Chapter 8: XBRL: Intelligent Business Reporting [Multiple Choice Question; Pick one answer]

1. Beginning in 2009, the SEC mandated the use of XBRL for SEC filings for

Selected large publicly held companies

All privately held companies

Selected large privately held companies

All publicly held companies

2. XBRL provides the capability to have a ____ for each amount or fact appearing in a financial report.

Unique identifiers

Quantitative factor

Foreign key

Reference identifier

3. All public companies reporting to the SEC were required by the SEC to file their financial statements with the SEC using XBRL starting in

2009

2010

2011

2012

4. Security Analysts may benefit from using XBRL when they

File financial statements with the SEC

Use EDGAR reports on the SEC site

Process paper versions of financial statements

Access financial statement information more timely

5. In comparing EDGAR to XBRL, the major difference is that:

XBRL is more accurate but less effective than EDGAR

XBRL is more efficient but NOT more accurate than EDGAR

XBRL is machine-readable whereas EDGAR is not machine-readable

On average, companies are filing their 10-Ka less timely with XBRL than EDGAR, even though XBRL filing are more accurate.

6. If security Analysts can have more accurate financial statement data by having access to XBRL financial statements, this situation should mean Security Analysis:

Can continue to use EDGAR financial statements

Can prepare less accurate earnings forecasts for privately traded firms.

Can prepare more accurate earnings forecasts for publicly traded firms.

Can prepare more accurate earnings forecasts for privately held & not publicly traded firms.

7. XBRL is a programming language that is an extension of

Visual basic for applications

eXpandable Maximized Language

eXtensible Markup Language

Common Business-Oriented Programming Language