zilongwang/ReadingBank huggingface dataset:
(e) 4,000 Law Library Common Stock Salaries Expense (a) 6,000 (a) 21,000 (h) 2,500 Law Firm, Inc. Trial Balance November 30 Account Credit Cash ………………………………………….....…$ 11,000 Accounts Receivable ………………………….....….1,500 Law Library ………………………….....……………6,000 Office Equipment ………………………….....……...7,500 Accounts Payable ………………………….....……... 4,000 Common Stock ………....... 21,000 Dividends …………… 2,000 Legal Fees Earned ………………………….....…….. 5,500 Salaries Expense ………………………….....…..…..2,500 Totals ………………………….....……... $ 30,500 $ 30,500 Apply AACSB: Analytic AICPA BB: Industry AICPA FN: Measurement Difficulty: 3 Hard Learning Objective: 02-A1 Learning Objective: 02-P1 Learning Objective: 02-P2 Topic: Analyzing Transactions Journalizing and Posting Transactions Topic: Preparing a Balance 193. Butcher Shop, Inc. had the following assets and liabilities at the beginning and end of the current year: Assets Liabilities Beginning of the year $114,000 $68,000 End of the year 135,000 73,000 Trial
June 17 Cash 10,000 Event Revenue 10,000 June 18 Catering expense 2,500 Cash 2,500 June 18 Event expense 1,000 Cash 1,000 June 19 expense 2,000 Cash 2,000 June 24 Accounts Payable 4,000 Cash 4,000 June 25 Cash 5,000 Room Rental Revenue 5,000 June 30 Salaries expense 2,000 Cash 2,000 June 30 Dividends 4,000 Cash 4,000 Blooms: Apply AACSB: Analytic AICPA BB: Industry AICPA FN: Measurement Difficulty: 3 Hard Learning Objective: 02-P1 Journalizing and Posting Transactions 213. For each of the following (1) identify the type of account as an asset, liability, equity, revenue, or expense, and (2) identify the normal balance of the account. Account Title Account Type Normal Balance or Credit) a. Prepaid Insurance b. Accounts Payable c. Common d. Utilities expense e. Land f. Services revenue g. Notes Receivable h. Advertising expense i. Unearned Revenue j. Service Revenue
Assets Capital Other Comprehensive Income Earnings + 25,000 + 25,000 - 19,000 - 19,000 2. Staples purchased $8,500 of raw material inventory on account. Cash + Non-Cash Assets = Liabilities + Contributed Capital + Accumulated Other Comprehensive Income + Retained Earnings + 8,500 + 8,500 3. The company paid $2,500 for property insurance for the next 12 months. Cash + Non-Cash Assets = Liabilities + Contributed Capital + Accumulated Other Comprehensive Income + Retained Earnings - 2,500 + 2,500 4. Staples paid its employees $5,000 for the month. Cash + Non-Cash Assets = Liabilities + Contributed Capital + Accumulated Other Comprehensive Income + Retained Earnings - 5,000 - 5,000 5. The company purchased $1,000 of supplies on account. Cash + Non-Cash Assets = Liabilities + Contributed Capital + Accumulated Other Comprehensive Income + Retained Earnings + 1,000 + 1,000 6. Staples issued $25,000 of long-term debt. Cash + Non-Cash Assets = Liabilities + Contributed Capital + Accumulated Other Comprehensive Income + Retained Earnings + 25,000 + 25,000 7. The company used $10,000 of excess cash to purchase marketable securities. Cash + Non-Cash Assets = Liabilities + Contributed Capital + Accumulated Comprehensive Income + Retained Earnings - 10,000 + 10,000 8. Staples purchased a machine for $16,000 using $8,000 cash with the balance on account. Cash + Non-Cash Assets = Liabilities + Contributed Capital + Accumulated Other Comprehensive Income + Retained Earnings - 8,000 + 16,000 + 8,000 9. Staples paid $2,500 for interest expense on the long-term debt. Cash + Non-Cash Assets = Liabilities + Contributed Capital + Accumulated + Retained Earnings
AACSB: Reflective Thinking AICPA: FN Measurement Blooms: Remember Difficulty: 2 Medium Learning Objective: 02-06 The distinction between special and unusual items; discontinued operations; and extraordinary items. 36. Gains or losses from the sale of property, plant or equipment would be reported on the income statement as a special item in continuing operations. TRUE AACSB: Reflective Thinking AICPA: FN Measurement Blooms: Remember Difficulty: 2 Medium Learning Objective: 02-06 The distinction between special and unusual items; discontinued operations; and extraordinary items. 37. By definition, discontinued operations will not generate future cash thus transactions related to operations the firm intends to discontinue, or has already discontinued, must be reported separately from other income items on the income statement. TRUE AACSB: Reflective Thinking AICPA: FN Measurement Blooms: Understand Difficulty: 1 Easy Learning Objective: 02-06 The distinction between special and unusual items; discontinued operations; and extraordinary items. 38. If a component of an entity is classified as "held for sale," its results of operations are to be reported as discontinued operations. TRUE AACSB: Reflective Thinking AICPA: FN Measurement Blooms: Remember Difficulty: 2 Medium Learning Objective: 02-06 The distinction between special and unusual items; discontinued operations; and extraordinary items. 39. A component of an entity may be a reportable segment or operating segment, a reporting unit, a subsidiary, or an asset group. An asset group represents the highest level for which identifiable cash flows are largely independent of the cash flows of other components of the entity. FALSE As asset group represents the lowest level for which identifiable cash flows are largely independent. Reflective Thinking AICPA: FN Measurement Blooms: Understand Difficulty: 2 Medium Learning Objective: 02-06 The distinction between special and unusual items; discontinued operations; and extraordinary items.
