Peregrine Exam Questions With 100% Correct Answers 2023, Exams of Advanced Education

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Peregrine Exam Questions With 100%

Correct Answers 2023

What is a general ledger? - Correct answer-A general ledger account is an account or record used to sort, store and summarize a company's transactions. asset accounts such as Cash, Accounts Receivable, Inventory, Investments, Land, and Equipment liability accounts including Notes Payable, Accounts Payable, Accrued Expenses Payable, and Customer Deposits stockholders' equity accounts such as Common Stock, Retained Earnings, Treasury Stock, and Accumulated Other Comprehensive Income What is the difference between accounts payable and accounts receivable? - Correct answer-Accounts payable is a current liability account in which a company records the amounts it owes to suppliers or vendors for goods or services that it received on credit. Accounts receivable is a current asset account in which a company records the amounts it has a right to collect from customers who received goods or services on credit. What is the cost of goods sold? - Correct answer-The cost of goods sold is the cost of the products that a retailer, distributor, or manufacturer has sold. What is owner's equity? - Correct answer-Owner's equity is one of the three main sections of a sole proprietorship's balance sheet and one of the components of the accounting equation: Assets = Liabilities + Owner's Equity. What is principles of accounting? - Correct answer-Principles of accounting can also refer to the basic or fundamental accounting principles: cost principles, matching principles, full disclosure principles, materiality principles, going concern principles, economic entity principles, and so on. In this context, principles of accounting refers to the broad underlying concepts which guide accountants when preparing financial statements. What is equity? - Correct answer-Equity can indicate an ownership interest in a business, such as stockholders' equity or owner's equity. Equity can mean an owner's interest in a personal asset. For example, the owner of a $200,000 house that has a mortgage loan of $75,000 is said to have $125,000 of equity in the house.

What is meant by reconciling an account? - Correct answer-Reconciling an account is likely to mean proving or documenting that an account balance is correct. What is included in cash and cash equivalents? - Correct answer-In accounting, a company's cash includes the following: currency and coins checks received from customers but not yet deposited checking accounts petty cash Cash equivalents are short-term, highly liquid investments with a maturity date that was 3 months or less at the time of purchase. money market accounts U.S. Treasury Bills commercial paper What is the difference between an implicit cost and an explicit cost? - Correct answer- An implicit cost is present but it is not initially shown or reported as a separate cost. An explicit cost is a cost that is present and it is clearly shown or reported as a separate cost. What is the difference between stocks and bonds? - Correct answer-Stocks, or shares of capital stock, represent an ownership interest in a corporation. Every corporation has common stock. Bonds are a form of long-term debt in which the issuing corporation promises to pay the principal amount at a specified maturity date. AN INCREASE TO WHICH OF THE FOLLOWING ACCOUNTS WILL INCREASE OWNERS' EQUITY? - Correct answer-Client Fees IN TIMES OF RISING PRICES, THE INVENTORY COST METHOD THAT WILL YIELD THE LOWEST NET INCOME IS: - Correct answer-LIFO (LIFO is the acronym for last- in, first-out, which is a cost flow assumption often used by U.S. corporations in moving costs from inventory to the cost of goods sold. Example: Assume that a corporation uses LIFO and has three units of a product in its inventory. Due to its supplier raising its prices, the corporation purchased the items at different costs and in the following sequence: $40, $44, and $46. The corporation ships the oldest item (the one purchased for $40) to a customer at a selling price of $60. However, under the LIFO cost flow assumption the company reports its cost of goods sold at $46 (the latest cost) and reports a gross profit of $14. (The costs of $40 and $ remain in inventory.) When a business erroneously records expenses as assets, it has violated the measurement issue of - Correct answer-classification

