ISU ACCT 284 QUIZ 2 FALL10

Sept 15

Quiz 2 Question 1
	Which of the following expenses is usually listed last on the income statement?   Student Response Value Correct Answer Feedback 1. Cost of sales     2. Salaries and benefits expense     3. General administrative expenses      4. Income tax expense 100%      Score: 3/3
2.	Quiz 2 Question 2
	The principle which requires that costs incurred to generate revenues be recognized in the same period is the   Student Response Value Correct Answer Feedback 1. revenue recognition principle.      2. matching principle. 100%      3. measurement principle.     4. cost principle.     Score: 3/3
3.	Quiz 2 Question 3
	Fall Company incurred utilities expense of $1,000 during the month of September. The bill for the utilities will be paid in October. What is the effect of this transaction in September?   Student Response Value Correct Answer Feedback  1. liabilities increase and stockholders’ equity decreases 100%      2. assets decrease and stockholders’ equity decreases     3. assets decrease and liabilities decrease     4. liabilities decrease and stockholders’ equity increases     Score: 3/3
4.	Quiz 2 Question 4
	Thompson Corporation made $50,000 of sales on account during October. Which of the following is NOT an effect of these sales?   Student Response Value Correct Answer Feedback 1. assets increase     2. stockholders’ equity increases     3. net income increases      4. retaining earnings decreases 100%      Score: 3/3
5.	Quiz 2 Question 5
	DVC Company paid wages expense of $10,000 during the month of September. As a result of this transaction,   Student Response Value Correct Answer Feedback 1. assets decrease and revenues increase     2. assets increase and net income increases     3. assets increase and retained earnings increases      4. assets decrease and expenses increase 100%      Score: 3/3