Description of this paper

saint MBA560 module 4 quiz (2014)

Description

solution


Question

Saint Leo Module 4 quiz multiple choice;In accounting for a contingent liability, if the likelihood of the obligation is probable and the amount can be estimated, a company must: (Points: 2);report the liability on the balance sheet.;provide disclosure in the footnotes to the financial statements.;not recognize the liability until it is certain and the exact amount is known.;do nothing.;In accounting for a contingent liability, if the likelihood of the obligation is probable but the amount can not be estimated, a company must: (Points: 2);recognize the liability and report it on the balance sheet.;provide disclosure in the footnotes to the financial statements.;not recognize or disclose the liability until it is certain and the exact amount is known.;do nothing.;Quayle Company has been sued by a customer who claims injury from use of Quayle?s product. The company?s lawyers and a consultant believe the likelihood of a judgment against Quayle is remote. What should Quayle do to account for this potential liability? (Points: 2);Recognize the liability and report it on the balance sheet.;Provide disclosure in the footnotes to the financial statements.;Report an allowance account on the balance sheet.;Do nothing.;Flynn Corp., which is authorized to issue 25,000 shares of no-par common stock, issued 10,000 shares for $150,000. What effect will this event have on the accounting equation? (Points: 2);Increase assets by $375,000 increase, equity by $375,000;Increase assets by $150,000, increase net income by $150,000;Increase assets by $150,000, increase equity by $150,000;Both B and C;Which of the following statements about the Treasury Stock account is correct? (Points: 2);Treasury Stock is a liability.;The balance in the Treasury Stock account reduces total Stockholders' Equity.;Treasury St;ock is an asset.;The balance in Treasury Stock reduces Retained Earnings.;Which of the following would not be a reason for the market price of Bishop Corporation stock to decrease? (Points: 2);Bishop?s net income for the current year was lower than last year.;The general condition and future outlook of the economy are shaky.;There has been a recent decrease in key interest rates.;Investors expect Bishop?s financial performance to decline in the future.;The price-earnings ratio is the: (Points: 2);total average stockholder's equity divided by the number of shares.;interest rate on borrowed money divided by the current prime rate.;price of a company's products as compared to its net income.;market price of a share of stock divided by the earnings per share.;Purchase of treasury stock for cash is what kind of transaction? (Points: 2);Asset source;Asset use;Asset exchange;Claims exchange;What effect will the declaration and distribution of a stock dividend have on net income and cash flows? (Points: 2);No effect on net income or cash flows;No effect on net income, decrease cash flows;Decrease net income, decrease cash flows;Increase net income, no effect on cash flows;Regardless of the specific type of long-term debt, which of the following are normally required with debt transactions? (Points: 2);To repay the debt;To pay dividends;To pay interest;Both A and C;Current liabilities include: (Points: 2);some notes payable.;taxes payable.;the current portion of some long-term liabilities.;all of the above.;Payment of previously-accrued interest on a note payable is a(n): (Points: 2);asset source transaction.;asset use transaction.;asset exchange transaction.;claims exchange transaction.

 

Paper#30375 | Written in 18-Jul-2015

Price : $42
SiteLock