SAINT MBA560 Mod 2 Test
1. Query : Baxter Company’s merchandise stock firstly of 2010 was $85,000. The corporate bought stock throughout 2010 within the quantity of $323,000, and its stock on the finish of the 12 months was $102,000.What was Baxter’s Price of Items Offered for 2010? Pupil Reply: $391,000 $306,000 $408,000 $289,000 Factors Obtained: 2 of two Feedback: Query 2. Query : The Pink Valley Firm maintains perpetual stock data. Though its stock data indicated $18,000 within the stock, a bodily depend confirmed solely $16,250. Which of the next solutions signifies the impact of the required write-down?Row Belongings = Liab. + Fairness Rev - Exp. = Web Inc. CashOne (1,750) = NA + (1,750) NA - 1750 = (1,750) NATwo NA = 1750 + (1,750) NA - 1750 = (1,750) NAThree 16,250 = NA + 16,250 16,250 - NA = 16,250 16,250 IAFour (18,000) = NA + (18,000) (18,000) - NA = (18,000) NA Pupil Reply: Row One Row Two Row Three Row 4 Factors Obtained: 2 of two Feedback: Query three. Query : Product prices are additionally known as: Pupil Reply: interval prices. promoting and administrative bills. working bills. stock prices. Factors Obtained: 2 of two Feedback: Query four. Query : Primarily based on frequent dimension revenue statements, which of the firms A, B, C, or D spent, relative to gross sales, essentially the most on working bills?Firm A B C DSales $40,000 $60,000 $50,000 $90,000COGS 24,000 36,000 30,000 67,500Gross Margin 16,000 24,000 20,000 22,500Working Bills four,800 5,400 5,000 6,300Web Earnings 11,200 18,600 15,000 16,200 Pupil Reply: Firm A Firm B Firm C Firm D Factors Obtained: 2 of two Feedback: Query 5. Query : Gruver Firm maintains perpetual stock data. The firm's stock account had a $5,500 steadiness as of December 31, 2010. On that date, a bodily depend of stock confirmed solely $5,300 of merchandise in inventory. The write-down to acknowledge the lacking stock will: Pupil Reply: lower property. improve expense. lower fairness. the entire above. Factors Obtained: 2 of two Feedback: Query 6. Query : Merchandising companies: Pupil Reply: manufacture the products they promote. generate income primarily by offering providers to prospects. purchase the merchandise they promote from suppliers. embody dry cleansing firms and legislation corporations. Factors Obtained: 2 of two Feedback: Query 7. Query : A purchase order of merchandise for money is a(n): Pupil Reply: asset supply transaction. asset alternate transaction. asset use transaction. claims alternate transaction. Factors Obtained: 2 of two Feedback: Query eight. Query : Through the month of March, Wang Firm bought merchandise stock for money within the quantity of $6,200. Which of the following represents the consequences of this transaction on Wang’s monetary statements? Pupil Reply: Row One Row Two Row Three Row 4 Factors Obtained: Feedback: Query 9. Query : Lynx Firm bought $four,000 of merchandise on account and bought the merchandise to a buyer for $7,000 money. What's Lynx’s gross margin and the online change in money circulation from working actions because of these transactions? Money Stream FromRow Gross Margin Working ActivitiesOne $7,000 $four,000 inflowTwo $three,000 $7,000 inflowThree $three,000 $7,000 outflowFour $four,000 $four,000 outflow Pupil Reply: Row One Row Two Row Three Row 4 Factors Obtained: 2 of two Feedback: Query 10. Query : Which of the next statements regarding inner controls is true? Pupil Reply: Inside administrative controls are designed to restrict the quantity of funds spent on investments. The management process, separation of duties, prohibits the employment of a husband and spouse or different carefully associated events inside the identical firm. Inside accounting controls are restricted to the insurance policies and procedures used to guard the corporate from embezzlement. A powerful inner management system supplies affordable assurance that the targets of an organization shall be completed. Factors Obtained: Feedback: Query 11. Query : To have a robust inner management system, a enterprise should have good administrative controls. Administrative controls embody: Pupil Reply: the reconciliation of the financial institution assertion. the accuracy of the recording procedures. assessing compliance with firm insurance policies. upkeep of correct stock data. Factors Obtained: 2 of two Feedback: Query 12. Query : Which of the next just isn't a process for the management of money receipts? Pupil Reply: Quick preparation of data of all money receipts Giving prospects written receipts for all monies paid Utilizing prenumbered checks when paying firm payments Depositing money within the financial institution often Factors Obtained: Feedback: Query 13. Query : In an organization's financial institution reconciliation, an impressive test is a test that: Pupil Reply: is assured for fee by the financial institution. has been issued by the corporate however has not been offered to the financial institution forpayment. has been offered to the financial institution for fee however has not been reported on the financial institution assertion. has been written for an quantity that's higher than the steadiness within the account holder's checking account. Factors Obtained: 2 of two Feedback: Query 14. Query : Which of the next just isn't a purpose why a enterprise wants sturdy inner controls over money? Pupil Reply: A small quantity of high-denomination foreign money represents a major quantity of worth. Possession of money is tough to show. Money has common enchantment. Cash is the frequent unit of measurement in enterprise. Factors Obtained: Feedback: Query 15. Query : Which of the next is an inner management process used to safeguard an organization's property? Pupil Reply: Well timed deposits of money receipts right into a checking account Separation of duties Reconciliation of the financial institution assertion All the above Factors Obtained: 2 of two Feedback: Query 16. Query : A financial institution deposit made on June 30 didn't seem on the June financial institution assertion. In doing the June financial institution reconciliation, this residue in transit ought to be: Pupil Reply: subtracted from the unadjusted ebook steadiness. added to the unadjusted financial institution steadiness. subtracted from the unadjusted financial institution steadiness. added to the unadjusted ebook steadiness. Factors Obtained: 2 of two Feedback: Query 17. Query : A merchandising agency's accounting system should allocate the Price of Items Accessible for Sale between: Pupil Reply: the Merchandise Stock steadiness firstly of the interval and the steadiness on the finish of the interval. Price of Items Offered and the ending steadiness in Merchandise Stock. the start steadiness in Merchandise Stock and Price of Items Offered. Purchases of stock and the ending steadiness in Merchandise Stock. Factors Obtained: Feedback: Query 18. Query : An efficient system of inner management is designed to detect the next apart from: Pupil Reply: collusion. fraud. theft. irregularities. Factors Obtained: 2 of two Feedback: Query 19. Query : The next are sturdy inner management measures over money disbursements apart from: Pupil Reply: all checks ought to be prenumbered. unused checks ought to be locked up. the individual approving the fee must also signal the test. the fee should be recorded on the books by somebody aside from the test signer. Factors Obtained: 2 of two Feedback: Query 20. Query : Test no. 147 for $200 was excellent as of September 30. In performing the September financial institution reconciliation, this excellent test ought to be: Pupil Reply: subtracted from the unadjusted ebook steadiness. subtracted from the unadjusted financial institution steadiness. added to the unadjusted financial institution steadiness. added to the unadjusted ebook steadiness.