

Leer Inc. 2:1 75% $3.50

Stable Inc. 1.5:1 40% $2.75

Compared to Stable Inc., Leer Inc. has

lower liquidity, higher solvency, and higher profitability.

higher liquidity, higher solvency, but profitability cannot be compared based on

information provided.

higher liquidity, lower solvency, and higher profitability.

higher liquidity and lower solvency, but profitability cannot be compared based on
information provided.

Practice Question 18

At December 31, 2017, Shorts Company had retained earnings of $2,184,000. During
2017, the company issued stock for $98,000, and paid dividends of $34,000. Net income
for 2017 was $402,000. How much was the retained earnings balance at the beginning of
2017?

$2,454,000

$1,816,000
 $2,552,000

$1,914,000

Practice Question 27

Which of the following ratios measures the ability of the company to survive over a long
period of time?

Profitability ratios

Current ratios

Liquidity ratios

Solvency ratios

Practice Question 38

What are the accounting rules that have substantial authoritative support and are
recognized as a general guide for financial reporting purposes in the U. S.?

Generally accepted auditing principles

Generally accepted accounting principles

General accounting principles

Generally accepted accounting standards