Study sets matching "terms intermediate accounting"

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Study sets matching "terms intermediate accounting"

Intermediate Accounting Chp 18 Terms
Billings account
Completed-contract method
Completion-of-production basis
Consignee
Under the percentage-of-completion method, when a company rec…
Revenue recognition method in which companies recognize reven…
Revenue recognition method in which companies recognize reven…
The dealer who acts as an agent for the consignor in selling…
Billings account
Under the percentage-of-completion method, when a company rec…
Completed-contract method
Revenue recognition method in which companies recognize reven…
102 terms
Intermediate Accounting
Internal users of accounting information
external users of accounting information
financial accounting
managerial accounting
...
Investors, creditors, employees, labor unions, customers, sup…
Provides relevant financial information to various external u…
deals with the concepts and methods used to provide informati…
Internal users of accounting information
...
external users of accounting information
Investors, creditors, employees, labor unions, customers, sup…
77 terms
Intermediate Accounting Exam 1
Indicate which accounts should be debi…
Indicate which accounts should be debi…
Indicate which accounts should be debi…
Indicate which accounts should be debi…
Debit inventory, credit cash
Debit Retained earnings, credit cash
Debit Prepaid rent, credit cash
Debit A/R, credit Sales revenue
Indicate which accounts should be debi…
Debit inventory, credit cash
Indicate which accounts should be debi…
Debit Retained earnings, credit cash
Intermediate Accounting Terms
Financial Accounting
Generally Accepted Accounting Principles
International Financial Reporting Stan…
Securities and Exchange Commission
The process of identifying, measuring, recording, and communi…
The rules and procedures that financial accountants of regula…
The rules and procedures that financial accountants of regula…
The government agency that has the legal authority to establi…
Financial Accounting
The process of identifying, measuring, recording, and communi…
Generally Accepted Accounting Principles
The rules and procedures that financial accountants of regula…
487 terms
Intermediate Accounting Terms
Accounting equation
Accounting Principles Board (APB)
Accounts
Accounts payable
the process used to capture the effect of economic events; As…
the second private sector body delegated the task of setting…
storage areas to keep track of the increases and decreases in…
obligations to suppliers of merchandise or of services purcha…
Accounting equation
the process used to capture the effect of economic events; As…
Accounting Principles Board (APB)
the second private sector body delegated the task of setting…
23 terms
Intermediate Accounting Terms
relevance
predictive value
confirmatory value
Materiality
Accounting information that must be capable of making a diffe…
value as an input to predictive processes used by investors t…
Relevant information that helps users confirm or correct prio…
company-specific aspect of relevance. Information is material…
relevance
Accounting information that must be capable of making a diffe…
predictive value
value as an input to predictive processes used by investors t…
Intermediate Accounting: Chapter 3
The balance sheet reports a company's…
A company's market value is generally…
All current assets are either cash or…
The balance of net receivables represe…
True
False
True
True
The balance sheet reports a company's…
True
A company's market value is generally…
False
72 terms
Intermediate Accounting
Objectives of Financial Reporting
Entity Perspective
Decision-Usefulness
Three Organizations involved in Standa…
Provide financial information about the reporting entity that…
Companies viewed as separate and distinct from their owners.
Investors are interested in assessing the company's ... 1) abili…
Securities and Exchange Commission (SEC).... American Institute…
Objectives of Financial Reporting
Provide financial information about the reporting entity that…
Entity Perspective
Companies viewed as separate and distinct from their owners.
22 terms
Intermediate Accounting Chapter 10 terms
additions
avoidable interest
capital expenditures
capitalization period
Increase or extension of existing assets, such as adding a wi…
The amount of interest cost in a period that a company could…
Expenditure whose purpose is to create a new asset or to incr…
The period of time during which a company must capitalize int…
additions
Increase or extension of existing assets, such as adding a wi…
avoidable interest
The amount of interest cost in a period that a company could…
21 terms
Intermediate Accounting Chapter 12 terms
amortization
bargain purchase
business combination
copyright
The allocation of the cost of intangible assets in a systemat…
A situation, often the result of a market imperfection, in wh…
A transaction in which the purchaser gains control of one or…
A federally granted right that all authors, painters, musicia…
amortization
The allocation of the cost of intangible assets in a systemat…
bargain purchase
A situation, often the result of a market imperfection, in wh…
34 terms
Intermediate Accounting Chapter 11 terms
accelerated depreciation
activity method
amortization
asset turnover
Depreciation methods that allow for higher depreciation charg…
Depreciation method that assumes that depreciation is a funct…
The allocation of the cost of intangible assets in a systemat…
Profitability ratio that measures how efficiently a company u…
accelerated depreciation
Depreciation methods that allow for higher depreciation charg…
activity method
Depreciation method that assumes that depreciation is a funct…
14 terms
Intermediate Accounting terms
financial accounting
financial statements
the objective of financial reporting
SEC
the process that culminates in the preparation of financial r…
1- balance sheet... 2- income statement... 3- statement of cash flo…
provide financial info about the reporting entity that is use…
Securities and Exchange Commission. An independent regulatory…
financial accounting
the process that culminates in the preparation of financial r…
financial statements
1- balance sheet... 2- income statement... 3- statement of cash flo…
58 terms
Intermediate Accounting Terms
-SEC... -AICPA... -FASB
SEC (Securities and Exchange Commission)
-AICPA... -FASB
FASB (SEC's mandate is to establish ac…
The 3 organizations that are instrumental in the development…
helps to develop and standardize financial information presen…
2 private organizations that develop accounting standards:
The SEC relies on this body to develop accounting standards:
-SEC... -AICPA... -FASB
The 3 organizations that are instrumental in the development…
SEC (Securities and Exchange Commission)
helps to develop and standardize financial information presen…
37 terms
Intermediate Accounting Chapter 5 terms
Balance Sheet
Liquidity
Solvency
Financial Flexibility
Reports the assets, liabilities, and stockholder's equity of…
"The amount of time that is expected to elapse until an asset…
The ability of a company to pay its debts as they mature.
"The ability of an enterprise to take effective actions to al…
Balance Sheet
Reports the assets, liabilities, and stockholder's equity of…
Liquidity
"The amount of time that is expected to elapse until an asset…
62 terms
Intermediate Accounting 2 Terms
Liabilities
Current Liabilities
Operating Cycle
Accounts Payable
Probable future sacrifices of economic benefits arising from…
Obligations whose liquidation is reasonably expected to requi…
The period of time elapsing between the acquisition of goods…
Balances owed to others for goods, supplies, or services purc…
Liabilities
Probable future sacrifices of economic benefits arising from…
Current Liabilities
Obligations whose liquidation is reasonably expected to requi…
30 terms
Intermediate Accounting terms Chapter 14
Indenture
Treasury Bonds
Bonds Issued at Par
Carrying Value
The bond contract or agreement.
Bonds payable reacquired by the issuing corporation that have…
The interest paid each period is the effective interest at da…
Book value of bonds at any given date.
Indenture
The bond contract or agreement.
Treasury Bonds
Bonds payable reacquired by the issuing corporation that have…
8 terms
Intermediate Accounting Exam Terms
Expense Recognition
Revenue Recognition
Economic Entity Assumption
Going Concern Assumption
Record Expenses in the period the related revenue is recogniz…
Usually satisfied at point of sale
All economic events can be identified with a particular econo…
In the absence of information to the contrary, it is anticipa…
Expense Recognition
Record Expenses in the period the related revenue is recogniz…
Revenue Recognition
Usually satisfied at point of sale
46 terms
Intermediate Accounting Exam 1
Accounting Equation
Stockholders' Equity Equation
Retained Earnings Equation
Transaction
Assets = Liabilities + Stockholders' Equity
Stockholders' Equity = Contributed Capital + Retained Earning…
Retained Earnings = Beg. Retained Earnings + Net Income - Div…
A transfer of something valuable between parties
Accounting Equation
Assets = Liabilities + Stockholders' Equity
Stockholders' Equity Equation
Stockholders' Equity = Contributed Capital + Retained Earning…
71 terms
Intermediate Accounting: Chapter 11
Depreciation
Depletion
Amortization
Factors Involved in the Depreciation P…
Depreciation... The process of allocating the cost of tangible a…
Depletion... The process of allocating the cost of natural resou…
Amortization... The allocation of the cost of intangible assets…
Before establishing a pattern of charges to revenue, a compan…
Depreciation
Depreciation... The process of allocating the cost of tangible a…
Depletion
Depletion... The process of allocating the cost of natural resou…
61 terms
Intermediate Accounting, Long-term Liabilities
bearer (coupon) bonds
bond discount
bond indenture
bond premium
Bonds without the name of the owner, which may be transferred…
The difference between the face value of a bond and its selli…
A contract for a bond that represents a promise to pay a sum…
The difference between the face value of a bond and its selli…
bearer (coupon) bonds
Bonds without the name of the owner, which may be transferred…
bond discount
The difference between the face value of a bond and its selli…
Intermediate Accounting, Long-term Liabilities
bearer (coupon) bonds
bond discount
bond indenture
bond premium
Bonds without the name of the owner, which may be transferred…
The difference between the face value of a bond and its selli…
A contract for a bond that represents a promise to pay a sum…
The difference between the face value of a bond and its selli…
bearer (coupon) bonds
Bonds without the name of the owner, which may be transferred…
bond discount
The difference between the face value of a bond and its selli…
25 terms
Intermediate 1 Accounting Ratios and Terms
Liquidity
Solvency
Financial Flexibility
LIQUIDITY RATIOS
The amount of time that is expected to elapse until an asset…
the ability of a company to pay its debts a they mature
The ability of an enterprise to take effective actions to alt…
Measures of the company's short term ability to pay its matur…
Liquidity
The amount of time that is expected to elapse until an asset…
Solvency
the ability of a company to pay its debts a they mature
78 terms
Intermediate Accounting
Which of the following in NOT a charac…
Expensing all R&D costs associated wit…
Which of the following is a factor to…
A purchased limited-life intangible as…
They are all shbject to amortization
Understating assets and overstating expenses
All of these answer choices are correct
Is; the recoverability test and then the fair value test
Which of the following in NOT a charac…
They are all shbject to amortization
Expensing all R&D costs associated wit…
Understating assets and overstating expenses
50 terms
Intermediate Accounting
Dunn, Inc. uses the accrual method of…
The consolidated worksheet shows Exces…
Manning Company issued 10,000 shares o…
On January 1, 2015, Dean Corporation s…
$450,000************************... $513,000... $567,000... $630,000
$210,000.... $120,000.*************************... $90,000.... $0.
$289,091... $250,000***********************... $240,909... $289,091... $…
interest expense of $80,521 and depreciation expense of $67,101
Dunn, Inc. uses the accrual method of…
$450,000************************... $513,000... $567,000... $630,000
The consolidated worksheet shows Exces…
$210,000.... $120,000.*************************... $90,000.... $0.
19 terms
Intermediate Accounting ~ TEST 1 TERMS
asset
expense
liability
equity
probable future economic BENEFIT obtained or controlled by an…
OUTFLOWS or other using up of assets or incurrences of LIABIL…
probable future sacrifices of economic benefit arising from p…
net assets residual interest in assets of an entity that rema…
asset
probable future economic BENEFIT obtained or controlled by an…
expense
OUTFLOWS or other using up of assets or incurrences of LIABIL…
21 terms
Intermediate Accounting Chapter 10
What is PP&E?
Major characteristics of PP&E
Historical cost for valuing PP&E
What goes into the cost of Land as PP&E?
Include land, building structures (offices, factories, wareho…
1. They are acquired for use in operations and not for resale…
measures the cash or cash equivalent price of obtaining the a…
(1) Purchase price, (2) closing costs; such as title to the l…
What is PP&E?
Include land, building structures (offices, factories, wareho…
Major characteristics of PP&E
1. They are acquired for use in operations and not for resale…
Intermediate Accounting Chapter 16
Convertible BondsConvertible bonds... a.…
The conversion of bonds is most common…
When a bond issuer offers some form of…
Corporations issue convertible debt fo…
D. May be exchanged for equity securities
D. Book Value method
B. Expense
C. That many corporations can obtain financing at lower rates.
Convertible BondsConvertible bonds... a.…
D. May be exchanged for equity securities
The conversion of bonds is most common…
D. Book Value method
Intermediate Accounting - Chapter 9
Which of the following is true about l…
The primary basis of accounting for in…
When valuing raw materials inventory a…
In no case can "market" in the lower-o…
d. All of these.
d. future utility will be less than their cost.
c. Current replacement cost
b. estimated selling price in the ordinary course of business…
Which of the following is true about l…
d. All of these.
The primary basis of accounting for in…
d. future utility will be less than their cost.
intermediate accounting 2
For a liability to exist,
Kenwood Co. neglected to amortize the…
Bond discount should be presented in t…
Any gains or losses from the early ext…
a past transaction or event must have occurred.
Overstate; overstate
contra liability
recognized in income of the period of extinguishment.
For a liability to exist,
a past transaction or event must have occurred.
Kenwood Co. neglected to amortize the…
Overstate; overstate
32 terms
Intermediate Accounting Chapter 11 terms
accelerated depreciation
activity method
amortization
asset turnover
Depreciation methods that allow for higher depreciation charg…
Depreciation method that assumes that depreciation is a funct…
The allocation of the cost of intangible assets in a systemat…
Profitability ratio that measures how efficiently a company u…
accelerated depreciation
Depreciation methods that allow for higher depreciation charg…
activity method
Depreciation method that assumes that depreciation is a funct…
40 terms
Intermediate Accounting Chapter 3 terms
*accrual-basis accounting
*modified cash basis
*strict cash basis
worksheet
The recognition of revenue when the performance obligation is…
A mixture of the accrual basis and cash basis, with modificat…
Companies record only when they receive cash, and they record…
An informal device for accumulating and sorting information n…
*accrual-basis accounting
The recognition of revenue when the performance obligation is…
*modified cash basis
A mixture of the accrual basis and cash basis, with modificat…
37 terms
Intermediate Accounting Chapter 5 terms
Balance Sheet
Liquidity
Solvency
Financial Flexibility
Reports the assets, liabilities, and stockholder's equity of…
"The amount of time that is expected to elapse until an asset…
The ability of a company to pay its debts as they mature.
"The ability of an enterprise to take effective actions to al…
Balance Sheet
Reports the assets, liabilities, and stockholder's equity of…
Liquidity
"The amount of time that is expected to elapse until an asset…
50 terms
Intermediate Accounting Chapter 1 terms
Predictive Value
Relevance
Timeliness
Distribution to owners
Information is useful in predicting the future
Pertinent to the decision at hand
Information is available prior to the decision
Decreases in equity resulting from transfers to owners
Predictive Value
Information is useful in predicting the future
Relevance
Pertinent to the decision at hand
30 terms
Intermediate Accounting terms Chapter 14
Indenture
Treasury Bonds
Bonds Issued at Par
Carrying Value
The bond contract or agreement.
Bonds payable reacquired by the issuing corporation that have…
The interest paid each period is the effective interest at da…
Book value of bonds at any given date.
Indenture
The bond contract or agreement.
Treasury Bonds
Bonds payable reacquired by the issuing corporation that have…
125 terms
intermediate accounting
Financial Accounting
Who cares about financial accounting
Providers of financial information
External User Groups
-concerned with providing financial information to external u…
-capital markets ... -traders ... -analysts ... -hedge funds ... -the sec…
-corporations
-investors... -creditors
Financial Accounting
-concerned with providing financial information to external u…
Who cares about financial accounting
-capital markets ... -traders ... -analysts ... -hedge funds ... -the sec…
46 terms
Intermediate Accounting
Assets
Expenses
Revenues
Liabilities
Probable future economic benefits obtained or controlled by a…
Outflows or other using up of assets or incurrences of liabil…
Inflows or other enhancements of assets of an entity or settl…
Probable future sacrifices of economic benefits arising from…
Assets
Probable future economic benefits obtained or controlled by a…
Expenses
Outflows or other using up of assets or incurrences of liabil…
Intermediate Accounting Ch 1 Terms
relevance
faithful representation
predictive value
confirmatory
a fundamental decision-specific quality that determines if th…
a fundamental decision-specific quality that determines if it…
this component/aspect helps users predict a company's future…
this component/aspect helps investors confirm or change their…
relevance
a fundamental decision-specific quality that determines if th…
faithful representation
a fundamental decision-specific quality that determines if it…
40 terms
Intermediate Accounting- Test 1
What is the role of Financial Accounti…
Financing Activities
Investing Activities
Operating Activities
To help people make decisions about economic activities... - ide…
Involve raising the capital needed to run the company
The investment of the capital raised in productive resources…
Once a company has resources in place--it can begin day to da…
What is the role of Financial Accounti…
To help people make decisions about economic activities... - ide…
Financing Activities
Involve raising the capital needed to run the company
99 terms
intermediate accounting 2 terms test 1
which of the following does not descri…
which of the following characteristics…
which characteristic is not possessed…
costs incurred internally to create in…
they are financial instruments
long-lived
physical existence
expensed as incurred
which of the following does not descri…
they are financial instruments
which of the following characteristics…
long-lived
intermediate accounting chapter 4
income statement
earnings management
quality of earnings
income statement sections
report that measures a companies success in operations for a…
the planned timing of revenues or expenses and gains or losse…
if negatively affected the info is distorted in a way that is…
1-operating... 2-non-operating... 3-income tax expense ... 4-discontin…
income statement
report that measures a companies success in operations for a…
earnings management
the planned timing of revenues or expenses and gains or losse…
77 terms
Intermediate Accounting Chapter 2
What does the conceptual framework of…
what does SFAC stand for?
