FIN 200 All QUIZZES FINAL TEST

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Description

WEEK2 QUIZ

The partnership form of an organization

A.

has unlimited life.

B.

avoids the double taxation of earnings and dividends found in the corporate form of organization.

C.

usually provides limited liability to the partners.

D.

simplifies decision making.

2)The Sarbanes-Oxley Act was passed in an effort to

A.

guarantee outside auditors can control corporate accounting practices.

C.

ensure that partnerships divide profits among partners in a fair manner.

D.

control corrupt corporate behavior.

The primary disadvantage of accrual accounting is that

A.

it does not recognize accounts receivable.

B.

it does not match revenues and expenses in the period in which they are incurred.

D.

it does not adequately show the actual cash flow position of the firm.

...

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