ACC 305 Week 3 Quiz (2 Set)
1. Question : On November 10 of the current year, Cherokee Industries sold materials to a customer for $8,000 with credit terms 2/10, n/30. Cherokee uses the net method of accounting for cash discounts.
What entry would Cherokee make on November 10?
2. Question : Cash that is restricted and not available for current operations is reported in the balance sheet as:
3. Question : Which of the following must be known to compute the interest rate paid from financing an asset purchase with an annuity?
4. Question : Zulu Corporation hires a new chief executive officer and promises to pay her a signing bonus of $2 million per year for 10 years, starting five years after he joins the company. The liability for this bonus when the CEO is hired:
5. Question : LeAnn wishes to know how much she should set aside now at 7% interest in order to accumulate a sum of $5,000 in four years. She should use a table for the:
6. Question : Loan A has the same original principal, interest rate, and payment amount as Loan B. However, Loan A is structured as an annuity due, while Loan B is structured as an ordinary annuity. The maturity date of Loan A will be:
7. Question : A note receivable Mild Max Cycles discounted with recourse was dishonored on its maturity date. Mild Max would debit:
8. Question : George Jones is planning on a cruise for his 70th birthday party. He wants to know how much he should set aside at the beginning of each month at 6% interest to accumulate the sum of $4,800 in five years. He should use a table for the:
9. Question : Nontrade receivables do not include:
10. Question : Which of the following do not change the balance in Accounts receivable?
ACC 305 Week 3 Quiz (2 Set) 1
1. Question : Sandra won $5,000,000 in the state lottery which she has elected to receive at
the end of each month over the next thirty years. She will receive 7% interest on
unpaid amounts. To determine the amount of her monthly check, she should use
a table for the:
2. Question : When you use an aging schedule approach for estimating uncollectible accounts:
Student Answer: Bad debts expense is measured indirectly, and the Allowance for
uncollectibles balance is measured directly.
3. Question : Which of the following do not change the balance in Accounts receivable?
4. Question : Cash that is restricted and not available for current operations is reported in the
balance sheet as:
5. Question : Which of the following is recorded by a credit to Accounts receivable?
6. Question : George Jones is planning on a cruise for his 70th birthday party. He wants to
know how much he should set aside at the beginning of each month at 6%
interest to accumulate the sum of $4,800 in five years. He should use a table for
the:
7. Question : A note receivable Mild Max Cycles discounted with recourse was dishonored on
its maturity date. Mild Max would debit:
8. Question : Zulu Corporation hires a new chief executive officer and promises to pay her a
signing bonus of $2 million per year for 10 years, starting five years after he joins
the company. The liability for this bonus when the CEO is hired:
9. Question : Tammy wants to buy a car that costs $10,000 and wishes to know the amount of
the monthly payments, which will be made at the first of the month, with interest
of 12% on the unpaid balance. She should use a table for the:
10. Question : LeAnn wishes to know how much she should set aside now at 7% interest in
order to accumulate a sum of $5,000 in four years. She should use a table for
the:
Is this the question you were looking for? Place your Order Here
