ACC 556 – Midterm part 2\t\t\t\t\t“\ufffd\uf020Question 1\t\tWhich of these would cause the inventory turnover ratio to increase the most?\t\t\t\t“\ufffd\uf020Question 2\t\tBad Debt Expense is considered\t\t\t\t“\ufffdQuestion 3\t\tA trial balance proves\t\t\t\t“\ufffdQuestion 4\t\tFehr Company sells merchandise on account for $5,000 to Kelly Company with credit terms of 2\/10, n\/30. Kelly Company returns $1,000 of merchandise that was damaged, along with a check to settle the account within the discount period. What is the amount of the check?\t\t\t\t“\ufffdQuestion 5\t\tA revenue generally\t\t\t\t“\ufffdQuestion 6\t\tA merchandiser will earn an operating income of exactly $0 when\t\t\t\t“\ufffd\uf020Question 7\t\tSmithson Corporation’s unadjusted trial balance includes the following balances (assume normal balances):\t\t \ufffd\u00a0\u00a0 Accounts Receivable \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd\u00a0\u00a0 $3,357,000\t\t \ufffd\u00a0\u00a0 Allowances for Doubtful Accounts \ufffd \ufffd \ufffd\u00a0\u00a0 $\u00a0\u00a0\u00a0\u00a0 63,900\t\t\u00a0\t\tBad debts are estimated to be 6% of outstanding receivables. What amount of bad debt expense will the company record?\t\t\t\t“\ufffdQuestion 8\t\tAll of the following are characteristics of every accounting information system except it is a system\t\t\t\t“\ufffdQuestion 9\t\tReceivables are\t\t\t\t“\ufffdQuestion 10\t\tRegions Inc. pays its rent of $48,000 annually on January 1 and makes monthly adjusting entries. If the February 28 monthly adjusting entry for prepaid rent is omitted, which of the following are true?\t\t\t\t“\ufffdQuestion 11\t\tWhat is an advantage of using the multiple-step income statement?\t\t\t\t“\ufffdQuestion 1\t\tWhich of these would cause the inventory turnover ratio to increase the most?\t\t\t\t“\ufffd\uf020Question 2\t\tBad Debt Expense is considered\t\t\t\t“\ufffdQuestion 3\t\tA trial balance proves\t\t\t\t“\ufffdQuestion 4\t\tFehr Company sells merchandise on account for $5,000 to Kelly Company with credit terms of 2\/10, n\/30. Kelly Company returns $1,000 of merchandise that was damaged, along with a check to settle the account within the discount period. What is the amount of the check?\t\t\t\t\t“\ufffdQuestion 5\t\tA revenue generally\t\t\t\t“\ufffd\uf020Question 6\t\tA merchandiser will earn an operating income of exactly $0 when\t\t\t\t“\ufffdQuestion 7\t\tSmithson Corporation’s unadjusted trial balance includes the following balances (assume normal balances):\t\t \ufffd\u00a0\u00a0 Accounts Receivable \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd\u00a0\u00a0 $3,357,000\t\t \ufffd\u00a0\u00a0 Allowances for Doubtful Accounts \ufffd \ufffd \ufffd\u00a0\u00a0 $\u00a0\u00a0\u00a0\u00a0 63,900\t\t\u00a0\t\tBad debts are estimated to be 6% of outstanding receivables. What amount of bad debt expense will the company record?\t\t\t\t“\ufffdQuestion 8\t\tAll of the following are characteristics of every accounting information system except it is a system\t\t\t\t“\ufffdQuestion 9\t\tReceivables are\t\t\t\t“\ufffdQuestion 10\t\tRegions Inc. pays its rent of $48,000 annually on January 1 and makes monthly adjusting entries. If the February 28 monthly adjusting entry for prepaid rent is omitted, which of the following are true?\t\t\t\t“\ufffdQuestion 11\t\tWhat is an advantage of using the multiple-step income statement?