A dividend will reduce which of the following accounts? - Correct answer-Retained Earnings Lying by omission involves intentionally - Correct answer-withholding material facts. Conflicts of interest exist when employees must choose whether to - Correct answer- advance their own interests, those of the organization, or those of some other group. Which of the following statements is CORRECT? - Correct answer-Free cash flow (FCF) is, essentially, the cash flow that is available for interest and dividends after the company has made the investments in current and fixed assets that are necessary to sustain ongoing operations. A corporate bond currently yields 8.3%. Municipal bonds with the same risk, maturity, and liquidity currently yield 5.5%. At what tax rate would investors be indifferent between the two bonds? - Correct answer-33.73% When the costs of supplies increase in an industry, the low-cost leader - Correct answer-be the only firm able to pay the higher prices and continue to earn average or above- average returns. TQM is most helpful to firms following the ____ business strategy. - Correct answer- integrated cost-leadership differentiation All of the following are considered extrinsic motivators in Herzberg's two-factor theory EXCEPT: - Correct answer-Work itself Which of the following is NOT one of the process motivation theories? - Correct answer- Acquired needs theory An individual who purchases a computer later decides to acquire a new motherboard. In terms of computing GDP, this new motherboard would be a(n) - Correct answer-Final good The largest component of GDP is - Correct answer-consumption In economics, firms are assumed to - Correct answer-Maximize profits Holding everything else equal, total revenue increases - Correct answer-when either price or quantity increase Government tactics that include removing incentives, demanding a higher share of profits and taxes, and confiscating foreign assets are known as: - Correct answer- Expropriation

"People of the same trade seldom meet together, even for merriment and diversion, but their conversation often ends in conspiracy against the public." This quote from Adam Smith is referring to which of the following business relationship terms: - Correct answer-Collusion ____ is a collection of facts organized so that they have additional value beyond the value of the facts themselves. - Correct answer-Information ____ is the simulation of a real or imagined environment that can be experienced visually in three dimensions. - Correct answer-Virtual reality The Federal Highway Administration uses notice-and-comment rulemaking. This process begins with - Correct answer-the publication of a notice of proposed rulemaking. Kip opens an account at a Lotsa Goodies Store, and buys a digital music player and other items, but makes no payments on the account. To collect the debt, Mako, the manager, contacts Kip's parents. This violates - Correct answer-No federal law The process of setting major organization objectives and developing plans to achieve them is called: - Correct answer-Strategic planning One way human resource planning links to strategic planning is by providing a set of inputs into the: - Correct answer-strategy formulation process In the SERVQUAL instrument for measuring service quality, the concept of assurance is associated with - Correct answer-The ability to convey trust and confidence Which of the following is not one of W. Edwards Deming's 14 points? - Correct answer- The only performance standard is Zero Defects A leading force currently driving change at work is: - Correct answer-Global competition A questioning, probing attitude is at the core of: - Correct answer-critical thinking Which of the following IS NOT a purpose of a marketing plan? - Correct answer-It explains how marketing activities mesh with other functional areas In the context of marketing planning, why is it vital that the marketing plan be capable of selling itself to top management? - Correct answer-Because top managers must decide whether the marketing plan is the best use for the organization's scarce resources Sensitivity analysis considers - Correct answer-changes in the values of the payoffs. A population characteristic, such as a population mean, is called - Correct answer-A parameter

OPERATING STATEMENT IS ANOTHER NAME FOR WHICH OF THE FOLLOWING?