AACSB: Analytic Blooms: Apply Difficulty: Challenge Learning Objective: 02-04 The statement of cash flows indicates the change in the cash position of the firm. Learning Objective: 02-05 Depreciation provides a tax reduction benefit that increases cash flow. 117. Hoover Inc. has current assets of $350,000 and fixed assets of $650,000. Current liabilities are $100,000 and long-term liabilities are $250,000. There is $120,000 in preferred stock outstanding and the firm has issued 10,000 shares of common stock. Compute book value (net worth) per share AACSB: Analytic Blooms: Apply Difficulty: Challenge Learning Objective: 02-03 The balance sheet shows assets and the financing of those assets with debt and equity. 118. The best indication of the operational efficiency of management is AACSB: Analytic Blooms: Understand Difficulty: Challenge Learning Objective: 02-01 The income statement measures profitability. 119. Which of the following would indicate an accurate statement of cash flows?
A company acquires equipment for $75,000 cash. This represents a(n): Financing activity. Revenue activity. Expense activity. Operating activity. Investing activity. Answer: E Explanation: A) B) C) D) E) Diff: 2 Topic: Financial Statements Learning Objective: 01-P2 Identify and prepare basic financial statements and explain how they interrelate. Bloom's: Understand AACSB: Analytical Thinking AICPA: BB Industry; FN Reporting A company borrows $125,000 from the Northern Bank and receives the loan proceeds in cash. This represents a(n): Operating activity. Financing activity. Investing activity. Revenue activity. Expense activity. Answer: B Explanation: A) B) C) D) E) Diff: 2 Topic: Financial Statements Learning Objective: 01-P2 Identify and prepare basic financial statements and explain how they interrelate. Bloom's: Understand AACSB: Analytical Thinking AICPA: BB Industry; FN Reporting Zippy had cash inflows from operations $60,500; cash outflows from investing activities of $47,000; and cash inflows from financing of $25,000. The net change in cash was: $132,000 increase. $132,500 decrease. $38,500 decrease. $11,500 decrease.
AACSB: Reflective Thinking AICPA: BB Critical Thinking AICPA: FN Measurement Blooms: Understand Level of Difficulty: 2 Medium Feedback: Closing entries are made after the income statement is prepared. Note that retained earnings is only affected by revenues, expenses, and dividends as the result of the closing process. 15. Describe the difference between temporary and permanent accounts, and state which ones are closed. Answer: Temporary accounts (revenues, expenses and dividends) collect information about a single period only; they are closed at the end of that period. Permanent accounts include the balance sheet accounts (assets, liabilities, common stock and retained earnings), and their balances roll forward each year rather than being closed out. Learning Objective 02-04 Topic Area: The Closing Process Reflective Thinking AICPA: BB Critical Thinking AICPA: FN Measurement Blooms: Understand Level of Difficulty: 2 Medium Feedback: Revenue and expense accounts appear on the income statement. Dividends is also a temporary account, but is not reported on the income statement. It is reported only on the statement of changes in equity. All permanent accounts appear on the balance sheet. 16. Define the accounting cycle and list the stages of the cycle. Answer: The accounting cycle is a series of steps or procedures that occur repeatedly throughout the life of a business. The stages described to this point in the course include (1) recording transactions, (2) adjusting the accounts, (3) preparing financial statements, and (4) closing the temporary accounts. Learning Objective 02-04 Topic Area: The accounting cycle AACSB: Reflective Thinking AICPA: BB Critical Thinking AICPA: FN Measurement Blooms: Understand Level of Difficulty: 2 Medium Feedback: The accounting cycle repeats every accounting period. This is usually annually.
36. The following income statement is provided for Ramirez Company in 2013: What amount was the company's contribution margin? AACSB: Analytic AICPA FN: Measurement Blooms: Analyze Difficulty: 3 Hard Learning Objective: 02-03 Prepare an income statement using the contribution margin approach. 37. In order to prepare a contribution format income statement: Analytic AICPA BB: Critical Thinking Blooms: Understand Difficulty: 2 Medium Learning Objective: 02-03 Prepare an income statement using the contribution margin approach. 38. Select from the following the incorrect statement regarding contribution margin.
AACSB: Analytic AICPA BB: Critical Thinking Blooms: Understand Difficulty: 2 Medium Learning Objective: 02-01 Identify and describe fixed; variable; and mixed cost behavior. 104. A cost that is considered variable for one activity base may be considered for a different activity base. TRUE AACSB: Analytic AICPA BB: Critical Thinking Blooms: Understand Difficulty: 2 Medium Learning Objective: 02-04 Calculate the magnitude of operating leverage. 105. One reason for computing the average cost for a product rather than the actual cost is that average cost is easier to compute. TRUE AACSB: Analytic AICPA BB: Critical Thinking Blooms: Understand Difficulty: 1 Easy Learning Objective: 02-05 Select an appropriate time period for calculating the average cost per unit. 106. One way that computing an average cost per unit facilitates management decision making is that managers are provided more timely and more relevant cost information. TRUE AACSB: Analytic AICPA BB: Critical Thinking Blooms: Understand Difficulty: 1 Easy Learning Objective: 02-05 Select an appropriate time period for calculating the average cost per unit. 107. Potential problems associated with cost averaging can be reduced by averaging the cost over a shorter span of time. FALSE AACSB: Analytic AICPA BB: Critical Thinking Blooms: Understand Difficulty: 2 Medium Learning Objective: 02-05 Select an appropriate time period for calculating the average cost per unit. 108. A cost that is part selling cost and part manufacturing cost is referred to as a mixed cost. FALSE
one of the following is included in a firm's market value but yet is excluded from the firm's accounting value? of the following are included in current liabilities? I. note payable to a supplier in eight months II. amount due from a customer next month III. account payable to a supplier that is due next week IV. loan payable to the bank in fourteen months one of the following will increase the value of a firm's net working capital?
