Ferg Acctg Bellringer 6 Financial

Which of the following is an example of external users of accounting information?

• Analysts

• Employees

• Managers

• Owners

What statement(s) do external and internal users of accounting information rely on? (mark all that apply)

• Statement of Cash Flows

• Balance Sheet

• Statement of Retained Earnings

• Income Statement

• Trial Balance

Monica reads in the newspaper that in the year ended December 31, 2015, Profit For Two Inc made $1 million profit. Monica wants to confirm for herself that this is really the case. What financial statement of Profit For Two Inc should Monica read to confirm the newspaper report?

• The income statement

• The statement of retained earnings

• The statement of cash flows

• The balance sheet

Djokovic is the Chief Information Officer for InfoTech Inc. Murray is the Chief Lending Officer at the Bank where InfoTech has a large bank loan. Which statement is true for both Djokovic and Murray, in connection with InfoTech?

• Information user

• Internal user

• Investor

• Supplier

The accounting department prepares financial reports for _____ and _____ users.

• internal, external

• timely, accurate

• employee, volunteer

• smart, savvy

The accounts payable role is responsible for:

• Tracking payments made by the company

• Marketing the goods or services sold by the company

• Preparing tax returns

• Depositing cash and recording cash receipts

To maintain proper financial controls, the person that records cash receipts should NOT also _____.

• Deposit the cash

• Have access to the accounting system

• Count the cash

• Reset passwords to the accounting system

The accounts receivable role is responsible for:

• Tracking cash received by the company

• Selling products for the company

• Tracking checks written by the company

• Processing payroll

With accounting software, Bob is able to complete five times as many transactions as he can manually; this supports the explanation of technology as

• anything that is man-made and makes a process easier to complete.

• a machine that requires a human or animal to operate.

• anything that is man-made but has no bearing on how easy or difficult a process is to complete.

• a man-made apparatus that helps to process financial transactions.

In our ever-evolving world, there have been many advances that have made accounting processes easier to complete. Which of the following is an example of man-made technology that has impacted the accounting industry throughout history? (mark all that apply)

• Ink

• Pencils

• Computers

• Glue