• Correct answer-Income Statement AN INCREASE TO WHICH OF THE FOLLOWING ACCOUNTS WILL INCREASE OWNERS' EQUITY? - Correct answer-Client Fees PURCHASES RETURNS AND ALLOWANCES AND PURCHASE DISCOUNTS ARE CLASSIFIED AS WHICH OF THE FOLLOWING ON THE INCOME STATEMENT? - Correct answer-CONTRA-COST ACCOUNTS THE LAST STEP IN PREPARING A WORKSHEET IS WHICH OF THE FOLLOWING?
• Correct answer-TOTAL THE INCOME STATEMENT AND BALANCE SHEET ITEMS TO COMPUTE NET INCOME (LOSS) Mission Statement vs Vision - Correct answer-A MISSION STATEMENT DEFINES THE COMPANY'S BUSINESS, ITS OBJECTIVES AND ITS APPROACH TO REACH THOSE OBJECTIVES. A VISION STATEMENT DESCRIBES THE DESIRED FUTURE POSITION OF THE COMPANY. ELEMENTS OF MISSION AND VISION STATEMENTS ARE OFTEN COMBINED TO PROVIDE A STATEMENT OF THE COMPANY'S PURPOSES, GOALS AND VALUES. HOWEVER, SOMETIMES THE TWO TERMS ARE USED INTERCHANGEABLY. Corporation Structure - Correct answer-A BOARD OF DIRECTORS; OFFICERS; EMPLOYEES; SHAREHOLDERS/OWNERS AN INTERNAL CONFIGURATION OF THE FUNCTIONAL AREAS OF A BUSINESS CORPORATE GOVERNANCE - Correct answer-IT ESSENTIALLY INVOLVES BALANCING THE INTERESTS OF A COMPANY'S MANY STAKEHOLDERS, SUCH AS SHAREHOLDERS, MANAGEMENT, CUSTOMERS, SUPPLIERS, FINANCIERS, GOVERNMENT AND THE COMMUNITY IT ENCOMPASSES PRACTICALLY EVERY SPHERE OF MANAGEMENT, FROM ACTION PLANS AND INTERNAL CONTROLS TO PERFORMANCE MEASUREMENT AND CORPORATE DISCLOSURE. GDP Calculation - Correct answer-THE FORMULA FOR GDP IS: GDP = C + I + G + (EX -IM), WHERE "C" EQUALS SPENDING BY CONSUMERS, "I" EQUALS INVESTMENT BY BUSINESSES, "G" EQUALS GOVERNMENT SPENDING AND "(EX -IM)" EQUALS NET EXPORTS, THAT IS, THE VALUE OF EXPORTSMINUSIMPORTS. GROSS DOMESTIC PRODUCT (GDP) - Correct answer-IS ONE OF THE PRIMARY INDICATORS USED TO GAUGE THE HEALTH OF A COUNTRY'S ECONOMY. IT REPRESENTS THE TOTAL DOLLAR VALUE OF ALL GOODS AND SERVICES

PRODUCED OVER A SPECIFIC TIME PERIOD, OFTEN REFERRED TO AS THE

SIZE OF THE ECONOMY

ANALYSIS: GDP GROWTH RATE IS THE GROWTH IN GDP FROM QUARTER TO

QUARTER.GDP PER CAPITA MEASURES GDP PER PERSON AND IS A GREAT

WAY TO COMPARE GDP DATA BETWEEN VARIOUS COUNTRIES.

