1. The entry to record the equal distribution of net income between two partners consists of a debit to:

1.The entry to record the equal distribution of net income between two partners consists of a debit to:

A.Income Summary and a credit to each partner’s capital account.

B.Each  partner’s capital account and a credit to Cash

C.Income Summary and a credit to each partner’s drawing account.

D.Each partner’s capital account and a credit to Income Summary.

2.A corporation has 2,000 shares of 10 percent, $50 par-valued preferred (nonparticipating and noncumulative) stock and 20,000 shares of $5 par-value common stock outstanding. If the board of the directors decides to distribute dividends totaling $ 150,000, the common stockholders will receive a dividend of ____ a share.

A.7.00   

B.$7.50

C.$8.00

D.$10.00

3.The entry to record the issuance of bonds at face value includes a:

A.Credit to Bond Interest Payable

B.Credit to Bond Payable

C.Debit to Bond Interest Expense

D.Debit to Bond Interest Payable

4.In a vertical analysis of data, the cost of goods sold most likely would be expressed as a percentage of:

A.Net sales

B.Net income

C.Gross profit of sales

D.Total expenses

5.An example of an investing activity on the statement of cash flow is the: 

A.Issue of preferred stock

B.Resale of treasury stock

C.Issue of bonds and notes payable

D.Purchase property, plant or equipment for cash

6.Managerial accounting is generally utilized to provide financial information about all of the following EXCEPT:

A.Business segments

B.Corporate headquarters

C.Products

D.Activities

7.A firm purchased 50 units of materials with a unit price of $1.30 on June 1. On June 15, the firm purchased 50 units with a unit price of $1.20. If the firm uses the LIFO method of inventory pricing, the total cost of 65 units issued June 20 would be:

A.$83.00

B.$79.50    

C.78.00

D.$84.50

8.A firm had a beginning work in process inventory totaling $4, 000 and current period costs of $22,500. Equivalent production was 5,000 units and 3,000 units were completed and transferred to the finished goods inventory. Inventory costs would be determined using a unit cost of:

A.$8.83

B.$5.30    

C.$4.50

D.$7.50

9.Deducting the total variable cost from the total cost results in the:

A. overhead

B. fixed cost

C.  Manufacturing cost

D. semivariable cost

10.Which of the following is not relevant in decision making?

A.Opportunity Costs

B.Differential costs

C.Sunk costs

D.Variable Costs