ACC 557 Week 7 Chapter 9 Quiz (all possible questions)\t\u00a0\tThis Tutorial contains All possible Questions from this chapter (it contains more than 200 questions set)\t\u00a0\tSOME SAMPLE QUESTIONS ARE GIVEN BELOW OUT OF THOSE 200 QUESTIONS\t\u00a0\t1-\tMultiple Choice Question 214\tA company has the following assets:\tBuildings and Equipment, less accumulated depreciation of $2,000,000\u00a0 $\u00a0 7,600,000\tCopyrights\u00a0 960,000\tPatents\u00a0 4,000,000\tTimberlands, less accumulated depletion of $2,800,000\u00a0 4,800,000\tThe total amount reported under Property, Plant, and Equipment would be\t$16,400,000.\t$13,360,000.\t$12,400,000.\t$17,360,000.\t2- \u00a0\tMultiple Choice Question 144\tExpenditures that maintain the operating efficiency and expected productive life of a plant asset are generally\texpensed when incurred.\tnot recorded until they become material in amount.\tcapitalized as a part of the cost of the asset.\tdebited to the Accumulated Depreciation account\t3-\tMultiple Choice Question 149\tA gain or loss on disposal of a plant asset is determined by comparing the\toriginal cost of the asset with the proceeds received from its sale.\tbook value of the asset with the asset’s original cost.\tbook value of the asset with the proceeds received from its sale.\treplacement cost of the asset with the asset’s original cost.\t4-\tIFRS Multiple Choice Question 326\tSalem Company hired Kirk Construction to construct an office building for \u00a38,000,000 on land costing \u00a32,000,000, which Salem Company owned. The building was complete and ready to be used on January 1, 2013 and it has a useful life of 40 years. The price of the building included land improvements costing \u00a3600,000 and personal property costing \u00a3750,000. The useful lives of the land improvements and the personal property are 10 years and 5 years, respectively. Salem Company uses component depreciation, and the company uses straight-line depreciation for other similar assets. What is the net amount reported for the building on Salem Company’s December 31, 2013 statement of financial position?\t\u00a37,573,750\t\u00a36,483,750\t\u00a37,800,000\t\u00a37,665,000\t5- \u00a0 Multiple Choice Question 77\tYocum Company purchased equipment on January 1 at a list price of $100,000, with credit terms 2\/10, n\/30. Payment was made within the discount period and Yocum was given a $2,000 cash discount. Yocum paid $5,000 sales tax on the equipment, and paid installation charges of $1,760. Prior to installation, Yocum paid $4,000 to pour a concrete slab on which to place the equipment. What is the total cost of the new equipment?\t$104,760\t$108,760\t$110,760\t$101,000\t6- Multiple Choice Question 98\tA company purchased factory equipment for $350,000. It is estimated that the equipment will have a $35,000 salvage value at the end of its estimated 5-year useful life. If the company uses the double-declining-balance method of depreciation, the amount of annual depreciation recorded for the second year after purchase would be\t$84,000.\t$140,000.\t$126,000.\t$60,480.\t7-\u00a0 Multiple Choice Question 175\tOn a balance sheet, natural resources may be described more specifically as all of the following except\toil reserves.\ttimberlands.\tland improvements.\tmineral deposits.\t8- Multiple Choice Question 98\tOn January 1, 2013, Donahue Company, a calendar-year company, issued $500,000 of notes payable, of which $125,000 is due on January 1 for each of the next four years. The proper balance sheet presentation on December 31, 2013, is\tCurrent Liabilities, $125,000; Long-term Debt, $375,000.\tCurrent Liabilities, $375,000; Long-term Debt, $125,000.\tCurrent Liabilities, $500,000.\tLong-term Debt , $500,000.\t9- Multiple Choice Question 76\tWhen an interest-bearing note matures, the balance in the Notes Payable account is\tless than the total amount repaid by the borrower.\tthe difference between the maturity value of the note and the face value of the note.\tequal to the total amount repaid by the borrower.\tgreater than the total amount repaid by the borrower\t10-Multiple Choice Question 125\tFrom the standpoint of the issuing company, a disadvantage of using bonds as a means of long-term financing is that\tinterest must be paid on a periodic basis regardless of earnings.\tthe bondholders do not have voting rights.\tincome to stockholders may increase as a result of trading on the equity.\tbond interest is deductible for tax purposes.\t11-Multiple Choice Question 194\tThe times interest earned ratio is computed by dividing\tincome before interest expense by interest expense.\tnet income by interest expense.\tincome before income taxes and interest expense by interest expense.\tincome before income taxes by interest expense.\t12- Multiple Choice Question 152\tIf the market interest rate is greater than the contractual interest rate, bonds will sell\tat a discount.\tonly after the stated interest rate is increased.\tat face value.\tat a premium.\t13- \u00a0 Multiple Choice Question 158\tThe market interest rate is often called the\tcoupon rate.\tcontractual rate.\tstated rate.\teffective rate.\t14-\tMultiple Choice Question 78\tOn October 1, Steve’s Carpet Service borrows $250,000 from First National Bank on a 3-month, $250,000, 8% note. The entry by Steve’s Carpet Service to record payment of the note and accrued interest on January 1 is\tNotes Payable\u00a0 255,000\u00a0\tCash\u00a0 255,000\tNotes Payable\u00a0 250,000\u00a0\tInterest Payable\u00a0 5,000\u00a0\tCash\u00a0 255,000\tNotes Payable\u00a0 250,000\u00a0\tInterest Payable\u00a0 20,000\u00a0\tCash\u00a0 270,000\tNotes Payable\u00a0 250,000\u00a0\tInterest Expense\u00a0 5,000\u00a0\tCash\u00a0 255,000\t15-\tMultiple Choice Question 61\tMost companies pay current liabilities\tby creating long-term liabilities.\tout of current assets.\tby issuing interest-bearing notes payable.\tby issuing stock.<\/p>\n","protected":false},"excerpt":{"rendered":"
ACC 557 Week 7 Chapter 9 Quiz (all possible questions) \u00a0 This Tutorial contains All possible Questions from this chapter (it contains more than 200 questions set) \u00a0 SOME SAMPLE QUESTIONS ARE GIVEN BELOW OUT OF THOSE 200 QUESTIONS \u00a0 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-200307","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/posts\/200307","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=200307"}],"version-history":[{"count":0,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/posts\/200307\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/media?parent=200307"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/categories?post=200307"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/tags?post=200307"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}