One purpose of GAAP is to provide _____ between accounting periods.
(A)Relativity
(B)Compression
(C)Contention
(D)Collaboration
(E)Comparability
What are the number of shares Jet should use to calculate Year 1 earnings per share?
(A)40,000 (B)45,000 (C)50,000 (D)54,000
Correct Answer: B
GAAP refers to: Mark one answer:
(A)General accounting assistance program (B)Generally accepted accounting principles (C)Generally acceptable account procedures (D)The theory that accounting and the general public look at financial statements differently
Correct Answer: B
Which one of the following is least likely an advantage associated with a wholly owned foreign subsidiary?
(A)Protection of proprietary information. (B)Ability to coordinate activities of the subsidiary with other activities. (C)Ability to maintain quality control. (D)Minimizes capital investment required.
Correct Answer: D
More CPA Exam Questions
- 1What are the number of shares Jet should use to calculate Year 1 earnings per share?
- 2According to COSO, which of the following components addresses the need to respond in an organized manner to significant changes resulting from international exposure, acquisitions, or executive transitions?
- 3If equipment is used by a corporation in its operations and is sold at a loss, under which section on the statement of cash flows is this reported? Mark one answer:
- 4On July 1, Year 5, Eagle Corp. issued 600 of its 10%, $1,000 bonds at 99 plus accrued interest. The bonds are dated April 1, Year 5 and mature on April 1, Year 15. Interest is payable semiannually on April 1 and October 1. What amount did Eagle receive from the bond issuance?
- 5Which of the following transactions have a negative impact on cash? Mark one answer: