SUBJECTS
|
BROWSE
|
CAREER CENTER
|
POPULAR
|
JOIN
|
LOGIN
Business Skills
|
Soft Skills
|
Basic Literacy
|
Certifications
About
|
Help
|
Privacy
|
Terms
|
Email
Search
Test your basic knowledge |
Financial Statements
Start Test
Study First
Subject
:
business-skills
Instructions:
Answer 50 questions in 15 minutes.
If you are not ready to take this test, you can
study here
.
Match each statement with the correct term.
Don't refresh. All questions and answers are randomly picked and ordered every time you load a test.
This is a study tool. The 3 wrong answers for each question are randomly chosen from answers to other questions. So, you might find at times the answers obvious, but you will see it re-enforces your understanding as you take the test each time.
1. Contributed capital - beginning + issuance of shares - (Repurchase to retire shares)
Return on Common Equity
Stock options
Contributed capital (ending)
Operating Income
2. Net Income-Preferred dividends/Average number of common shares outstanding - Amount of net income earned by each individual share of stock held by investors
Current liabilites
Earnings per share
Revenue Recognition Principle
Gross Profit Margin
3. A legal value assigned to each share of stock
Creditor
Par value
Horizontal common size statement
Example of Current Asset
4. Annual common stock dividends paid/average number of common shares outstanding - amount of dividends paid annually for each share of stock held by investors
Noncurrent assets
Current ratio
Dividend rate
Statement of Stockholders equity
5. Monies to be recieved by the company from customers
Accounts recievable
PCAOB
Recievables
Noncurrent assets
6. Subtracting operating expenses from gross profit (Income from Operations)
Dividend rate
Operating Income
PCAOB
Accounts Payable
7. Relate to how a company finances its assets with debt or stockholders' equity
FASB
Financing activities
Return on Equity
Solvency ratios
8. When a company sells stock to the public for the first time as a publicly traded corporation
Cost of Goods Sold
Preferred stock
Publicly traded
Initial Public Offering (IPO)
9. Total liabilities/ Total assets reveals the proportion of assets financed with debt and solvency
SEC
Gross Profit Margin
Stockholders' Equity
Debt Ratio
10. Assets=
Warning
: Invalid argument supplied for foreach() in
/var/www/html/basicversity.com/show_quiz.php
on line
183
11. Indicate that returns or discounts were subtracted from total sales
Gains and Losses
Initial Public Offering (IPO)
Net Sales
Inventories
12. Due after 12 months
Asset Turnover
Goodwill
Statement of cash flows
Noncurrent liabilities
13. Standardizes each item as based on a base year and reports data for subsequent years as a multiple of the standard
Income Statement
Horizontal common size statement
Dividend rate
Accumulated Depreciation
14. Reports the company's profitability during an accounting period
Common size income statement
Income Statement
Return on Sales
Return on Common Equity
15. Amounts to be recieved in the future from customers
Dividend rate
PCAOB
Treasury stock
Accounts recievable
16. legislative authority to set the reporting rules for accounting info of publicly held corporations
Asset
Operating Income
SEC
Return on Sales
17. Compares all amounts within on year to total assets of that same year
Contributed capital (ending)
CPAS
Common-size balance sheet
Solvency
18. Accountants deem unusual and infrequent - may appear in the bottom section of the income statement
Market value per share
Television costs
Gross Profit
Nonrecurring items
19. Cost of bringing in revenues
Expenses
Investing activities
Revenue Recognition Principle
Preferred stock
20. Amounts paid by stockholders to purchase common stock and preferred stock
Contributed Capital
Par value
Financial Leverage
Cash and Cash equivalents
21. Stock market trading price of the company's common stock
Common-size balance sheet
Market value per share
Publicly traded
FASB
22. Cost of television programs that will be aired during the next year
Cash and Cash equivalents
Television costs
Accumulated Depreciation
Solvency ratios
23. Net Income/ Stockholders Equity - measures how effectively stockholders' equity is used to produce net income
