WorksheetsIntermediate Accounting 1 (RECAP)
Total questions: 10
Worksheet time: 5mins
General-purpose financial statements are the product of
financial accounting.
managerial accounting.
both financial and managerial accounting.
neither financial nor managerial accounting.
Why did the AICPA create the Accounting Principles Board?
The SEC disbanded the previous standard setting organization.
The previous standard setting organization did not provide a structured set of accounting principles.
No such organization existed in the past.
None of the above.
Which of the following is not considered cash for financial reporting purposes?
Petty cash funds and change funds
Money orders, certified checks, and personal checks
Coin, currency, and available funds
Postdated checks and I.O.U.'s
Consider the following: Cash in Bank – checking account of $18,000, Cash on hand of $500, Post-dated checks received totaling $3,500, and Certificates of deposit totaling $124,000. How much should be reported as cash in the balance sheet?
(a)
What is consigned inventory?
Goods that are shipped, but title transfers to the receiver.
Goods that are sold, but payment is not required until the goods are sold.
Goods that are sold, but payment is not required until the goods are sold.
Morgan Manufacturing Company has the following account balances at year end:
Office supplies PHP 4,000
Raw materials 27,000
Work-in-process 59,000
Finished goods 82,000
Prepaid insurance 6,000
What amount should Morgan report as inventories in its balance sheet?
(a)
When a plant asset is acquired by issuance of common stock, the cost of the plant asset is properly measured by the
Par value of the stock.
stated value of the stock.
book value of the stock
fair value of the stock.
Fogelberg Company purchased equipment for $15,000. Sales tax on the purchase was $900. Other costs incurred were freight charges of $240, repairs of $420 for damage during installation, and installation costs of $270. What is the cost of the equipment?
(a)
The cost of an intangible asset includes all of the following except.
purchase price.
legal fees
other incidental expenses.
all of these are included.
Tripiani Inc. incurred P900,000 of capitalizable costs to develop computer software during 2022. The software will be used internally over its 5-year life. What amount of the computer software costs should be expensed in 2022?
(a)
