TEST BANK O O
Financial Accounting Tools For Business Decision
Making, 10th Edition, Paul D. Kimmel,
Chapters 1 – 13, Complete
CopyrightO©O2022OJohnOWileyO&OSons,OInc.O(ForOInstructorOUseOOn
ly)
,TABLE OF CONTENTS O O
1 Introduction to Financial Statements
O O O O O
2 A Further Look at Financial Statements
O O O O O O O
3 The Accounting Information System
O O O O O
4 Accrual Accounting Concepts
O O O O
5 Merchandising Operations and the Multiple-Step Income Statement
O O O O O O O O
6 Reporting and Analyzing Inventory
O O O O O
7 Fraud, Internal Control, and Cash
O O O O O O
8 Reporting and Analyzing Receivables
O O O O O
9 Reporting and Analyzing Long-Lived Assets
O O O O O O
10 Reporting and Analyzing Liabilities
O O O O O
11 Reporting and Analyzing Stockholders’ Equity
O O O O O O
12 Statement of Cash Flows
O O O O O
13 Financial Analysis: The Big Picture
O O O O O O
CopyrightO©O2022OJohnOWileyO&OSons,OInc.O(ForOInstructorOUseOOn
ly)
,CHAPTER 1 O
INTRODUCTION TO FINANCIAL STATEMENTS
O O O
CHAPTER LEARNING OBJECTIVES
O O
1. IdentifyOtheOformsOofObusinessOorganizationOandOtheOusesOofOaccountingOinformation.OAOsoleOproprie
torshipOisOaObusinessOownedObyOoneOperson.OAOpartnershipOisOaObusinessOownedObyOtwoOorOmoreOpeo
pleOassociatedOasOpartners.OAOcorporationOisOaOseparateOlegalOentityOforOwhichOevidenceOofOownershipO
isOprovidedObyOsharesOofOstock.OInternalOusersOareOmanagersOwhoOneedOaccountingOinformationOtoOpla
n,Oorganize,OandOrunObusinessOoperations.OTheOprimaryOexternalOusersOareOinvestorsOandOcreditors.OIn
vestorsO(stockholders)OuseOaccountingOinformationOtoOdecideOwhetherOtoObuy,Ohold,OorOsellOsharesOofO
aOcompany‘sOstock.OCreditorsO(suppliersOandObankers)OuseO accountingO informationO toO assessOtheO riskO
ofO grantingO creditO orO loaningO moneyOtoOaObusiness.OOtherOgroupsOwhoOhaveOanOindirectOinterestOinOaO
businessOareOtaxingOauthorities,Ocustomers,OlaborOunions,OandO regulatoryOagencies.
2. ExplainOtheOthreeOprincipalOtypesOofObusinessOactivity.OFinancingOactivitiesO involveOcollectingOtheOnec
essaryOfundsOtoOsupportOtheObusiness.OInvestingOactivitiesOinvolveOacquiringOtheOresourcesOnecessaryOt
oOrunOtheObusiness.OOperatingOactivitiesOinvolveOputtingO theOresourcesOofO theObusinessOintoOactionOto
OgenerateOaO profit.
3. DescribeOtheOfourOfinancialOstatementsOandOhowOtheyOareOprepared.OAnOincomeOstatementOpresentsO
theOrevenuesOandOexpensesOofOaOcompanyOforOaOspecificOperiodOofOtime.OAOretainedOearningsOstateme
ntOsummarizesOtheOchangesOinOretainedOearningsOthatOhaveOoccurredOforOaOspecificOperiodOofOtime.OAO
balanceOsheetOreportsOtheOassets,Oliabilities,OandOstockholders‘OequityOofOaObusinessOatOaOspecificOdate.
OAOstatementOofOcashOflowsO summarizesO informationOconcerningOtheOcashOinflowsO(receipts)OandOout
flowsO(payments)OforOaOspecificOperiodOofOtime.OAssetsOareOresourcesOownedObyOaObusiness.OLiabilitiesO
areOtheOdebtsOandOobligationsOofOtheObusiness.OLiabilitiesOrepresentOclaimsOofOcreditorsOonOtheOassetsO
ofOtheObusiness.OStockholders‘OequityOrepresentsOtheOclaimsOofOownersOonOtheOassetsOofOtheObusiness.
OStockholders‘OequityOisOsubdividedOintoOtwoOparts:OcommonOstockOandOretainedOearnings.OTheObasicO
accountingOequationOisOAssetsO=OLiabilitiesO+OStockholders‘OEquity.OWithinOtheOannualOreport,OtheOman
agementOdiscussionOandOanalysisOprovidesOmanagement‘sOinterpretationOofOtheOcompany‘sOresultsOan
dOfinancialOpositionOasOwellOasOaOdiscussionOofOplansOforOtheOfuture.ONotesOtoOtheOfinancialOstatements
OprovideOadditionalOexplanationOorOdetailOtoOmakeOtheOfinancialOstatementsOmoreOinformative.OTheOau
ditor‘sOreportOexpressesOanOopinionOasOtoOwhetherOtheOfinancialOstatementsOpresentOfairlyOtheOcompan
y‘sOresultsOofOoperationsOandOfinancialOposition.
*4.OExplainOtheOcareerOopportunitiesOinOaccounting.OAccountingOoffersOmanyOdifferentOjobsOinOfieldsOsuch
OasOpublicOandOprivateOaccounting,Ogovernmental,OandOforensicOaccounting.OAccountingOisOaOpopularO
majorObecauseOthereOareOmanyOdifferentOtypesOofOjobs,OwithOunlimitedOpotentialOforOcareerOadvance
ment
CopyrightO©O2022OJohnOWileyO&OSons,OInc.O(ForOInstructorOUseOOn
ly)
, 2-2 TestOBankOforOKimmel,OFinancialOAccounting:OToolsOforOBusinessODecisionOMaking,O
10e
Difficulties:
Easy:O143
Medium:O101
Hard:O12
Question List by Section
O O O
BusinessOOrganizationOandOAccountingOInformationOUses:OFor
msOofOBusinessOOrganization;O47,O48,O202,O246
SoleOProprietorship:O5,O44,O49,O58,O59
Partnership:O1,O4,O46,O56
Corporation:O2,O3,O45,O50,O51,O52,O53,O55,O57,O233,O245
HybridOFormsOofOOrganization:O60,O61
UsersOandOUsesOofO FinancialOInformation:O6,O7,O11,O74,O87
InternalOUsers:O62,O63,O64,O75,O77,O82,O234
ExternalOUsers:O8,O9,O10,O12,O65,O76,O78,O79,O80,O81,O83,O84,O85,O86,O88,O89
DataOAnalytics:O66,O67,O68,O69,O70,O235,O236
EthicsOinOFinancialOReporting:O71,O72,O73,O237,O255OThe
O ThreeO TypesOofO BusinessOActivity:O97
FinancingOActivities:O13,O15,O18,O90,O91,O93,O94,O95,O96,O97,O102,O109,O117,O118,O119,O238
InvestingOActivities:O14,O16,O98,O99,O115,O116
OperatingOActivities:O17,O19,O20,O100,O101,O103,O104,O105,O106,O107,O108,O110,O111,O112,O113,
114
TheOFourOFinancialOStatements:
IncomeOStatement:O21,O22,O23,O24,127,O128,O132,O133,O134,O138,O142,O143
RetainedOEarningsOStatement:O120,O122,O123,O 124,O125,O126,O129,O130,O131,O135,O137,O139,O140,
141,O144,O145,O146,O147,O148,O149,O150,O154,O164,O169,O178,O181,O252
BalanceOSheet:O25,O27,O28,O29,O30,O31,O32,O33,O34,O35,O136,O151,O152,O153,O163,O165,O166,O168,
170,O173,O177,O179,O180,O182,O185,O186,O187,O188,O199,O200,O201,O207,O208,O213,O214,O215,O216,
217,O218,O219,O220,O221,O222,O225,O229,O239,O240,O241,O253
StatementOofO CashOFlows:O26,O121,O171,O174,O183,O242,O249
InterrelationshipsOofOStatements:O155,O156,O157,O158,O159,O160,O161,O162,O167,O175,O176,O184,
250,O251,O256
ElementsOofOanOAnnualOReport:O36,O41,O192,O196,O197
ManagementODiscussionOandOAnalysis:O40,O191
NotesOtoOtheOFinancialOStatements:O37,O42,O190,O193,O194,O198,O254
Auditor‘sOReport:O38,O39,O195
CopyrightO©O2022OJohnOWileyO&OSons,OInc.O(ForOInstructorOUseOOn
ly)