2. Net working capital is defined as: Refer to section 2.1 AACSB: Analytic Blooms: Remember Difficulty: 1 Easy Learning Objective: 02-01 The difference between accounting value (or "book" value) and market value. Section: 2.1 Topic: Net working capital 3. The common set of standards and procedures by which audited financial statements are prepared is known as the: Refer to section 2.1 Analytic Blooms: Remember Difficulty: 1 Easy Learning Objective: 02-01 The difference between accounting value (or "book" value) and market value. Section: 2.1 Topic: GAAP 4. Which one of the following is the financial statement that summarizes a firm's revenue and expenses over a period of time?
86. The Widget Co. purchased new machinery three years ago for $4 million. The machinery can be sold to the Roman Co. today for $2 million. The Widget Co.'s current balance sheet shows net fixed assets of $2,500,000, current liabilities of $1,375,000, and net working capital of $725,000. If all the current assets were liquidated today, the company would receive $1.9 million in cash. The book value of the Widget Co.'s assets today is _____ and the market value of those assets is _____. Book value = ($725,000 + $1,375,000) + $2,500,000 = $4,600,000 Market value = $1,900,000 + $2,000,000 = $3,900,000 Analytic Blooms: Apply Difficulty: 1 Easy EOC: 2-5 Learning Objective: 02-01 The difference between accounting value (or "book" value) and market value. Section: 2.1 Topic: Market and book value 87. Enterprises had $200,000 in 2011 taxable income. What is the firm's average tax rate based on the rates shown in the following table? Tax = .15($50,000) + .25($25,000) + .34($25,000) + .39($200,000 - $100,000) = $61,250 Average tax rate = $61,250/$200,000 = 30.63 percent Analytic Blooms: Apply Difficulty: 1 Easy EOC: 2-7 Learning Objective: 02-03 The difference between average and marginal tax rates. Section: 2.3 Topic: Average tax rate
70. The following information pertains to Galaxy Interiors: Analytic Blooms: Apply Difficulty: Basic Learning Objective: 02-04 How to determine a firms cash flow from its financial statements. Section: 2.4 Cash Flow Topic: Cash flow to stockholders 71. The following information pertains to Galaxy Interiors: AACSB: Analytic Blooms: Analyze Difficulty: Intermediate Learning Objective: 02-02 The difference between accounting income and cash flow. Section: 2.4 Cash Flow Topic: Financial statements
Refer to section 2.4 AACSB: Analytic Blooms: Understand Difficulty: 1 Easy Learning Objective: 02-04 How to determine a firm's cash flow from its financial statements. Section: 2.4 Topic: Net capital spending 44. Which one of the following statements related to the cash flow to creditors is correct?
Answer: A Diff: 1 Type: MC AACSB Objective: Application of Knowledge 23) Which of the following is NOT an advantage of a sole trader? A) limited liability B) single taxation C) no separation of ownership and control D) ease of setup Answer: A Diff: 2 Type: MC AACSB Objective: Application of Knowledge 24) In a limited partnership, limited partners may A) make managerial decisions for the firm. B) have private property seized to pay off the firm's outstanding debts. C) trigger a dissolution of the firm if they withdraw their participation. D) none of the above Answer: D Diff: 1 Type: MC AACSB Objective: Application of Knowledge 25) A 'public' company A) is never a 'reporting entity.' B) is essentially the same as a 'private' company. C) must appoint an auditor. D) must have its shares traded on a stock exchange. Answer: C Diff: 1 Type: MC AACSB Objective: Application of Knowledge SHORT ANSWER. Write the word or phrase that best completes each statement or answers the question. 26) What are the main differences between a partnership and sole trader? Answer: While a sole trader has the same identity as its single owner, a partnership of general partners has the same identity as its partners. Each general partner is responsible for the decisions taken by that partner as well as any other general partner. Diff: 1 Type: SA AACSB Objective: Application of Knowledge 27) How is a corporation different from most of the other forms of business organisations? Answer: A corporation has a separate legal identity from those of its owners. This separation gives the owners limited liability for the actions of the corporation. In Australia, the 'imputation system' of taxation may relieve double taxation, which is the main disadvantage of a corporation under a 'classical' tax system. Diff: 2 Type: SA AACSB Objective: Application of Knowledge TRUE/FALSE. Write 'T' if the statement is true and 'F' if the statement is false. 1.3 The Financial Manager 28) The principal goal of the financial manager is to maximise the wealth of the shareholders. Answer: True Diff: 1 Type: TF
69. A financial analyst in a corporation may be involved with all of the following EXCEPT: 70. Investment banks like Morgan Stanley or Goldman Sachs: 71. The primary goal of corporate management should be to: 72. A corporate board of directors should provide support for the top management team: 73. Which of the following appears to be the most appropriate goal for corporate management?