Goodwill
Accrual Accounting
Depreciation Expense
Return on Equity
24. Patents - trademarks - and copyrights that have value but not any physical presence
PCAOB
Operating Expenses
Depreciation Expense
Intangible assets
25. Equals the difference between revenues and cost of sales
Common-size balance sheet
Gross Profit
Accumulated other comprehensive income
Noncurrent liabilities
26. Actual currency - bank accounts - and investments that can be liquidated immediately
Cash and Cash equivalents
Audits
Return on Asset
Recievables
27. Proportional increases in the number of shares outstanding
Creditor
Stockholders' Equity
Example of Current Asset
Stock splits
28. Expresses each balance sheet item as a percentage of total assets
Intangible assets
Vertical common size balance sheet
Current liabilites
Discontinued Operations
29. Assets- Liabilitie+ Equity OR Assets Liabilities- assets
Expenses
Cost of Goods Sold
Retained earnings(ending)
Accounting Equation
30. Recorded in stockholders equity 1. unrealized gains/losses on certain securities 2. Foreign currency translation adjustments 3. Certain gains/losses on pension plans
liabilities + stockholders' equity
Solvency
Creditor
Accumulated other comprehensive income
31. Amounts that the corporation must pay to suppliers in the future
Goodwill
Operating activities
Accounts Payable
Operating Expenses
32. A company's ability to pay liabilities as they come due in the next year
Debtor
Balance Sheet
Stock dividends
Liquidity
33. Net Income/Sales Revenue measures the profitability of each dollar of revenue
Return on Sales
Intangible assets
Publicly traded
Financing activities
34. Amounts recieved from customers for products sold or services provided
Contributed capital (ending)
Revenues
Debtor
Stock options
35. Total amount of depreciation expensed since the assets' date of purchase
Vertical common size income statement
Accumulated Depreciation
Retained earnings(ending)
Return on Asset
36. Total assets/Stockholders equity - Explains the difference between return on assets and return on equity. A high debt ratio and the high financial risk can boost profits
Sales
Earnings per share
Contributed Capital
Financial Leverage
37. A company's ability to pay liabilities for many years into the future
Gains and Losses
Intangible assets
Solvency
Return on Equity
38. Market price per share/EPS - to measure how expensive a company's stock is compared to EPS
Operating Expenses
Price earnings ratio
Liquidity
Debt Ratio
39. Smaller proportional increases in the number of shares outstanding
Expenses
Cost of Goods Sold(COGS)
Stock dividends
Retained Earnings
40. Cash - Accounts Recievable - Inventory
Sales
Publicly traded
Expenses
Example of Current Asset
41. Are liabilities due within 12 months
Current liabilites
Stockholders' Equity
Vertical common size balance sheet
Expenses
42. Reports cash inflows + cash outflows during an accounting period
Statement of cash flows
Times Interest Earned Ration
Income Statement
Operating Income
43. Portion of assets the owners are free and clear of any liabilities
Warning
: Invalid argument supplied for foreach() in
/var/www/html/basicversity.com/show_quiz.php
on line
183
44. Merchandise held for sale to customers
Asset Turnover
Inventories
PCAOB
Return on Asset
45. Measures how efficiently you can generate desired outputs from given inputs
Productivity
Preferred stock
Financial Leverage
Times Interest Earned Ration
46. Entities owning shares of stock are the owners of the corporation
Return on Common Equity
Stockholders
Vertical common size balance sheet
Depreciation Expense
47. Largest expense item which reports the wholesale costs of inventory sold during the accounting period
Market value per share
Revenues
Cost of Goods Sold
Productivity
48. Carries a dividend rate which must be paid to preferred stockholders before any dividends can be paid to common stockholders
Preferred stock
Liquidity ratios
Creditor
Shares Outstanding
49. Licensed by the state/conduct audits
Accrual Accounting
Stock dividends
Market value per share
CPAS
50. Records transactions when cash is recieved or paid
Financial Leverage
Times Interest Earned Ration
Cash- Basis Accounting
Stock dividends