Intermediate Accounting J David Spiceland 10 Edition – Test Bank

Intermediate Accounting, 10e (Spiceland)

Chapter 3 The Steadiness Sheet and Monetary Disclosures

1) The stability sheet studies an organization’s monetary place at a cut-off date.

Reply: TRUE

Issue: 1 Straightforward

Subject: Steadiness sheet―Usefulness – Limits – Components

Studying Goal: 03-01 Describe the aim of the stability sheet and perceive its usefulness and limitations.

Bloom’s: Keep in mind

AACSB: Reflective Pondering

AICPA/Accessibility: BB Essential Pondering; FN Measurement / Keyboard Navigation

2) An organization’s market worth is usually lower than its e-book worth.

Reply: FALSE

Issue: 1 Straightforward

Subject: Steadiness sheet―Usefulness – Limits – Components

Studying Goal: 03-01 Describe the aim of the stability sheet and perceive its usefulness and limitations.

Bloom’s: Perceive

AACSB: Reflective Pondering

AICPA/Accessibility: BB Essential Pondering; FN Measurement / Keyboard Navigation

3) All present property are both money or property that will likely be transformed into money or consumed inside 12 months or the working cycle, whichever is longer.

Reply: TRUE

Issue: 1 Straightforward

Subject: Classify property―Present property

Studying Goal: 03-02 Determine and describe the varied asset classifications.

Bloom’s: Keep in mind

AACSB: Reflective Pondering

AICPA/Accessibility: BB Essential Pondering; FN Measurement / Keyboard Navigation

4) The stability of internet receivables represents the quantity anticipated to be collected.

Reply: TRUE

Issue: 1 Straightforward

Subject: Classify property―Present property

Studying Goal: 03-02 Determine and describe the varied asset classifications.

Bloom’s: Perceive

AACSB: Reflective Pondering

AICPA/Accessibility: BB Essential Pondering; FN Measurement / Keyboard Navigation

5) Pay as you go bills are labeled as present property if the companies bought are anticipated to run out inside 12 months or the working cycle, whichever is longer.

Reply: TRUE

Issue: 1 Straightforward

Subject: Classify property―Present property

Studying Goal: 03-02 Determine and describe the varied asset classifications.

Bloom’s: Keep in mind

AACSB: Reflective Pondering

AICPA/Accessibility: BB Essential Pondering; FN Measurement / Keyboard Navigation

6) Belongings labeled as property, plant, and gear embrace equipment, gear, and stock.

Reply: FALSE

Issue: 1 Straightforward

Subject: Classify property―Present property

Studying Goal: 03-02 Determine and describe the varied asset classifications.

Bloom’s: Keep in mind

AACSB: Reflective Pondering

AICPA/Accessibility: BB Essential Pondering; FN Measurement / Keyboard Navigation

7) Intangible property normally are reported within the stability sheet as present property.

Reply: FALSE

Issue: 1 Straightforward

Subject: Classify property―Present property

Studying Goal: 03-02 Determine and describe the varied asset classifications.

Bloom’s: Keep in mind

AACSB: Reflective Pondering

AICPA/Accessibility: BB Essential Pondering; FN Measurement / Keyboard Navigation

8) Accrued salaries and wages in a stability sheet signify salaries which were earned by workers however not but paid.

Reply: TRUE

Issue: 1 Straightforward

Subject: Classify liabilities―Present liabilities

Studying Goal: 03-03 Determine and describe the varied legal responsibility and shareholders’ fairness classifications.

Bloom’s: Keep in mind

AACSB: Reflective Pondering

AICPA/Accessibility: BB Essential Pondering; FN Measurement / Keyboard Navigation

9) The standards for figuring out which objects comprise money equivalents typically is disclosed within the abstract of great accounting insurance policies.

Reply: TRUE

Issue: 1 Straightforward

Subject: Disclosure―Notes to monetary statements

Studying Goal: 03-04 Clarify the aim of monetary assertion disclosures.

Bloom’s: Keep in mind

AACSB: Reflective Pondering

AICPA/Accessibility: BB Essential Pondering; FN Measurement / Keyboard Navigation

10) Fee phrases, rates of interest, and different particulars of long-term liabilities normally are reported in disclosure notes.

Reply: TRUE

Issue: 1 Straightforward

Subject: Disclosure―Notes to monetary statements

Studying Goal: 03-04 Clarify the aim of monetary assertion disclosures.

Bloom’s: Keep in mind

AACSB: Reflective Pondering

AICPA/Accessibility: BB Essential Pondering; FN Measurement / Keyboard Navigation