66. Charleston Corporation (CC) now operates as a "regular" corporation, but it is considering a switch to S Corporation status. CC is owned by 100 stockholders who each hold 1% of the stock, and each faces a personal tax rate of 35%. The firm earns $2,800,000 per year before taxes, and since it has no need for retained earnings, it pays out all of its earnings as dividends. Assume that the corporate tax rate is 34% and the personal tax rate is 35%. How much more (or less) spendable income would each stockholder have if the firm elected S Corporation status?
62. Which of the following is responsible for the shift in the job trend, from the use of narrowly defined jobs to the use of broadly defined jobs in organizations? 63. Identify the process through an organization seeks applicants for potential employment. 64. The process by which an organization attempts to identify applicants with the necessary knowledge, skills, abilities, and other characteristics that will help the organization achieve its goals is referred to as _____. 65. Which of the following describes a planned effort to enable employees to learn job-related knowledge, skills, and behavior? 66. The HR function of _____ involves acquiring knowledge, skills, and behavior that improve employees' ability to meet the challenges of a variety of new or existing jobs, including the client and customer demands of those jobs.
Job design is the process of defining the way work will be performed and the tasks that a given job requires. Analytical Thinking Accessibility: Keyboard Navigation Blooms: Remember Learning Objective: 01-02 Identify the responsibilities of human resource departments. Level of Difficulty: 1 Easy Topic: Responsibilities of Human Resource Departments 61. At Tech Inc., a company that deals in software products, employees often complain about the lack of clarity regarding the tasks they are required to perform. Often there are two employees working on overlapping tasks, while some tasks are not designated to any employee. Though employees are satisfied with the pay and work culture, this aspect of their work environment has led to a lot of conflict in the workplace. From the information provided, this complaint of the employees can be closely linked to which of the following HR functions?
38) Strong organizational culture can eliminate the need for rules and bylaws. Answer: TRUE Explanation: A strong culture can serve as guidelines for employees, eliminating the need for official rules and regulations. Diff: 3 Page Ref: 41 AACSB: Ethical understanding and reasoning abilities Objective: 2.4 Learning Outcome: Explain the influences of organizational culture 39) Having a strong culture can allow an organization to avoid any worry about ethics violations. Answer: FALSE Explanation: Though a strong culture can be helpful in ethical matters, it is still no guarantee that employees will refrain from unethical behavior. Diff: 2 Page Ref: 41 AACSB: Ethical understanding and reasoning abilities Objective: 2.4 Learning Outcome: Explain the influences of organizational culture 40) Strong cultures make a manager's job easy because all organizational policies, practices, and traditions are provided in writing for easy reference. Answer: FALSE Explanation: In most cases, organizational policies, practices, and traditions are unwritten and, in many cases, unspoken. Diff: 2 Page Ref: 41 AACSB: Multicultural and diversity understanding Objective: 2.4 Learning Outcome: Explain the influences of organizational culture 41) In a ready-fire-aim culture, managers will endlessly analyze a situation before taking action. Answer: FALSE Explanation: Managers who too much time analyzing are members of a ready-aim-fire culture, not a ready-fire-aim culture. Diff: 1 Page Ref: 42 Objective: 2.4 Learning Outcome: Explain the influences of organizational culture 42) Organizational culture largely determines how much risk members of an organization will take. Answer: TRUE Explanation: The amount of risk that employees are willing to take is largely communicated through organizational culture. Diff: 2 Page Ref: 42 Objective: 2.4 Learning Outcome: Explain the influences of organizational culture 43) According to Zappos' management, this is the secret to Zappos' success. A) strong organizational culture
95. _____ is the set of values, beliefs, behaviors, customs, and attitudes that helps the organization’s members understand what it stands for, how it does things, and what it considers important. 96. Define the internal environment of an organization, and describe its four major elements.
A) 3 m/s B) -3 m/s C) 12 m/s D) -12 m/s E) Need additional information. Ans: B Difficulty: Easy Section 2-1 Learning objective 2.1.6 15. The coordinate of a particle in meters is by x(t) = 16t – 3.0t3, where the time t is in seconds. The particle is momentarily at rest at t = A) 0.75 s B) 1.3 s C) 1.8 s D) 5.3 s E) 7.3 s Ans: B Difficulty: Medium Section: 2-2 Learning Objective 2.2.1 16. Each of four particles moves along an x axis. Their coordinates (in meters) as functions of time (in seconds) are given by particle 1: x(t) = 3.5 – 2.7t3 particle 2: x(t) = 3.5 + 2.7t3 particle 3: x(t) = 3.5 + 2.7t2 particle 4: x(t) = 3.5 – 3.4t – 2.7t2 For which of these particles is the velocity increasing for t> 0? A) All four B) Only 1 C) Only 2 and 3 D) Only 2, 3, and 4 E) None of them Ans: C Difficulty: Medium Section: 2-2 Learning Objective 2.2.1
62. of the following is correct with respect to Private Letter Rulings? 63. Which of the following courts has the highest tax validity? 64. Under the provisions of Circular 230, paid tax preparers must: 65. Paid tax preparers must comply with all of the following EXCEPT:
Accessibility: Keyboard Navigation Difficulty: 1 Easy Learning Objective: 01-05 Understand the types of tax authority and how they interrelate (Appendix A). RTRP: Yes Topic: Tax Authority 60. Which of the following types of Regulations is the strongest tax authority? Accessibility: Keyboard Navigation Difficulty: 1 Easy Learning Objective: 01-05 Understand the types of tax authority and how they interrelate (Appendix A). RTRP: Yes Topic: Tax Authority 61. of the following refers to an income tax regulation? Accessibility: Keyboard Navigation Difficulty: 1 Easy Learning Objective: 01-05 Understand the of tax authority and how they interrelate (Appendix A). RTRP: Yes Topic: Tax Authority 62. Which of the following is correct with respect to Private Letter Rulings? Accessibility: Keyboard Navigation Difficulty: 1 Easy Learning Objective: 01-05 Understand the of tax authority and how they interrelate (Appendix A). RTRP: Yes Topic: Tax Authority
