1.
Award: 1.00 point
2.
Award: 1.00 point
3.
Award: 1.00 point
Accounting is an information and measurement system that identifies, records, and communicates an organization's business activities.
True
False
References
True / False Difficulty: 1 Easy Learning Objective: 01-C1 Explain the importance of accounting
and identify its users.
Accounting includes the analysis and interpretation of information.
True
False
References
True / False Difficulty: 1 Easy Learning Objective: 01-C1 Explain the importance of accounting
and identify its users.
Financial accounting focuses on the needs of external users, who get accounting information from general-purpose financial statements.
True
False
References
True / False Difficulty: 1 Easy Learning Objective: 01-C1 Explain the importance of accounting
and identify its users.
4.
Award: 1.00 point
5.
Award: 1.00 point
6.
Award: 1.00 point
7.
Award: 1.00 point
Internal users of accounting information do not directly manage the organization and have limited access to its accounting information.
True
False
References
True / False Difficulty: 1 Easy Learning Objective: 01-C1 Explain the importance of accounting
and identify its users.
Auditors verify the effectiveness of internal controls.
True
False
References
True / False Difficulty: 1 Easy Learning Objective: 01-C2 Describe the importance of ethics and
GAAP.
External auditors examine financial statements to verify that they are prepared according to generally accepted accounting principles.
True
False
References
True / False Difficulty: 1 Easy Learning Objective: 01-C1 Explain the importance of accounting
and identify its users.
External users include lenders, shareholders, customers, and regulators.
True
False
References
True / False Difficulty: 2 Medium Learning Objective: 01-C1 Explain the importance of accounting
and identify its users.
8.
Award: 1.00 point
9.
Award: 1.00 point
10.
Award: 1.00 point
11.
Award: 1.00 point
Internal users include lenders, shareholders, brokers and nonexecutive employees.
True
False
References
True / False Difficulty: 2 Medium Learning Objective: 01-C1 Explain the importance of accounting
and identify its users.
Opportunities in accounting include auditing, consulting, market research, and tax planning.
True
False
References
True / False Difficulty: 2 Medium Learning Objective: 01-C1 Explain the importance of accounting
and identify its users.
The fraud triangle shows that three factors that push a person to commit fraud are opportunity, pressure, and rationalization.
True
False
References
True / False Difficulty: 2 Medium Learning Objective: 01-C2 Describe the importance of ethics and
GAAP.
Internal controls are procedures to protect assets, ensure reliable accounting, promote efficiency, and uphold company policies.
True
False
References
True / False Difficulty: 2 Medium Learning Objective: 01-C2 Describe the importance of ethics and
GAAP.
12.
Award: 1.00 point
13.
Award: 1.00 point
14.
Award: 1.00 point
15.
Award: 1.00 point
A partnership is a business owned by two or more people.
True
False
References
True / False Difficulty: 1 Easy Learning Objective: 01-C2 Describe the importance of ethics and
GAAP.
Owners of a corporation are called shareholders or stockholders.
True
False
References
True / False Difficulty: 1 Easy Learning Objective: 01-C2 Describe the importance of ethics and
GAAP.
In a partnership, the owners are called stockholders.
True
False
References
True / False Difficulty: 1 Easy Learning Objective: 01-C2 Describe the importance of ethics and
GAAP.
The balance sheet shows a company's net income or loss over a period of time.
True
False
References
True / False Difficulty: 2 Medium Learning Objective: 01-P2 Identify and prepare basic financial
statements and explain how they interrelate.
16.
Award: 1.00 point
17.
Award: 1.00 point
18.
Award: 1.00 point
19.
Award: 1.00 point
The Financial Accounting Standards Board (FASB) is given the task of setting generally accepted accounting principles (GAAP) from the Securities and
Award: 1.00 point
2.
Award: 1.00 point
3.
Award: 1.00 point
Accounting is an information and measurement system that identifies, records, and communicates an organization's business activities.
True
False
References
True / False Difficulty: 1 Easy Learning Objective: 01-C1 Explain the importance of accounting
and identify its users.
Accounting includes the analysis and interpretation of information.
True
False
References
True / False Difficulty: 1 Easy Learning Objective: 01-C1 Explain the importance of accounting
and identify its users.
Financial accounting focuses on the needs of external users, who get accounting information from general-purpose financial statements.
True
False
References
True / False Difficulty: 1 Easy Learning Objective: 01-C1 Explain the importance of accounting
and identify its users.
4.
Award: 1.00 point
5.
Award: 1.00 point
6.
Award: 1.00 point
7.
Award: 1.00 point
Internal users of accounting information do not directly manage the organization and have limited access to its accounting information.
True
False
References
True / False Difficulty: 1 Easy Learning Objective: 01-C1 Explain the importance of accounting
and identify its users.
Auditors verify the effectiveness of internal controls.
True
False
References
True / False Difficulty: 1 Easy Learning Objective: 01-C2 Describe the importance of ethics and
GAAP.
External auditors examine financial statements to verify that they are prepared according to generally accepted accounting principles.
True
False
References
True / False Difficulty: 1 Easy Learning Objective: 01-C1 Explain the importance of accounting
and identify its users.
External users include lenders, shareholders, customers, and regulators.
True
False
References
True / False Difficulty: 2 Medium Learning Objective: 01-C1 Explain the importance of accounting
and identify its users.
8.
Award: 1.00 point
9.
Award: 1.00 point
10.
Award: 1.00 point
11.
Award: 1.00 point
Internal users include lenders, shareholders, brokers and nonexecutive employees.
True
False
References
True / False Difficulty: 2 Medium Learning Objective: 01-C1 Explain the importance of accounting
and identify its users.
Opportunities in accounting include auditing, consulting, market research, and tax planning.
True
False
References
True / False Difficulty: 2 Medium Learning Objective: 01-C1 Explain the importance of accounting
and identify its users.
The fraud triangle shows that three factors that push a person to commit fraud are opportunity, pressure, and rationalization.
True
False
References
True / False Difficulty: 2 Medium Learning Objective: 01-C2 Describe the importance of ethics and
GAAP.
Internal controls are procedures to protect assets, ensure reliable accounting, promote efficiency, and uphold company policies.
True
False
References
True / False Difficulty: 2 Medium Learning Objective: 01-C2 Describe the importance of ethics and
GAAP.
12.
Award: 1.00 point
13.
Award: 1.00 point
14.
Award: 1.00 point
15.
Award: 1.00 point
A partnership is a business owned by two or more people.
True
False
References
True / False Difficulty: 1 Easy Learning Objective: 01-C2 Describe the importance of ethics and
GAAP.
Owners of a corporation are called shareholders or stockholders.
True
False
References
True / False Difficulty: 1 Easy Learning Objective: 01-C2 Describe the importance of ethics and
GAAP.
In a partnership, the owners are called stockholders.
True
False
References
True / False Difficulty: 1 Easy Learning Objective: 01-C2 Describe the importance of ethics and
GAAP.
The balance sheet shows a company's net income or loss over a period of time.
True
False
References
True / False Difficulty: 2 Medium Learning Objective: 01-P2 Identify and prepare basic financial
statements and explain how they interrelate.
16.
Award: 1.00 point
17.
Award: 1.00 point
18.
Award: 1.00 point
19.
Award: 1.00 point
The Financial Accounting Standards Board (FASB) is given the task of setting generally accepted accounting principles (GAAP) from the Securities and