Test Bank for Financial and Managerial Accounting 8th Edition By Wild

Test Bank for Financial and Managerial Accounting 8th Edition By Wild

Financial and Managerial Accounting, 8e (Wild)

Table of Contents

Chapter 1: Accounting in Business
Chapter 2: Analyzing for Business Transactions
Chapter 3: Adjusting Accounts for Financial Statements
Chapter 4: Accounting for Merchandising Operations
Chapter 5: Inventories and Cost of Sales
Chapter 6: Cash and Internal Controls
Chapter 7: Accounting for Receivables
Chapter 8: Accounting for Long-term Assets
Chapter 9: Accounting for Current Liabilities
Chapter 10: Accounting for Long-Term Liabilities
Chapter 11: Corporate Reporting and Analysis
Chapter 12: Reporting Cash Flows
Chapter 13: Analysis of Financial Statements
Chapter 14: Managerial Accounting Concepts and Principles
Chapter 15: Job Order Costing and Analysis
Chapter 16: Process Costing and Analysis
Chapter 17: Activity-Based Costing and Analysis
Chapter 18: Cost Behavior and Cost-Volume-Profit Analysis
Chapter 19: Variable Costing and Analysis
Chapter 20: Master Budgets and Performance Planning
Chapter 21: Flexible Budgets and Standard Costs
Chapter 22: Performance Measurement and Responsibility Accounting
Chapter 23: Relevant Costing for Managerial Decisions
Chapter 24: Capital Budgeting and Investment Analysis
Appendix A: Financial Statement Information A-1
Appendix B: Time Value of Money B
Appendix C: Investments and International Operations C
Appendix D: Accounting for Partnerships D
Appendix E: Reporting and Preparing Special Journals E

Appendix B  Time Value of Money

 1) Interest is the borrower’s payment to the owner of an asset, for its use.

Answer:  TRUE

Difficulty: 1 Easy

Topic:  Present and Future Value Concepts

Learning Objective:  B-C1 Describe the earning of interest and the concepts of present and future values.

Bloom’s:  Remember

AACSB/Accessibility:  Communication / Keyboard Navigation

AICPA:  BB Industry; FN Measurement

2) From the perspective of an account holder, a savings account is a liability with interest.

Answer:  FALSE

Difficulty: 1 Easy

Topic:  Present and Future Value Concepts

Learning Objective:  B-C1 Describe the earning of interest and the concepts of present and future values.

Bloom’s:  Remember

AACSB/Accessibility:  Communication / Keyboard Navigation

AICPA:  BB Industry; FN Measurement

3) An interest rate is also called a discount rate.

Answer:  TRUE

Difficulty: 1 Easy

Topic:  Present Value of a Single Amount

Learning Objective:  B-P1 Apply present value concepts to a single amount by using interest tables.

Bloom’s:  Remember

AACSB/Accessibility:  Communication / Keyboard Navigation

AICPA:  BB Industry; FN Measurement

4) Present and future value computations enable companies to measure or estimate the interest component of holding assets or liabilities over time.

Answer:  TRUE

Difficulty: 2 Medium

Topic:  Present and Future Value Concepts

Learning Objective:  B-C1 Describe the earning of interest and the concepts of present and future values.

Bloom’s:  Understand

AACSB/Accessibility:  Communication / Keyboard Navigation

AICPA:  BB Industry; FN Measurement

5) The number of periods in a present value calculation may only be expressed in years.

Answer:  FALSE

Difficulty: 1 Easy

Topic:  Present Value of a Single Amount

Learning Objective:  B-P1 Apply present value concepts to a single amount by using interest tables.

Bloom’s:  Remember

AACSB/Accessibility:  Communication / Keyboard Navigation

AICPA:  BB Industry; FN Measurement

Present Value of 1