Inflation - Correct answer-IS DEFINED AS A SUSTAINED INCREASE IN THE GENERAL LEVEL OF PRICES FOR GOODS AND SERVICES IN A COUNTY, AND IS MEASURED AS AN ANNUAL PERCENTAGE CHANGE. UNDER CONDITIONS OF INFLATION, THE PRICES OF THINGS RISE OVER TIME. Recession - Correct answer-IS A SIGNIFICANT DECLINE IN ECONOMIC ACTIVITY THAT GOES ON FOR MORE THAN A FEW MONTHS. IT IS VISIBLE IN INDUSTRIAL PRODUCTION, EMPLOYMENT, REAL INCOME AND WHOLESALE-RETAIL TRADE. International Trade - Correct answer-IS THE EXCHANGE OF CAPITAL, GOODS, AND SERVICES ACROSS INTERNATIONAL BORDERS OR TERRITORIES. IN MOST COUNTRIES, SUCH TRADE REPRESENTS A SIGNIFICANT SHARE OF GROSS DOMESTIC PRODUCT (GDP). MICROECONOMIC TRENDS - Correct answer-ARE PATTERNS OF MOVEMENTS OR CHANGES IN ECONOMIC FACTORS SUCH AS CONSUMER, HOUSEHOLD, OR FIRMS' INCOME, SAVINGS, DEBT, AND EXPENDITURE. MICROECONOMIC ANALYSIS - Correct answer-ATTEMPTS TO EXPLAIN THE BEHAVIOR OF INDIVIDUALS AND ORGANIZATIONS IN A GIVEN ECONOMY. FUNCTIONS THROUGH MODELING AND BY EMPHASIZING INTERESTS. Accounting Profit - Correct answer-IS THE MONETARY COSTS A FIRM PAYS OUT AND THE REVENUE A FIRM RECEIVES. TOTAL MONETARY - REVENUE TOTAL COSTS. Economic Profit - Correct answer-IS THE MONETARY COSTS AND OPPORTUNITY COSTS A FIRM PAYS AND THE REVENUE A FIRM RECEIVES. TOTAL REVENUE-(EXPLICIT COSTS + IMPLICIT COSTS). LAW OF SUPPLY - Correct answer-THAT THE QUANTITY OF A GOOD SUPPLIED (I.E., THE AMOUNT OWNERS OR PRODUCERS OFFER FOR SALE) RISES AS THE MARKET PRICE RISES, AND FALLS AS THE PRICE FALLS. Law of Demand - Correct answer-SAYS THAT THE QUANTITY OF A GOOD DEMANDED FALLS AS THE PRICE RISES, AND VICE VERSA.

Government tactics that include removing incentives - Correct answer-advance their own interests, those of the organization, or those of some other group. A suit for negligence must prove four elements: duty of care, breach of duty, proximate cause and - Correct answer-Actual harm Financial Regulation - Correct answer-is a form of regulation or supervision, which subjects financial institutions to certain requirements, restrictions and guidelines, aiming to maintain the integrity of the financial system. This may be handled by either a government or non-government organization. THE FTC'S BUREAU OF CONSUMER PROTECTION - Correct answer-STOPS UNFAIR, DECEPTIVE AND FRAUDULENT BUSINESS PRACTICES BY COLLECTING COMPLAINTS AND CONDUCTING INVESTIGATIONS, SUING COMPANIES AND PEOPLE THAT BREAK THE LAW, DEVELOPING RULES TO MAINTAIN A FAIR MARKETPLACE, AND EDUCATING CONSUMERS AND BUSINESSES ABOUT THEIR RIGHTS AND RESPONSIBILITIES. 6 BASIC RIGHTS OF CONSUMERS - Correct answer-right to safety, right to be informed, right to choose, right to be heard, right to consumer education, right to courteous service Corporate culture is shown - Correct answer-(1) the ways the organization conducts its business, treats its employees, customers, and the wider community, (2) the extent to which freedom is allowed in decision making, developing new ideas, and personal expression, (3) how power and information flow through its hierarchy, and (4) how committed employees are towards collective objectives. It affects the organization's productivity and performance, and provides guidelines on customer care and service, product quality and safety, attendance and punctuality, and concern for the environment. Source 5 Functions of HRM - Correct answer-1. Recruitment and Selection 2. Orientation 3. Maintaining good working conditions 4. Managing employee relations 5. Training and Development Individual and Group Dynamics - Correct answer-Interaction of complex intra- and inter- personal forces operating in a group which determine its character, development, and long-term survival. Field of study concerned with determination of laws underlying group behavior. Population Sampling - Correct answer-is the process of taking a subset of subjects that is representative of the entire population. The sample must have sufficient size to warrant statistical analysis.

TYPE I ERROR - Correct answer-IS THE REJECTION OF A TRUE NULL HYPOTHESIS (ALSO KNOWN AS A "FALSE POSITIVE" FINDING) TYPE II ERROR - Correct answer-IS FAILING TO REJECT A FALSE NULL HYPOTHESIS (ALSO KNOWN AS A "FALSE NEGATIVE" FINDING)