Financial Accounting

Front 1

True or false demolition cost to remove an old building from Land purchased as a site for a new building are considered part of the cost of the new building

Back 1

False

Front 2

True or false. The relative Fair values are used to determine the valuation of individual assets acquired in a lump-sum purchase

Back 2

True

Front 3

What would Julia record goodwill as?

Back 3

$600,000

Front 4

A document that indicates such things as a description and quantity of goods and services received, the prices include Freight, the cash discount terms and the data billing period is an essential document because it specifies the amount of money owed for an acquisition

Back 4

Vendor invoice

Front 5

What are the names of the three documents Mass before a check is issued to a vendor for payments on account

Back 5

Receiving airport, approve purchase orders and vendor invoice

Front 6

The general journal is used to record what

Back 6

Post all accounting entry is not posted and other individual journals

Front 7

Adjusting journal entries are prepared for what

Back 7

Record depreciation expense and adjust payroll expense for wages earned but not yet paid

Front 8

What is not included in an adjusting journal entry under the periodic inventory method

Back 8

A debit for the total amount in the Freight in account

Front 9

What is the most important assertion relating to cash receipts

Back 9

All amounts received are properly recorded

Front 10

A completed credit sales transaction should be supported by what documents

Back 10

A customer order, bill of lading, and sales invoice

Front 11

What is the correct order of steps in the accounting process

Back 11

Prepare records, record in journals, post two letters, and prepare an unadjusted trial balance

Front 12

What is included in the cost of land when purchasing

Back 12

Purchase price, attorney fees, real estate agent commissions, cost related to title and title search, recording fees, any back taxes, Leeds, mortgage is, or other obligations, and expenditures such as clearing, chilling, drinking, and even removing old buildings, and land improvements

Front 13

What is included in cost of equipment

Back 13

Purchase price, any sales tax, Transportation cost, expenditures for installation and testing, legal fees to a salvage title, and any other cost to bring the asset to its condition and location for use

Front 14

What is included in cost of buildings

Back 14

Purchase price, realtor commissions and legal fees, and reconditioning cost

Front 15

What are included in Cost of Natural Resources if purchased

Back 15

Purchase price and any other costs necessary to bring the author to condition and location for use

Front 16

What is included in the cost of Natural Resources if developed

Back 16

Acquisition cost, exploration costs, development costs, restoration cost

Front 17

Example of asset retirement obligation

Back 17

A company might be required to restore land to its original condition after extraction is completed

Front 18

Journal entries for recording asset retirement obligation

Back 18

Debit Coal Mine credit cash and asset retirement liability

Front 19

Represents exclusive rights to provide benefits to the owner. Lacks physical substance. Difficult to anticipate the timing in the existence of future benefits attributable

Back 19

Intangible assets

Front 20

When are intangible assets amortized and not amotorized

Back 20

Amortized when they have finity useful lives and not amortized when they have indefinite useful lives

Front 21

What is the cost associated with intangible assets

Back 21

Purchase price plus all other costs necessary to bring the asset to his desire conditioner and location for use.

Front 22

Examples of intangible assets

Back 22

Patents Copyrights. Trademarks. Franchises.

Front 23

Represents the unique value of a company as a whole over and above its identifiable tangible and intangible assets

Back 23

Goodwill

Front 24

What is capitalized cost of Goodwill

Back 24

Fair value of the consideration exchange (acquisition price) for the company minus fair value of the net assets acquired

Front 25

refers to the acquisition of group of assets for a single sum

Back 25

Lump sum purchases

Front 26

An obligation to make payment in the future

Back 26

Deferred payments

Front 27

Occurs when small companies incorporate and the owner or owners contribute assets to the new Corporation in exchange for ownership securities

Back 27

Issuance of equity securities

Front 28

Journal entries for asset donation

Back 28

Devitt's the assets credit cash in Revenue donation of asset

Front 29

What does a seller recognized during a sell of a disposition

Back 29

Gain or loss for the difference between the consideration received in the book value of the assets sold

Front 30

When retiring a disposition what needs to be recorded

Back 30

Alas for the remaining Book value of the asset

Front 31

When exchanges occur what is recognized in the journal

Back 31

Gain or loss is recognized in these transactions for the difference between a fair value and Book value of the asset given

Front 32

Two critical issues with self-constructed assets

Back 32

One is determining the amount of indirect manufacturing costs to be allocated to the construction and 2 deciding on the proper treatment of Interest incurred during construction

Front 33

3 cost allocations

Back 33

Depreciation, depletion, and amortization

Front 34

Estimating use that the company expects to receive from the asset

Back 34

Service life

Front 35

The v A Lur of the usefulness that is expected to be consumed

Back 35

Allocation base

Front 36

The pattern in which the usefulness us expected to be consumed

Back 36

Allocation method