question Which of the following is a recordable event or item? answer Payment of monthly payroll question Which of the following is an ingredient of relevance? answer Materiality question Revenue is recognized in the accounting period in which the performance obligation is satisfied. This statement describes the answer revenue recognition principle. question Which of the following is a nominal account? answer Dividends. question PDJ Incorporated […]

question Which of the following is a recordable event or item? answer Payment of monthly payroll question Which of the following is an ingredient of relevance? answer Materiality question Revenue is recognized in the accounting period in which the performance obligation is satisfied. This statement describes the answer revenue recognition principle. question Which of the following is a nominal account? answer Dividends. question PDJ Incorporated […]

question Long-Term Liability answer Any obligation of a business that is expected to be satisfied or paid in more than one year. The most common and largest often arise from borrowing money question Bond answer A financial instrument in which a borrower promises to pay future interest and principal to a creditor in exchange for the creditors’ cash todayThe borrower “sells” or “issues” the bond […]

question The product cost that is most difficult to associate with a product is answer Manufacturing Overhead question Internal reports must be communicated answer as needed question Both direct labor cost and indirect labor costs are product costs answer True question Managerial accounting applies to all forms of business organizations. answer True question Total period costs are deducted from total cost of work in process […]

question Accounting answer Planning, recording, analyzing, and interpreting financial information question Accounting System answer A planned process for providing financial information that will be useful to management question GAAP answer Generally Accepted Accounting Principles question Accounting Concepts/Assumptions answer Basic concepts that underlie all financial statements question Monetary Unit answer Only those things that can be exchanged in money question Economic/Business Entity answer Each business is […]

question Annuity answer type of investment where money is exchanged fora series of equal payments over time. Payments can include interest on the original sum plus income from investments. Annuities are sold by life insurance companies and are often purchased to provide retirement income and shift the responsibility for investing to an investment company. question blue chip stock answer The stock of a financially sound […]

question Account answer A record summarizing all the information pertaining to a single item in the accounting equation question Accounting answer Planning, recording, analyzing, and interpreting financial information question Accounting Equation answer An equation showing the relationship among assets, liabilities, and owner’s equity question Asset answer Anything of value that is owned question Balance Sheet answer A financial statement that reports assets, liabilities, and owner’s […]

question HO-1 answer Basic form question HO-2 answer Broad Form question HO-3 answer Special Form – All Risk coverage for Dwelling only question HO-4 answer Tenants Content Form question HO-5 answer (Comprehensive form) HO-3 + HO-15 endorsement makes this ALL RISK coverage on the Dwelling and Personal Property. question HO-15 answer An endorsement that is used for ALL RISK coverage on personal property of a […]

question Accounting concepts answer are used as the basis for development of accounting rules. question Accounting equation answer is a formula underlying the statement of financial position. It can be expressed most simply as: Assets minus liabilities = capital. question Accumulated depreciation answer is the total of the depreciation charged on a tangible non-current asset from its date of purchase. question Accrual answer is an […]

question Ledger answer A group of accounts question General ledger answer A ledger that contains all accounts needed to prepare financial statements question Account Number answer Number assigned to an account question File maintenance answer Procedure for arranging accounts in a general ledger, assigning account numbers, and keeping records current question Opening an account answer Writing an account title and number on the heading of […]