\t\t\t\t“\ufffd\uf020Question 12\t\tThe primary difference between accrued revenues and unearned revenues is that accrued revenues have:\t\t\t\t“\ufffd\uf020Question 13\t\tDobler Company gathered the following reconciling information in preparing its June bank reconciliation:\t\t\u00a0\t\tCash balance per books, 6\/30 \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd $8,400\t\tDeposits in transit \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd\u00a0\u00a0\u00a0\u00a0 600\t\tNotes receivable and interest collected by bank \ufffd 1,480\t\tBank charge for check printing \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd\u00a0 50\t\tOutstanding checks \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd\u00a0\u00a0\u00a0 3,000\t\tNSF check \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd 280\t\t\u00a0\t\tThe adjusted cash balance per books on June 30 is\t\t\t\t“\ufffd\uf020Question 14\t\tWhich of the following is least likely to help a company minimize losses as credit standards are relaxed?\t\t\t\t“\ufffd\uf020Question 15\t\tA company usually determines the amount of supplies used during a period by:\t\t\t\t“\ufffd\uf020Question 16\t\tIf a company is given credit terms of 2\/10, n\/30, it should\t\t\t\t“\ufffd\uf020Question 17\t\tIndependent internal verification of the physical inventory process occurs when\t\t\t\t“\ufffd\uf020Question 18\t\tTwo companies report the same cost of goods available for sale but each employs a different inventory costing method. If the price of goods has increased during the period, then the company using\t\t\t\t“\ufffd\uf020Question 19\t\tAt Emerson Company, one bookkeeper prepares the cash deposits while the other bookkeeper enters the collections in the journal and ledger. Which of the following is the best explanation of this type of internal control principle over cash receipts?\t\t\t\t“\ufffd\uf020Question 20\t\tWhich statement is incorrect?\t\t\t\t“\ufffd\uf020Question 21\t\tManagement usually wants ________ financial statements and the IRS requires all businesses to file _________ tax returns.\t\t\t\t“\ufffd\uf020Question 22\t\tAll of the following are true regarding the management and monitoring of cash except\t\t\t\t“\ufffd\uf020Question 23\t\tIf Morris Corporation has a negative $131 million free cash flow, which of the following statements is most likely true?\t\t\t\t“\ufffd\uf020Question 24\t\tWhich one of the following is not an objective of a system of internal controls?\t\t\t\t“\ufffd\uf020Question 25\t\tOlympus Climbers Company has the following inventory data:\t\t \ufffd \ufffd \ufffd\u00a0\u00a0 July 1 \ufffd \ufffd\u00a0 Beginning inventory \ufffd\u00a0\u00a0\u00a0\u00a0 20 units at $19 \ufffd\u00a0 $\u00a0\u00a0 380\t\t \ufffd \ufffd \ufffd \ufffd\u00a0 7 \ufffd \ufffd\u00a0 Purchases \ufffd \ufffd \ufffd \ufffd\u00a0\u00a0\u00a0\u00a0 70 units at $20 \ufffd\u00a0\u00a0\u00a0 1,400\t\t \ufffd \ufffd \ufffd\u00a0\u00a0\u00a0\u00a0 22 \ufffd \ufffd\u00a0 Purchases \ufffd \ufffd \ufffd \ufffd\u00a0\u00a0\u00a0\u00a0 10 units at $22 \ufffd \ufffd\u00a0 220\t\t \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd \ufffd\u00a0\u00a0\u00a0 $2,000\t\t\u00a0\t\tA physical count of merchandise inventory on July 30 reveals that there are 32 units on hand. Using the FIFO inventory method, the amount allocated to cost of goods sold for July is<\/p>\n","protected":false},"excerpt":{"rendered":"
ACC 556 – Midterm part 2 “\ufffd\uf020Question 1 Which of these would cause the inventory turnover ratio to increase the most? “\ufffd\uf020Question 2 Bad Debt Expense is considered “\ufffdQuestion 3 A trial balance proves “\ufffdQuestion 4 Fehr Company sells merchandise Read More …<\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-200196","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/posts\/200196","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/comments?post=200196"}],"version-history":[{"count":0,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/posts\/200196\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/media?parent=200196"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/categories?post=200196"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/tags?post=200196"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}