Analytic Blooms: Remember Difficulty: 1 Easy Learning Objective: 02-03 Understand how the legal systems of countries differ. Topic: Legal Systems 107. In the 1970s, the United States passed the _____ following revelations that U.S. companies had bribed government officials in foreign countries in an attempt to win lucrative contracts. In the 1970s, the United States passed the Foreign Corrupt Practices Act following revelations that U.S. companies had bribed government officials in foreign countries in an attempt to win lucrative contracts. AACSB: Analytic Blooms: Remember Difficulty: 1 Easy Learning Objective: 02-03 Understand how the legal systems of countries differ. Topic: Legal Systems 108. In the United States, the Foreign Corrupt Practices Act was passed during the 1970s following revelations that:
African Americans in Virginia lawyers a network of “friends” on Facebook Answer: B (The Nature of Groups) The idea of entitativity suggests a people will be referred to as a “group” if the aggregate is structured in some way. is passive rather than dynamic. has very few members. has only one goal. is perceived to be a single, unified whole. Answer: E (p. 10) Which of the following best summarizes the basic idea behind the Thomas Theorem? A group that is thought to be real will have real effects on its members. Seeing a process increases the likelihood of believing in the process. For every individual action there is an equal, and correlative, group-level action. All groups are created equal in the mind’s eye. Principles aren’t principles until they are tested in the context of group interaction. Answer: A (p. 11) Individuals raised in Western cultures, compared to those from Eastern cultures, tend to Draw more fine-grained distinctions between different types of groups. Stress group-level processes more than individual level processes. Attribute individual’s actions to personal qualities rather than group-level processes. Stress collective, group-level identity more so than individualize sources of identity. Answer: C (The Nature of Groups Dynamics) The study of group behavior is called group dynamics because the term underscores the importance of psychological processes. the impact of the leader is a major topic of study. the term notes the interdependency of people in evolving groups. groups, once formed, rarely change. Answer: C (The Nature of Group Dynamics) The ___ for group dynamics includes certain beliefs, often held only implicitly, that define researchers’ assumptions about group phenomena and the methods they should use to study these phenomena. paradigm hypothesis interaction level of analysis Answer: A (The Nature of Dynamics) Who wrote the book Psychology of Crowds (published in 1895)? Charles Horton Cooley Émile Durkheim Norman Triplett Floyd A. Allport Gustave Le Bon Answer: E (The Nature of Group Dynamics)
Functional: Measurement 17) Stewart Candle Company received cash of $40,000 by issuing 4,000 common shares at $10 each. Which of the following accounts will be debited? A) Accounts Receivable B) Cash C) Common Stock D) Accounts Payable Answer: B Diff: 2 LO: 2-3 Application AICPA Functional: Measurement 18) Whitney Chemicals Company received cash of $40,000 by issuing 4,000 common shares at $10 each. Which of the following accounts will be credited? A) Accounts Receivable B) Cash C) Common Stock D) Accounts Payable Answer: C Diff: 2 LO: 2-3 AACSB: Application AICPA Functional: Measurement 19) A business purchases equipment for $8,000 cash. Which of the following accounts will be debited? A) Cash B) Accounts Payable C) Common Stock D) Equipment Answer: D Diff: 2 LO: 2-3 AACSB: Application AICPA Functional: Measurement 20) A business purchases equipment for $8,000 cash. Which of the following accounts will be credited? A) Cash B) Accounts Payable C) Common Stock D) Equipment Answer: A Diff: 2 LO: 2-3 AACSB: Application AICPA Functional: Measurement 21) A business a cash payment of $12,000 to a supplier, for supplies purchased two weeks earlier.
Diff: 2 LO: 2-3 Application AICPA Functional: Measurement 52) The following transactions for the month of March have been journalized and posted to the proper accounts. Mar. 1 The business received $9,000 cash and issued common stock to stockholders. Mar. 2 Paid the first month's rent of $800. Mar. 3 Purchased equipment by paying $3,000 cash and executing a note payable for $5,000. Mar. 4 Purchased Office Supplies for $750 cash. Mar. 5 Billed a client for $10,000 of design services completed. Mar. 6 Received $8,000 on account for the services previously recorded. What is the balance in Accounts Receivable? A) $8,000 B) $2,000 C) $5,000 D) $10,000 Answer: B Explanation: B) Diff: 3 LO: 2-3 AACSB: Application AICPA Functional: Measurement 53) The following transactions for the month of March have been journalized and posted to the proper accounts. Mar. 1 The business received $9,000 cash and issued common stock to stockholders. Mar. 2 Paid the first month's rent of $800. Mar. 3 Purchased equipment by paying $3,000 cash and executing a note payable for $5,000. Mar. 4 Purchased office supplies for $750 cash. Mar. 5 Billed a client for $10,000 of design services completed. Mar. 6 Received $8,000 on account for the services previously recorded. What is the ending balance in the Service Revenue account? A) $19,000 B) $9,000 C) $10,000 D) $8,000 Answer: C Explanation: C) Diff: 3
128. Denise is studying how attitudes toward government change over the course of life by studying one group of people when they are 11, 21, 31, 41, 51, and 61 years old. kind of design is Denise using? 129. Mitchell is very interested in how individual participants’ behaviors change over time. she to study this, she’ll have to do a(n) ____study.
