This quiz works best with JavaScript enabled. Home > Accounting > Intermediate Accounting > Intermediate Accounting – Quiz 13 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Intermediate Accounting Quiz 13 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. What is the measurement of the equity instrument issued to extinguish a financial liability in an equity swap debt restructure? A) Par value of the equity instrument issued. B) Fair value of the financial liability extinguished. C) Fair value of the equity instrument issued. D) Carrying amount of the financial liability extinguished. Show Answer Correct Answer: C) Fair value of the equity instrument issued. 2. Involves cash flow that occur after either expense or revenue recognition.Includes Accrued Liabilities and Accrued Recievables A) Prepayments (Deferrals). B) Accruals. C) Estimates. D) None of above. Show Answer Correct Answer: B) Accruals. 3. Recording Revenue:Only the commission it receives on the transaction A) Agent. B) Principal. Show Answer Correct Answer: A) Agent. 4. Stock Exchange of Thailand's Total Return Index grows ..... the normal SET Index. A) Faster than than. B) Slower than. C) At the same rate as. D) A bond certificate must specify the name of its holder. Show Answer Correct Answer: A) Faster than than. 5. PT DEMI purchased a machine for Rp. 15, 000, 000 on January 1, 20X1. PT DEMI has incurred transportation costs of IDR 1, 300, 000 and spent IDR 2, 500, 000 for machine installation. Then the machine was damaged and cost IDR 600, 000 for repairs. Depreciation is charged at 10% per year. What is the carrying value of the machine in PT DEMI's statement of financial position at 31 December 20X1? A) Rp13.500.000. B) Rp14.670.000. C) Rp16.920.000. D) Rp18.800.000. Show Answer Correct Answer: C) Rp16.920.000. 6. Guidance committee for governmental and non-profit entities. treats accounting a bit different from accrual accounting basics. A) GAAP. B) FASB. C) SEC. D) IASB. E) GASB. Show Answer Correct Answer: E) GASB. 7. The process of raising money through investors and lenders is called ..... ? A) Investing Activities. B) Operating Activities. C) Raising Capital. D) All of the choices. Show Answer Correct Answer: C) Raising Capital. 8. A Company allotted 20, 000 shares to applicants of 50, 000 shares after rejecting 10, 000 applications. The ratio in which company allotted the share will be A) 5:2. B) 5:3. C) 2:1. D) 3:1. Show Answer Correct Answer: C) 2:1. 9. What is the definition of a promissory note/note payable? A) An unconditional promise in writing made by one person, signed by the creator, engaging to pay on demand, or at a fixed or determinable future time, a sum certain in money to order or to bearer. B) A situation whereby the creditor for economic or legal reasons related to the debtor's financial difficulties grants a concession to the debtor that it would not otherwise consider. C) The issuance or granting of an equity interest to the creditor by the debtor to satisfy fully or partially a debt unless the equity interest is granted pursuant to existing terms for converting the debt into an equity interest. D) None of the above. Show Answer Correct Answer: D) None of the above. 10. Deferred gross profit on installment sales is generally treated as a(n): A) Deduction from installment accounts receivable. B) Deduction from installment sales. C) Unearned revenue and classified as a current liability. D) Deduction from gross profit on sales. Show Answer Correct Answer: C) Unearned revenue and classified as a current liability. 11. Long-term debt that will mature within 1 year and will be converted into shares should be reported A) As a current liability. B) In a special section between liabilities and equity. C) As part current and part non-current. D) As non-current if the refinancing agreement is completed by the end of the year. Show Answer Correct Answer: D) As non-current if the refinancing agreement is completed by the end of the year. 12. Received payment of receivables from Mr. X amounting to IDR 200, 000.00. The correct journal for this transaction is..... A) Receivables (D) and Cash (K) IDR 200, 000.00. B) Receivables (D) and Payables (K) IDR 200, 000.00. C) Cash (D) and Receivables (K) IDR 200, 000.00. D) Cash (D) and Debt (K) IDR 200, 000.00. E) Cash (D) and Sales (K) IDR 200, 000.00. Show Answer Correct Answer: C) Cash (D) and Receivables (K) IDR 200, 000.00. 13. What is not a short-term debt is: A) Notes receivable. B) Rental income received in advance. C) Salary debt. D) Tax payable. Show Answer Correct Answer: B) Rental income received in advance. 14. Obligations to suppliers of merchandise or service purchased on account A) Accounts Payable. B) Notes Payable. Show Answer Correct Answer: A) Accounts Payable. 15. One example of liability. A) Stock Dividends unsettled. B) Accounts payable. C) Credit balances in customer accounts. D) PPE. Show Answer Correct Answer: B) Accounts payable. 16. According to PAS 39 as revised by PFRS 9, financial long-term liabilities not fair value through profit or loss are measured initially at A) Present value. B) Current value. C) Amortized cost. D) Market value. Show Answer Correct Answer: A) Present value. 17. Preferred shareholders typically have the right to share in the distribution of dividends before common shareholders. A) True. B) False. Show Answer Correct Answer: A) True. 18. Placed on the face of the financial statements A) Parenthetical comments (modifying comments). B) Disclosure notes. C) Supplemental schedules and tables. D) None of above. Show Answer Correct Answer: A) Parenthetical comments (modifying comments). 19. The depreciation charge calculated using the diminishing balance method reflects: A) An increasing pattern of benefits over the asset's useful life. B) A decreasing pattern of benefits over the asset's useful life. C) A constant pattern of benefits over the asset's useful life. D) A fluctuating pattern of benefits over the asset's useful life. Show Answer Correct Answer: B) A decreasing pattern of benefits over the asset's useful life. 20. Refers to the process of including additional pertinent information in the financial statements and accompanying notes A) Recognition. B) Measurement. C) Disclosure. D) None of above. Show Answer Correct Answer: C) Disclosure. ← PreviousNext →Related QuizzesAccounting QuizzesIntermediate Accounting Quiz 1Intermediate Accounting Quiz 2Intermediate Accounting Quiz 3Intermediate Accounting Quiz 4Intermediate Accounting Quiz 5Intermediate Accounting Quiz 6Intermediate Accounting Quiz 7Intermediate Accounting Quiz 8Intermediate Accounting Quiz 9 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books