Financial Accounting, 8e Harrison/Horngren/Thomas/Suwardy Test Item File Chapter 1: The Financial Statements 1.1-1 Bookkeeping is a type of accounting used primarily by proprietorships. Answer: False LO: 1-1 Difficulty: 1 AACSB: Analytical skills AICPA Functional Competencies: Measurement AICPA Business Perspective Competencies: Strategic/Critical Thinking 1.1-2 Bookkeeping is the mechanical part of accounting. Answer: True LO: 1-1 Difficulty: 1 AACSB: Analytical skills AICPA Functional Competencies: Measurement AICPA Business Perspective Competencies: Strategic/Critical Thinking 1.1-3 The major forms of business organizations are proprietorships, partnerships, and for-profit organizations. Answer: False LO: 1-1 Difficulty: 2 AACSB: Analytical skills AICPA Functional Competencies: Measurement AICPA Business Perspective Competencies: Industry Sector 1.1-4 Limited Liability Partnerships (LLPs) have at least one general partner with unlimited liability for all partnership debts. Answer: True LO: 1-1 Difficulty: 1 AACSB: Analytical Skills AICPA Functional Competencies: Measurement AICPA Business Perspective Compe