21. When an organization is sold, the purchase price may be higher than the total value of its physical and financial assets. This difference is sometimes called ____. 22. Which of the following major human resource functions would include forecasting the human resource requirements of an organization to achieve its objectives? 23. Which of the following major human resource functions would include providing assistance to employees with personal problems that influence their work performance? 24. Which of the following major human resource functions within an organization would include designing discipline and grievance handling systems? 25. Which of the following major human resource functions would include providing a human resource information base? 26. Which of the following major human resource functions would include building effective teams within an organizational structure?
Chapter 2: The Role of Human Resource Management in Business TRUE/FALSE 1. Marriott has built a strong “Spirit to Serve” culture that emphasizes the importance of the company’s people and the value they bring to the organization. ANS: T PTS: 1 DIF: Difficulty: Easy REF: p. 33 OBJ: LO: 2-1 NAT: BUSPROG: Analytic TOP: Real World Challenge KEY: Bloom's: Knowledge 2. Some industries and businesses are more dependent on talent to create a competitive advantage. ANS: T PTS: 1 DIF: Difficulty: Easy REF: p. 34 OBJ: LO: 2-1 NAT: BUSPROG: Analytic TOP: Introduction KEY: Knowledge 3. It would never be appropriate for the culture of a company to be compared to a person’s personality. ANS: F PTS: 1 DIF: Difficulty: Moderate REF: p. 35 OBJ: LO: 2-1 NAT: BUSPROG: Analytic TOP: Why Is Organizational Culture Important? KEY: Knowledge 4. The culture of a company could be compared to a person’s personality. ANS: T PTS: 1 DIF: Difficulty: Easy REF: p. 35 OBJ: LO: 2-1 NAT: BUSPROG: Analytic TOP: Why Is Organizational Culture Important? KEY: Bloom's: Knowledge 5. Business strategies can be reinforced or undermined by their fit with the firm’s culture. ANS: T PTS: 1 DIF: Difficulty: Easy REF: p. 35 OBJ: LO: 2-1 NAT: BUSPROG: Analytic TOP: Why Is Organizational Culture Important? KEY: Bloom's: Knowledge 6. Performance culture focuses on firing, driving forces, motivating, and making work assignments on goals and results. ANS: T PTS: 1 DIF: Difficulty: Easy REF: p. 35 OBJ: LO: 2-1 NAT: BUSPROG: Analytic TOP: Why Is Organizational Culture Important? KEY: Bloom's: Knowledge 7. Culture and HRM work together to influence employees’ performance and behaviors.
51. Richard and Alice are divorced and under the terms of their written divorce agreement signed on December 30, 2007, Richard was required to pay Alice $1,500 per month of which $700 was designated as child support. He made 12 such payments in 2014. Additionally, Richard voluntarily paid Alice $1,200 per month for 12 months of 2014, no portion of which was designated as child support. Assuming that Alice has no other income, her tax return for 2014 should show gross income of: 52. Steve and Laura were divorced in 2008. Laura pays Steve alimony of $1,200 a month. The payment amount was agreed upon in the decree of divorce. To save money, Steve and Laura still live together. Are the alimony payments that Steve receives in 2014 includable in his income? Can Laura take a deduction for alimony paid?
108. As a new benefit to employees, the Acme Company is providing a dining allowance Tuesday for use in one of the twenty restaurants that they own around town. Should this benefit be included in the employees’ wages? 109. A taxpayer in the 33 percent tax bracket invests in a New York City Bond paying 5 percent interest. What taxable interest rate would provide the same after-tax return? 110. is a wealthy widow who has come to you for tax advice. She is in the 35 percent tax bracket. She has a choice between investing in a high-quality municipal bond paying 3.5 percent or a high-quality corporate bond paying 7 percent. From a tax standpoint, which investment would you advise her to make and why?
55. a divorce agreement executed in 2013, Bob is required to pay his ex-wife, Carol, $3,000 a month until their youngest daughter is 21 years of age. At that time, the required payments are reduced to $2,000 per month. 56. Under the terms of a property settlement executed during the current year, Cindy transferred a house worth $350,000 to her ex-husband, Carl. The property has a tax basis to Cindy of $300,000.
71. If a life insurance policy is transferred to the insured's partnership for valuable consideration, the insurance proceeds are taxable when received by the partnership. 72. Sam died on January 15, 2005 and left his wife, Terry, an insurance policy with a face value of $100,000. Terry elected to receive the proceeds over a 10-year period ($10,000 plus interest each year). This year Terry receives $11,500
1. Indifference curves 2. For an individual who consumes only two goods, X and Y, the opportunity cost of consuming one unit of X in terms of how much Y must be given up is reflected in 3. If bundles of goods A and B lie on the same indifference curve, one can assume the individual 4. If bundle A lies on an indifference curve and bundle B lies to the right of the curve, the individual 5. “If an individual is to maximize the utility received from consumption, he or she should spend all available income. . . .” This statement assumes
14. If the price of X falls, the budget constraint 15. If an individual has a constant MRS of shoes for sneakers of 3/4 (that is, he or she is always willing to give up 3 pairs of sneakers to get 4 pairs of shoes) then, if sneakers and shoes are equally costly, he or she will 16. Suppose a cup of coffee at the campus coffee shop is $2.50 and a cup of hot tea is $1.25 and that a student’s beverage budget is $20 per week. What is the most cups of tea the student could buy? 17. Suppose a cup of coffee at the campus coffee shop is $2.50 and a cup of hot tea is $1.25 and that a student’s beverage budget is $20 per week. What is the market tradeoff between coffee and tea?
