Question 1

The Financial Accounting Standards Board's conceptual framework does not prescribe Generally Accepted Accounting Principles.It provides an underlying foundation for the development of accounting standards and interpretation of accounting information.

Accepted Answer

A) True 
 B)False

Question 2

The financial statement that represents the accounting equation is the:

Accepted Answer

A)  Income statement.
B)  Statement of cash flows.
C)  Balance sheet.
D)  Statement of stockholders' equity.E) B) and C)
F) A) and B)

Question 3

The financial statement(s) that record activity over an interval of time is (are) the:

Accepted Answer

A)  Income statement.
B)  Balance sheet.
C)  Balance sheet and income statement.
D)  Income statement and statement of cash flows.E) A) and C)
F) A) and B)

Question 4

Accounting information is used by investors to decide whether to invest in a company's stock.

Accepted Answer

A) True 
 B)False

Question 5

If accounting information is considered to have faithful representation,then which of the following is true?

Accepted Answer

A)  The information represents to users what it claims to represent.
B)  The information follows conservatism principles and is also material.
C)  The information is considered pertinent to or affects decisions.
D)  The information will have predictive value,feedback value,and is timely.E) A) and B)
F) A) and C)

Exam 1: Accounting Information and Decision Making

The Financial Accounting Standards Board's conceptual framework does not prescribe Generally Accepted Accounting Principles.It provides an underlying foundation for the development of accounting standards and interpretation of accounting information.

Correct Answer
verified

If accounting information is considered to have faithful representation,then which of the following is true?

Correct Answer
verified

The financial statement that represents the accounting equation is the:

Correct Answer
verified

Accounting information is used by investors to decide whether to invest in a company's stock.

Correct Answer
verified

The financial statement(s) that record activity over an interval of time is (are) the:

Correct Answer
verified

Exam 1: Accounting Information and Decision Making

The Financial Accounting Standards Board's conceptual framework does not prescribe Generally Accepted Accounting Principles.It provides an underlying foundation for the development of accounting standards and interpretation of accounting information.

Correct AnswerverifiedShow Answer

If accounting information is considered to have faithful representation,then which of the following is true?

Correct AnswerverifiedShow Answer

The financial statement that represents the accounting equation is the:

Correct AnswerverifiedShow Answer

Accounting information is used by investors to decide whether to invest in a company's stock.

Correct AnswerverifiedShow Answer

The financial statement(s) that record activity over an interval of time is (are) the:

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified