B. can only have one legal form of organization
C. can have adequate financial records without a formal accounting system
D. has to issue shares before it opens
E. is one or more individuals selling products or services for profit and has to issue shares before it open
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: Medium
Learning Objective: 01-02 Describe forms of business organization.
Topic: 01-04 Forms of Organization
121. Source documents
A. do not provide objective evidence about transaction
B. are a source of accounting information.
C. can only be in electronic form
D. are only used for audit purposes
E. are acceptable as a substitute for financial statements
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: Medium
Learning Objective: 01-07 Analyze business transactions by applying the accounting equation.
Topic: 01-22 Transaction Analysis
122. In Canada, the national organization that has been established to train and monitor its highly qualified professionals to navigate through today's complex and dynamic business climate while demonstrating a commitment to its core values is called
A. general Accountant.
B. management Accountant.
C. certified Management Accountants.
D. chartered Professional Accountants.
E. all of the choices are correct.
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: Easy
Learning Objective: 01-03 Identify users and uses of, and opportunities in, accounting.
Topic: 01-13 Professional Certification
123. Source documents include all of the following except:
A. sales invoice
B. financial statements.
C. cheques
D. purchase orders
E. bank statements
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: Easy
Learning Objective: 01-07 Analyze business transactions by applying the accounting equation.
Topic: 01-22 Transaction Analysis
124. Accounting is an information and measurement system that
A. identifies economic activities
B. records economic activities
C. communicates economic information
D. identifies and records economic activities
E. All of these
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: Medium
Learning Objective: 01-01 Describe the purpose and importance of accounting.
Topic: 01-02 Power of Accounting
125. An individual or organization entitled to receive payments from a business is known to the business as a
A. debtor
B. shareholder
C. controller
D. creditor
E. bookkeeper
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: Medium
Learning Objective: 01-06 Identify and explain the content and reporting aims of financial statements.
Topic: 01-20 Previewing Financial Statements
126. An individual or organization that owes an amount to a business is known to the business as a
A. debtor
B. shareholder
C. controller
D. creditor
E. bookkeeper
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: Medium
Learning Objective: 01-06 Identify and explain the content and reporting aims of financial statements.
Topic: 01-20 Previewing Financial Statements
127. Career opportunities in accounting include
A. budgeting
B. auditing
C. cost accounting
D. management consulting
E. All of these
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: Easy
Learning Objective: 01-03 Identify users and uses of, and opportunities in, accounting.
Topic: 01-09 Accounting Opportunities
128. Which of the following accounting principles would require that all goods and services purchased be recorded at cost?
A. Going concern principle
B. Currency principle
C. Historical cost principle
D. Business entity principle
E. Revenue recognition principle
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: Easy
Learning Objective: 01-05 Identify, explain, and apply accounting principles.
Topic: 01-18 GAAP for Public vs. Private Enterprises
129. External users of accounting information include
A. shareholders
B. customers