Day 56 - 67% FAIL

Question 1

Where should fair value foreign currency fluctuations be reported on the FS?

Answer 1

Current income

MCQ-07436

Question 2

What type of accounting is used for government wide FS? Governmental activities and business type activities?

Answer 2

Full Accrual

MCQ-16130

Question 3

When collectivity is reasonably assured, the excess of the subscription price over the stated value of the no par common stock subscribes should be recorded as:

Answer 3

APIC when the subscription is recorded

MCQ-01548

Question 4

In a partnership liquidation, what must be considered?

Answer 4

Liabilities and partner loans are subtracted out of sales price

MCQ-00723

Question 5

Cash Flows from investing activities consider the cash transactions affecting:

Answer 5

LT Assets

The cash inflow from the sale of equipment is netted against the cash outflow from the purchase of equipment

MCQ-12644

Question 6

Using the equity method, how does undervalued asset amortization related to the purchase affect the investment account?

Answer 6

Undervalued asset amortization affects both the investment account (an asset) and the investment income (revenue)

MCQ-00341

Question 7

What method should be used when a company exercises no significant influence and owns 25% of another?

Answer 7

Fair Value

MCQ-07501

Question 8

When should the acquisition method be used?

Answer 8

ONLY when you own 50% or more

Significant influence and under 50% = equity method

MCQ-07501