Page 63 - Accounting Principles (A Business Perspective)

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Using the Internet—A view of the real world
Visit the following website for Nokia:
http://www.nokia.com

Write a short paper describing company information, products and services, and support available for their
products.
Visit the following website for Ford Motor Company:
http://www.ford.com
When the web page appears, search for Investor Information and then locate the Ford Motor Company Annual
Report. Based on your investigation, write a short paper describing the general content of the annual report.

Answers to self-test
True-False
False. Corporation, not trust, is the third form.
True. The accounting for all three of these is covered in this text.
False. The income statement is dated using a period of time, such as “For the Year Ended 2010 December

31”.
True. In addition, the statement of retained earnings shows dividends declared.
True. Both show assets, liabilities, and stockholders’ equity.
Multiple-choice
d. The ending balance in retained earnings is shown in both the statement of retained earnings and in the

balance sheet.
d. This form of the equation would not balance.
b. The inflation accounting concept was not one of the ones discussed. The other two were the money
measurement concept and the periodicity concept.
c. When the stockholders invest cash, assets and stockholders’ equity increase.
c. The performance of services on account increases both accounts receivable and retained earnings.

Accounting Principles: A Business Perspective 64 A Global Text