ACCT Week 3 Quiz Tool

School: Azusa Pacific University - Course: ACCT 512 - Subject: Accounting

Question 1 0.1667 out of 0.1667 points Bolton Company's gross pro±t rate last year was 32.0% and this year it is 28.4%. Which of the following wouldnotbe a possible cause for this decline in the gross pro±t rate? Selected Answer: Bolton may have begun selling products with a higher markup. Correct Answer: Bolton may have begun selling products with a higher markup. Question 2 0.1667 out of 0.1667 points Indicate which one of the following wouldnotappear on both a single- step income statement and a multiple-step income statement. Selected Answer: Gross pro±t Correct Answer: Gross pro±t Question 3 0.1667 out of 0.1667 points During the year, Sarah's Pet Shop's merchandise inventory decreased by $50,000. If the company's cost of goods sold for the year was $750,000, purchases would have been Selected Answer: $700,0 00. Correct Answer: $700,0 00. Question 4 0 out of 0.1667 points Indicate which one of the following would appear on the income statement of both a merchandising company and a service company. Selected Answer: Sales revenue Correct Answer: Operating expenses This study source was downloaded by 100000829281405 from CourseHero.com on 11-13-2021 18:37:24 GMT -06:00 https://www.coursehero.com/file/22455468/ACTG-ch5/This study resource was shared via CourseHero.com

Question 5 0.1667 out of 0.1667 points IFRS The use of IFRS results in more transactions a9ecting Selected Answer: other comprehensive income, but not net income. Correct Answer: other comprehensive income, but not net income. Question 6 0.1667 out of 0.1667 points IFRS The Income statement is Selected Answer: required under IFRS with some di9erences as compared to GAAP. Correct Answer: required under IFRS with some di9erences as compared to GAAP. Question 7 0.1667 out of 0.1667 points The collection of an $800 account beyond the 2 percent discount period will result in a Selected Answer: credit to Accounts Receivable for $800. Correct Answer: credit to Accounts Receivable for $800. Question 8 0.1667 out of 0.1667 points A company shows the following balances: What is the gross pro±t rate? Selected This study source was downloaded by 100000829281405 from CourseHero.com on 11-13-2021 18:37:24 GMT -06:00 https://www.coursehero.com/file/22455468/ACTG-ch5/This study resource was shared via CourseHero.com

Answer:25 % Correct Answer: 25 % Question 9 0.1667 out of 0.1667 points Operating expenses would include Selected Answer: freight- out. Correct Answer: freight- out. Question 10 0.1667 out of 0.1667 points What is a di9erence between merchandising companies and service enterprises? Selected Answer: Merchandising companies generally have a longer operating cycle than service enterprises. Correct Answer: Merchandising companies generally have a longer operating cycle than service enterprises. Question 11 0.1667 out of 0.1667 points The respective normal account balances of Sales, Sales Returns and Allowances, and Sales Discounts are Selected Answer: credit, debit, debit. Correct Answer: credit, debit, debit. Question 12 0.1667 out of 0.1667 points A credit sale of $3,800 is made on April 25, terms 2/10, net/30, on which a return of $200 is granted on April 28. What amount is received as payment in full on May 4? Selected Answer: