Fbla Accounting Ii Exam

sole proprietorship {Ans: A non-corporation business owned by a sole individual}Which one of the following items would be included in a cash budget? {Ans: A.dividends}income statement {Ans: A financial statement that summarizes the revenues, expenses, and results of operations for a specified period of time}International Accounting Standards Board {Ans: An organization charged with producing accounting standards with global acceptance}. The journal entry to record the return of merchandise sold on account is: {Ans: B.debit Sales Returns & Allowances; credit Accounts Receivable}accounting equation {Ans: A financial relationship at the heart of the accounting model: Assets = Liabilities + Owners' Equity}revenue {Ans: Inflows and other benefits received in exchange for the providing of goods and services}What is the cost of raw materials used if Raw Materials Purchases is $800,000; beginning Raw Materials Inventory is $100,000; and, ending Raw Materials inventory is $150,000. {Ans: C.$750,000}financial accounting {Ans: An area of accounting that deals with external reporting to parties outside the firm; usually based on standardized rules and procedures}What effect would a two for one stock split have? {Ans: C.The stock price will drop by half and the number of shares of stock outstanding