As stated directly in the text. AACSB: Reflective Thinking Blooms: Understand Difficulty: 2 Medium Learning Objective: 02-03 Outline the theories that attempt to explain why certain goods are traded internationally. Topic Area: Explaining trade: International trade theories 76. Locating activities in another nation is:
73. The euro zone remarkably comparable to the United States in terms of 74. country is NOT using the euro? 75. Once the changeover to the euro was completed by July 1, 2002, the status of national currencies in the euro zone
Topic: The Asian Currency Crisis 88. To avoid currency crisis in the face of fully integrated capital markets, a country can have a Topic: The Asian Currency Crisis 89. During the there The Argentine Peso Crisis 90. Which factors are related to the collapse of the Argentine currency board system and ensuing economic crisis? Topic: The Argentine Peso Crisis 91. to the Argentine Peso Crisis
38.According to the Trade Organization, in 2014 merchandise exports: A.reached a record high. B.declined for the first time since 1983. C.remained fairly consistent. D.decreased by almost 50 percent. Answer: A Feedback: According to the Trade Organization, in 2014merchandise exports reached a record high $18.2 trillion, and commercial services exports have rebounded to $4.2 trillion. AACSB: Analytic Bloom's: Understand Learning Objective: 01-01 ASSESS the implications of globalization for countries, industries, firms, and communities. Level of Difficulty: 2 Medium Globalization and Internationalization 39.In 2009, global FDI _____. A.nearly doubled B.nearly tripled C.dropped substantially D.remained fairly constant Answer: C Feedback: In 2009, global FDI dropped significantly by almost 50 percent to $896 billion. It rebounded to $1.5 trillion by 2013. AACSB: Analytic Bloom's: Understand Learning Objective: 01-01 ASSESS the implications of globalization for countries, industries, firms, and communities. Level of Difficulty: 2 Medium Topic: Globalization and Internationalization 40.By 2017, foreign direct investment (FDI) is estimated to: A.surpass the all-time high set a decade earlier in 2007. an all-time low due to political instability and uncertain markets. C.experience a significant drop similar tothe global recession of 2009. D.experience an insignificant rise due to a slow rate of increase of merchandise exports. Answer: A Feedback: By 2017, foreign direct investment (FDI) is estimated to surpass the all-time high set a decade earlier in 2007. Despite dropping almost 50 percent in 2009 to $896 billion, global FDI rebounded to $1.5 trillion by 2013. AACSB: Analytic Understand Learning Objective: 01-01 ASSESS the implications of globalization for countries, industries, firms, and communities. Level of Difficulty: 2 Medium Topic: Globalization and Internationalization
29. If a Treasury note has a bid price of $975, the quoted bid price in the WallStreetJournal would be Treasuries are quoted as a percent of $1,000 and in 1/32s. AACSB: Analytic Blooms: Apply Difficulty: Basic Topic: Market Indexes 30. If a Treasury note has a bid price of $995, the quoted bid price in the WallStreetJournal would be Treasuries are quoted as a percent of $1,000 and in 1/32s. AACSB: Analytic Blooms: Apply Difficulty: Basic Topic: Market Indexes 31. In calculating the Standard and Poor's stock price indices, the adjustment for stock split occurs The calculation of the S&P indices includes both price and number of shares of each of the stocks in the index. Thus, the effects of stock splits are automatically incorporated into the calculation. AACSB: Analytic Blooms: Remember Difficulty: Basic Topic: Market Indexes
7. The expression boolean isTenLarger = (10 < 5) will produce a value of true. 8. Even if a statement occupies multiple the statement is not complete until the semicolon is reached. 9. You are limited to declaring a maximum of variables in a single statement. 10. The byte and short data types occupy less memory and can hold only smaller values. Multiple Choice 11. A data item is ____ when it cannot be changed a program is running. 12. A ____ is a named memory location that you can use to store a value.
19) You need to present the marketing plan for your business unit to the Marketing VP in order to get it approved. From your observation of his personality in terms of the dimensions in the Keirsey Sorter, you have determined that he is a thinker. Which of the following strategies would be most useful in helping you to communicate your plan to the VP? A) use stories to illustrate your point and acknowledge others' contributions B) provide attractively packaged information C) be creative in your presentation and convey passion D) make your presentation interesting, challenging, or entertaining E) present a well-analyzed proposal and have your data and facts handy Answer: E Explanation: E) When communicating with a superior who, according to the Keirsey Sorter, is a thinker, give him or her well-analyzed memos and oral summaries. Have your data and your facts handy and double check their accuracy. Page Ref: 36 LO: 2 AACSB: Communication Abilities Classification: Application Difficulty: Moderate 20) You are considering asking your boss for a raise. From your observation of his personality in terms of the dimensions in the Keirsey Sorter, you have determined that he is a giver. Which of the following strategies would be most useful in helping you to communicate your case to him? A) use stories to illustrate your point and acknowledge others' contributions B) provide solid information presented in an organized way C) express your points in a concise and efficient manner D) proofread, prepare, rehearse, and re-rehearse your delivery E) present a well-analyzed case and have your data and facts handy Answer: A Explanation: A) When communicating with a superior who is, according to the Keirsey Sorter, a giver, provide communication that is genuine and interesting. Use stories to illustrate an accomplishment or a job well done and be willing to give feedback and acknowledgement for work being done. Page Ref: 36 LO: 2 AACSB: Communication Abilities Classification: Application Difficulty: Moderate 21) You need to present the proposed quarterly budget for your department to the COO. From your observation of her personality in of the dimensions in the Keirsey Sorter, you have determined that she is an adventurer. Which of the following strategies would be most useful in helping you to communicate your proposal to her? A) provide information presented in an organized way B) be creative and convey passion C) express your points in a concise and efficient manner
Blooms: Understand Difficulty: 2 Medium 37. (p. 2) of the following is a reason for the development of unions? Blooms: Remember Difficulty: 1 Easy 38. (p. 2) Which of the following is true about shareholders? Blooms: Understand Difficulty: 2 Medium
Blooms: Understand Difficulty: 2 Medium 65. (p. Bargaining units are not organized until all of the following occur EXCEPT: Blooms: Understand Difficulty: 2 Medium 66. (p. 19) Which of the following is a condition that prevented union empowerment in the United States?
68. (p. 55) Which of the following was a provision of Executive Order 11491? Blooms: Understand Difficulty: 2 Medium 69. (p. 55) allowed professionals in an agency to decide whether to join a bargaining unit. Blooms: Remember Difficulty: 1 Easy 70. (p. 56) Which of the following acts established the Federal Labor Relations Authority? Blooms: Understand Difficulty: 2 Medium Short Answer Questions
110. (p. 35) unions that have the power to elect their own officials, manage their own finances, and make their own strategic and tactical decisions are called ______________________ unions. independent Difficulty: Easy 111. (p. 35) The ___________________________ school of thought argues that market imperfections create problems such as persistent unemployment, low wages and poor working conditions. industrial relations Difficulty: Easy 112. (p. 36) The industrial relations school the role of government as necessary for providing a legal framework that will ___________________ the rights of management and labor. balance Difficulty: Moderate 113. (p. 36) The most radical of the four schools of thought is the __________________________ school. critical industrial relations Difficulty: Easy 114. (p. 37) ______________________ is an example of a critical industrial relations perspective that envisions a political, rather than revolutionary transition away from capitalism. socialism Difficulty: Hard
The Occupy movement is consistent with the critical industrial relations school that emphasizes that capitalist institutions do not simply exist but are created by society through its laws and social norms. The CIR argues that the dominant groups in society have the ability to design and control institutions that serve their own interests, to the detriment of others. This is exactly what the Occupy movement is currently claiming about the “top 1%.” Difficulty: Moderate Matching Questions 142. (p. 31-39) the following terms and definitions. 1. Industrial Relations School Unions are considered bad because they interfere with the efficient operation of the economy. 3 2. Critical Industrial Relations School Unions are considered unnecessary if effective management policies are in place. 6 3. Mainstream Economics School Unions are important for protecting workers and providing worker voice. 1 4. Critical Industrial Relations School Unions are considered necessary to counter corporate bargaining power and raise the consciousness of the working class. 2 5. Industrial Relations School Government is corrupt and acts as an agent of the ownership class to pass laws and regulations that protect ownership rights at the expense of the worker. 2 6. Human Resource Management School Government is only necessary insofar as it can assure free market competition and ownership rights. 3 7. Mainstream Economics School The role of government is to set minimum wage and safety standards while protecting worker rights to unionization and collective voice. 1 8. Human Resource Management School Government intervention is unnecessary except to ensure that employers are not engaging in abusive practices. 6 Difficulty: Moderate
Blooms: Understand Difficulty: 1 Easy 17. (p. 66) Which of the following ethical theories takes essentially a free market view of ethics? Blooms: Remember Difficulty: 1 Easy 18. (p. 66) Virtue ethics focuses on the classic notion that the key to good ethics lies in a person's _____. Blooms: Remember Difficulty: 1 Easy 19. (p. 66) A(n) _____ ethical system emphasizes the consequences of an act. Blooms: Remember Difficulty: 1 Easy 20. (p. 66) A(n) _____ believes principle is primary and consequence is secondary or even irrelevant.
e. the process whereby a performer plucks the strings of an instrument rather than bowing them ANSWER: b 9. An orchestra is: a. a small group of acoustic instruments, chiefly the clarinet, trumpet, and trombone, that are accompanied by a rhythm section b. an ensemble that normally includes synthesizers and electrically amplified guitars c. a large ensemble of acoustic instruments such as violins, trumpets, and flutes d. a moderate size of acoustic instruments that primarily consist of a group of saxophones, trumpets, and trombones e. a large group of wind instruments, such as the clarinets, trumpets, and saxophones, as well as a substantial battery of percussion ANSWER: c 10. A ________ is a type of for orchestra that is divided into several movements, each possessing its own tempo and mood. a. tone poem b. pizzicato c. encore d. concerto e. symphony ANSWER: e 11. The ________ is a large ensemble of acoustic instruments that plays symphonies, concertos, overture, and other genres of classical instrumental music. a. chorus b. concerto c. big band d. orchestra e. crescendo ANSWER: d 12. A short, distinctive musical figure that can stand by itself, and often unifies entire compositions is a: a. motive b. crescendo c. d. pizzicato e. movement ANSWER: a 13. Also Sprach Zarathustra (Thus Spoke Zarathustra) by Richard Strauss is an example of which musical genre? a. concerto b. suite c. overture d. tone poem e. symphony