ACCT 304 Week 8 Final Exam: Financial Reporting And Income Analysis
Final exam covering financial reporting and income analysis.
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ACCT 304 Week 8 Final Exam: Financial Reporting And Income Analysis
ACCT 304 WEEK 8 FINAL EXAM
1. Income from continuing operations sometimes includes gains from nonoperating activities. (2
points)
True
False
2. Income from continuing operations is an after-tax number consisting of revenues, expenses,
gains, and losses. (2 points)
True
False
3. Income from continuing operations equals net income only in the absence of separately
reported items. (2 points)
True
False
4. Intraperiod tax allocation is the process of associating income tax effects with the income
statement components that create those effects. (2 points)
True
False
5. If the effective tax rate is 40%, a $200,000 before-tax extraordinary gain would increase net
income by $120,000. (2 points)
True
False
6. If General Motors ceased production of the Corvette, it would report any material gains or
losses that would result under discontinued operations. (2 points)
True
False
7. Discontinued operations require reclassification of prior years' income statements but no
change in prior years' net income. (2 points)
True
False
8. Operating income or loss from discontinued operations up to the disposal date is separately
reported. (2 points)
True
False
9. The measurement and disposal dates of discontinued operations must fall within the same
fiscal year. (2 points)
True
False
10. If an overall loss from discontinued operations is expected, then the loss is reported in the
year in which the measurement date falls. (2 points)
ACCT 304 WEEK 8 FINAL EXAM
1. Income from continuing operations sometimes includes gains from nonoperating activities. (2
points)
True
False
2. Income from continuing operations is an after-tax number consisting of revenues, expenses,
gains, and losses. (2 points)
True
False
3. Income from continuing operations equals net income only in the absence of separately
reported items. (2 points)
True
False
4. Intraperiod tax allocation is the process of associating income tax effects with the income
statement components that create those effects. (2 points)
True
False
5. If the effective tax rate is 40%, a $200,000 before-tax extraordinary gain would increase net
income by $120,000. (2 points)
True
False
6. If General Motors ceased production of the Corvette, it would report any material gains or
losses that would result under discontinued operations. (2 points)
True
False
7. Discontinued operations require reclassification of prior years' income statements but no
change in prior years' net income. (2 points)
True
False
8. Operating income or loss from discontinued operations up to the disposal date is separately
reported. (2 points)
True
False
9. The measurement and disposal dates of discontinued operations must fall within the same
fiscal year. (2 points)
True
False
10. If an overall loss from discontinued operations is expected, then the loss is reported in the
year in which the measurement date falls. (2 points)
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Document Details
University
DeVry University
Subject
Accounting