Accrual based accounting - Study guides, Class notes & Summaries

ACCY 200 Exam 1 UIUC; Questions & Answers 100% Verified The balance sheet equation can be represented by: Correct answer-Assets - Liabilities = Stockholders' Equity. Assets = Liabilities + Stockholders' Equity. Net Assets = Stockholders' Equity. This accounting method accomplishes much of the matching of revenues and expenses? Correct answer-Accrual accounting A fiscal year: Correct answer-is frequently selected based on the firm's operating cycle Expenses are: Correct answer-d...

Managerial Accounting, 16e (Garrison) Appendix 2A Activity-Based Absorption Costing 1) Feauto Manufacturing Corporation has a traditional costing system in which it applies manufacturing overhead to its products using a predetermined overhead rate based on direct labor-hours (DLHs). The company has two products, I63E and E76I, about which it has provided the following data: Direct materials per unit $ 19.90 $ 54.40 Direct labor per unit $ 12.00 $ 31.50 Direct labor-hours per un...

ERISA - Answer- Employee Retirement Income Security Act 1974 SOC Reports - Answer- Service Organization Controls: for external vendors SOC 1 - Answer- Internal Controls & Financial reports; used by auditors SOC 2 - Answer- Security, availability, processing integrity, confidentiality and privacy controls;used by management, regulators, and others under an NDA SOC3 - Answer- Same as SOC2, but available for public use. Tribble V Edison - Answer- Landmark court case re fiduciary resp...

absolute advantage - Answer-A monopoly on producing a product at a lesser price. absolute liability - Answer-Responsibility of a producer of any harm that is caused by s product (regardless if it was foreseeable). accountability - Answer-Accepting consequences of actions. accounting - Answer-The occupation of maintaining and auditing records and preparing financial reports for a business and the interpretation thereof. accounting system - Answer-Computer program for accounting. accounts p...

ACCY 200 Exam 1 UIUC Questions and Answers 100% Pass What is the fundamental equation of the balance sheet? Assets equal liabilities plus stockholders' equity, representing the core equation that defines a company's financial position. Which accounting approach facilitates matching revenues and expenses? Accrual accounting accomplishes much of the alignment between revenues earned and expenses incurred during a specific period. How is a fiscal year typically determined? A f...

APB OpinionsAnswer - The APB's official pronouncements issued from 1959 through 1973 which were intended to be based mainly on research studies and be supported by reasons and analysis. Accounting Principles Board (APB)Answer - An accounting rule-making board which provided official pronouncements, called APB Opinions, from 1959 through 1973. Accounting Research BulletinsAnswer - Pronouncements issued by CAP dealing with a variety of timely accounting problems during the years 1939 to ...

APB OpinionsAnswer - The APB's official pronouncements issued from 1959 through 1973 which were intended to be based mainly on research studies and be supported by reasons and analysis. Accounting Principles Board (APB)Answer - An accounting rule-making board which provided official pronouncements, called APB Opinions, from 1959 through 1973. Accounting Research BulletinsAnswer - Pronouncements issued by CAP dealing with a variety of timely accounting problems during the years 1939 to ...

1-day payment window rule - Answer a Medicare requirement similar to the day payment window rule that applies to inpatient poychiatric hosp tals, inpatient rehabilitation facilities, long term care facilities, and chil dren's and cancer hospital. 3-day payment window rule - Answer a Medicare requirement that all diagnostic and clinically related non-diagnostic outpatient services provided with in three days of an inpatient admission must combined the inpa- tient claim when they are provided ...

Trading on the NYSE is executed without a specialist (i.e. a market maker). False Accruals are expenses a firm owes but hasn't paid yet. (Like wages - the employee has worked, but his check hasn't been cut yet.) Which of the following best describes the guiding principle for revenue recognition within accrual accounting system: Revenue is reported when the earnings process is complete A high-quality customer just purchased $500,000 worth of product from your company. The contract calls ...

WGU C214 OA Q&A Checklist Which will be larger: accrual taxes payable or accounting income tax expense - ANSWER-Accounting tax expense will be higher; actual taxes based on IRS rules will be lower