QUESTION 1
A clean audit opinion includes which of the following assertions: (Select as many as apply)
A. Financial statements present fairly the company's financial condition
B. The auditor certifies the financials to be error free
C. The financial statements are management's responsibility
D. Management has handled transactions efficiently in all material respects
E. All of the above
QUESTION 2
A list of assets, liabilities and equity can be found on which of the following?
A. Statement of Assets and Liabilities
B. Income Statement
C. Statement of Cash Flows
D. Balance Sheet
E. Statement of Stockholders' Equity
QUESTION 3
On October 2, 2016 Starbucks Corporation reported, on its Form 10-K, the following (in
millions):
Total assets
Total stockholders' equity
Total current liabilities
$14,329.5
5,890.7
4,546.9
What did Starbucks report as total liabilities on October 2, 2016?
A. $12,516.7 million
B. $6,377.3 million
C. $995.0 million
D. $8,438.8 million
E. None of the above
QUESTION 4
On October 2, 2016, Starbucks Corporation reported, on its Form 10-K, the following (in
millions):
Total expenses
Operating income
Net earnings
2016
$18,497.0
(4,171.9 )
2,818.9
2015
$16,403.4
3,601.0
2,759.3
What amount of revenues did Starbucks report for the year ending October 2, 2016?
Select one:
A. $24,883.4
B. $25,208.8
C. $24,558.0
D. $21,315.9
E. None of the above
QUESTION 5
Procter & Gamble's June 30, 2016, financial statements reported the following (in millions):
Cash, beginning of year
Cash, end of year
Cash from operating activities
Cash from investing activities
$ 6,836
7,102
15,435
(5,575 )
What did Procter & Gamble report for cash from financing activities for the year ended June
30, 2016?
Select one:
A. $(20,961) million
B. $ 7,067 million
C. $20,961 million
D. $ 9,514 million
E. $( 9,594) million
Question 6
The audit report is addressed to:
Select one:
A. The shareholders
B. The board of directors
C. The Securities and Exchange Commission (SEC)
D. The audit committee
E. The board of directors and the shareholders
Question 7:
The Goodyear Tire & Rubber Company's December 31, 2016 financial statements reported
the following (in millions)
Total assets
Total liabilities
Total shareholders' equity
Dividends
Net income (loss)
Retained earnings, December 31, 2015
$16,511
11,786
4,725
82
1,264
$ 4,570
What did Goodyear report for retained earnings at December 31, 2016?
Select one:
A. $5,907 million
B. $5,752 million
C. $5,916 million
D. $5,834 million
E. There is not enough information to determine the answer.
Question 8:
United Airlines' 2016 balance sheet reported the following (in millions)
Total Assets
Total Liabilities
Contributed Capital
$40,091
31,485
3,573
What was United Airlines' total liabilities and stockholders' equity at December 31, 2016?
Select one:
A. $35,058 million
B. $36,518 million
C. $ 8,606 million
D. $40,091 million
E. $27,815 million
Question 9:
A company's net cash flow will equal its net income:
Select one:
A. Only when the company has no investing cash flow for the period
B. Almost always
C. Rarely
D. Only when the company has no investing or financing cash flow for the period
E. Occasionally
Question 10:
In its 2016 annual report, Snap-On Incorporated reported the following (in millions):
Current assets
Total shareholders' equity
Total liabilities
What did Snap-On report as total assets at year-end 2016?
Select one:
$1,884.0
$2,635.2
$2,088.0
A. $3,885.8 million
B. $2,796.2 million
C. $4,723.2 million
D. $3,526.6 million
E. None of the above