Financial Statements(Quick Test #1)

1. Assets are reported on the financial statement known as the __________ __________.

2. The financial statement that reports the components of a company’s earnings is the __________ __________.

3. Generally a __________ asset is one that will turn to cash or will be used up within one year of the balance sheet date.

4. Plant assets used in the business are reported under the heading of property, plant, and __________.

5. A resource that has future economic value describes an __________.

6. The cumulative amount of a corporation’s other comprehensive income can be found in the __________ __________ section of the balance sheet.

7. The __________ basis or method of accounting does a better job of measuring a company’s profitability during an accounting period than the cash basis or method of accounting.

8. An expense will cause an owner’s or stockholders’ __________ to decrease.

9. Current assets minus current liabilities is__________ __________.

10. An obligation due within one year of the balance sheet date is a __________ __________.

11. The significant accounting policies are presented in the __________ to the financial statements.

12. The statement of cash flows explains the change in cash and cash __________.

13. Financial statements distributed to stockholders and other external parties must comply with generally accepted __________ __________.

14. FASB is the acronym for __________ Accounting Standards Board.

15. The current period amounts that comprise accumulated other comprehensive income are reported in the statement of __________ in stockholders’ equity.

16. The amounts reported on the balance sheet represent a __________ __________ time.

17. The amounts reported on the income statement represent a __________ __________ time.

18. The amounts reported on the statement of cash flows represent a __________ __________ time.

19. The Securities and Exchange Commission report that must be filed annually by publicly traded corporations is __________.

20. The non-government organization for researching and establishing the U.S. accounting rules for financial reporting is __________.

21. Net assets.

22. Outflows or use of assets in delivering goods or services that constitute an entity’s ongoing main activities.

23. Is a broader concept than net income.

24. “Probable future sacrifices of economic benefits arising from present obligations as a result of past transactions or events.”

25. Increases in equity from peripheral activities other than revenues or investments by owners.

26. “Residual interest in the assets of an entity that remains after deducting its liabilities.”

27. “Probable future economic benefits obtained or controlled by a particular entity as a result of past transactions or events.”

28. Decreases in equity from peripheral transactions other than expenses or distributions to owners.

29. Inflows or other enhancements from delivering goods or services that constitute the entity’s main activities.

30. Creditors’ claims against a company’s assets.

31. Reports amounts by operating, investing, and financing activities.

32. Also referred to as the statement of operations.

33. Also known as the statement of financial position.

34. Replaced the funds flow statement.

35. Format is similar to the basic accounting equation.

36. Reports the amount of deferred revenues.

37. Reports the earnings per share for a publicly traded corporation.

38. Its supplemental information reports the exchange of significant noncash items such as stock for land.

39. Shows the specific gains, losses, and expenses of the current period that were not reported on the income statement of the current period.

40. Discloses the amount of income taxes and interest paid.