What does SFAC 1 do?
SFAC2
The framework establishes the concepts that underlie financia…
Statements of Financial accounting concepts
presents the goals and purposes of accounting
examines the characteristics that make accounting information…
What does the conceptual framework of…
The framework establishes the concepts that underlie financia…
what does SFAC stand for?
Statements of Financial accounting concepts
24 terms
Intermediate Accounting Mid Term 1
Asset
Current Asset
Current Liability
Current Ratio
probable future economic benefits obtained or controlled by a…
includes assets that are cash, will be converted into cash, o…
Obligations that are expected to be satisfied through the usa…
Current assets/ current liabilities
Asset
probable future economic benefits obtained or controlled by a…
Current Asset
includes assets that are cash, will be converted into cash, o…
intermediate accounting chapter 5
balance sheet
liquidity
solvency
financial flexibility
"moment in time" financial statement, helps in predicting amo…
amount of time until an asset is converted into cash or the a…
ability of a company to pay debts as they come due
the ability of a company to weather unexpected financial cris…
balance sheet
"moment in time" financial statement, helps in predicting amo…
liquidity
amount of time until an asset is converted into cash or the a…
40 terms
Intermediate Accounting Chapter 1
1. Summary of Learning Objectives... Ide…
financial accounting
financial statements
financial reporting
Companies most frequently provide (l) the balance sheet, (2)…
The accounting process that culminates in the preparation of…
The principal means through which a company communicates its…
Reporting of financial information other than in formal finan…
1. Summary of Learning Objectives... Ide…
Companies most frequently provide (l) the balance sheet, (2)…
financial accounting
The accounting process that culminates in the preparation of…
Intermediate Accounting
Comparability
Verifiability
Predictive Value
Confirmatory Value
Identify similarities & differences between 2 or more sets of…
when different independent observers can reach a consensus
Predict future outcomes
Provides feedback to confirm prior predictions
Comparability
Identify similarities & differences between 2 or more sets of…
Verifiability
when different independent observers can reach a consensus
intermediate accounting
debt securities
equity securities
held to maturity investment
interest revenue
builds bonds and notes
...
investment recorded at amortized cost, positive intent to hol…
current carrying value x historical market rate at date of ac…
debt securities
builds bonds and notes
equity securities
...
Intermediate Accounting
Face Value
Premium
Discount
Operating Activities
Stated Rate = Market Rate
Stated Rate > Market Rate
Stated Rate < Market Rate
The cash effects of transactions that enter into the determin…
Face Value
Stated Rate = Market Rate
Premium
Stated Rate > Market Rate
34 terms
Intermediate Accounting - Chapter 2
Relevance
Faithful Representation
Predictive Value
Confirmatory Value
Accounting information must be capable of making a difference…
The numbers and descriptions match what really happened. Info…
(Relevance)... Has value as an input to predictive processes use…
(Relevance)... Helps users confirm or correct prior expectations…
Relevance
Accounting information must be capable of making a difference…
Faithful Representation
The numbers and descriptions match what really happened. Info…
Intermediate Accounting Terms For Chapter 1
Essential Characteristics of Accountin…
Resources are LIMITED
Financial Reporting
Users (Present and Potential)
the identification, measurement, and communication of financi…
Efficient use of resources often determines whether a busines…
The financial information a company provides to help users wi…
Investors and creditors use financial reports to make their c…
Essential Characteristics of Accountin…
the identification, measurement, and communication of financi…
Resources are LIMITED
Efficient use of resources often determines whether a busines…
Intermediate Accounting
Economic Entity Assumption
Monetary Unit Assumption
Periodicity Assumption
Comparability
All economic events can be identified with a particular ident…
Inflation is a violation of this assumption. Common denominat…
Relates to the qualitative characteristics of timeliness. The…
Important for making interfirm comparisons.
Economic Entity Assumption
All economic events can be identified with a particular ident…
Monetary Unit Assumption
Inflation is a violation of this assumption. Common denominat…
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