4. 1 POINT 2 POINTS 3 POINTS 4 POINTS 5 POINTS Choc. Creme 1 POINT 4 POINTS 3 POINTS 2 POINTS2 POINTS 3 POINTS 2 POINTS 5 POINTS 2 POINTS 3 POINTS 4 POINTS 5 POINTS 4 POINTS 3 POINTS 4 POINTS 5 POINTS GlazedJelly Boston Creme Cruller

5. These are the 4 basic financial statements. 1 POINT

6. What is Income statement, Retained Earnings statement, Balance Sheet And Stmt of Cash Flows

7. This is the section of the cash flows statement where you would find a bond issuance. 2 POINTS

8. What is the financing section?

9. Non cash transactions would be show in this part of the statement of cash flows 3 POINTS

10. It would be on a separate schedule.

11. 4 POINTS This is the section of the cash flows statement where you would find a land sale.

12. What is the investing section

13. This is the section of the cash flows statement where you would find amortization 5 POINTS

14. Operating

15. This is the section of the cash flows statement where you would find a gain on the sale of investments 1 POINT

16. Operating

17. This is the section of the cash flows statement where you would find the cash inflow from a sale of another company’s common stock. 2 POINTS

18. Investing

19. A/R increase – added or subtracted from NI 3 POINTS

20. Subtracted

21. This is the section of the cash flows statement where you would report dividends paid. 4 POINTS

22. Financing

23. Cash dividends payable were $20,000 and $28,000 at the beginning and end of the year, $50,000 in dividends were declared during the year, what is the cash outflow for payment of dividends. 5 POINTS

24. What is 42,000?

25. Increase in wages payable – add or subtract from net income. 1 POINT

26. add

27. Increase in Inventory 2 POINTS

28. subtract

29. Increase in prepaid expenses. 3 POINTS

30. Subtract

31. 4 POINTS Depreciation expense

32. Add

33. Decrease in Cash 5 POINTS

34. Nothing

35. Comparing individual items in financial statements from one year to the next is this type of analysis. 1 POINT

36. Horizontal

37. An analysis where all assets are stated as a component of total assets. 2 POINTS

38. Vertical analysis

39. This analysis is used when comparing different size companies in the same industry. 3 POINTS

40. What is common-size statement analysis?

41. What is the formula for horizontal analysis. 4 POINTS

42. (CY-LY)/LY

43. 5 POINTS This is a short term asset not included in the acid test ratio

44. What is prepaid accounts and inventory?

45. An increase in the collection of A/R will cause the A/R turnover ratio to ? 1 POINT

46. What is increase?

47. A good auditor’s report is called a _____ opinion. 2 POINTS

48. What is clean or unqualified?

49. An auditor’s report where they can’t give an opinion due to the lack of data available is called a ____.. 3 POINTS

50. What is disclaimer?

51. The purpose of an audit is to: 4 POINTS

52. Render an opinion on the fairness of financial statements.

53. This is where management gives their opinion of the financial statements and can be completely biased. 5 POINTS

54. What is MD&A

56. CATEGORY: Cash Flows MAKE YOUR WAGER!

57. ANSWER: Net Income $200,000 Loss on Sale of land $30,000 Amortization $10,000 A/R increase $30,000 Inventory decrease $18,000 A/P decrease $20,000

58. QUESTION $208,000