Which Of The Following Accounts Impact Equity? (Check All That Apply .

Which of the following would be included on a statement of owner's equity? (Check all that apply.) Your answer is correct.nnTotal revenuesCapital balance at end of periodTotal assetsCapital balance at beginning of periodTotal liabilitieslfllflnNet income (loss)Owner withdrawa l'sOwner investmentsChallenge Read about this

Which of the following accounts has a normal debit balance? (Check all that apply.) Your answer Is correct. Read about thislfl cas hAccounts payablel f l Buildingsl f l Accounts receivableUnearned revenuel f l SuppliesChallenge

The correct answer is shown.Since expenses are the costs of doing business and cause equity to oecreasP (increase/decrease),expenses are increased on the lef (right/left) side of their T-account. Your answer is correct.Challenge Read about this

Jeff, the owner of a business, invests an additional 100 into his business from his personalchecking account. How would this affect the equity of his business? Your answer Is correct.Owner, Capital would be increased and total equity would also increase.Owner, Capital would be decreased and equity would be decreased.Owner, Capital would be increased and total equity would decrease.Owner, Capital would be decreased and total equity would increase.Challenge Read about this

When entering transactions into accounts, the rules of double-entry accounting must be followed.These rules include: (Check all that apply.) Your answer is correct.a Read about thisthe total amount debited must equal the total amount credited.The total number of accounts debited must equal the total number of accounts credited.The accounting equation must remain in balance.There must be at least one credit and one debit.Challenge]

The correct answer is shown.When financial statements are prepared, unexpired prepaid accounts are recorded as assets(expenses/assets/liabilities) and the expired portion of the prepaid account is reported as a(n)expense (expense/asset/liability).'-'Your answer is correct.Challenge Read about this

The correct answer is shown.The Notes payable account is a(n) ·ability (asseVliability/expense) account and is increased on therignL (left/right) side of the T-account. Your answer is correct.Challenge Read about this

Which of the following statements best explains the posting reference in a journal and a ledger? Your answer is correct. Read about thisThe posting reference is entered when journalizing a transaction, so there is no need for it in theledger.The posting reference creates a link between the journal and the ledger.The posting reference depicts the initials of the person journalizing and posting.A posting reference includes a detailed explanation of the transaction.Challenge

Which of the following statements is accurate regarding the Building account? Your answer is correct. Read about thisA Building asset account is used to record the costs of purchasing a store, office, warehouse orfactory.Building costs are treated as expenses in the period they are incurred and reported on theincome statement.A Building expense account is used to record the costs of purchasing a store, office, warehouseor factory.A Building account is increased on the right side of a T-account because it is an asset.Challenge

The balance sheet reports: Your answer is correct.aassets, liabilities and the ending capital balancethe revenues less the expenses incurred by a businesshow cash was received and spent during a periodhow equity changed over a period of timeChallenge Read about this)

Which of the following financial statements reports the financial position of a business at a point intime? Your answer Is correct.a Read about thisIncome statementBalance sheetStatement of cash flowsStatement of owner's equityChallenge)

Analyzing the accounting equation at the end of the month will reveal the following. Select all thatapply. ,,Your answer is correct.aassets liabilities equityassets and liabilities will be reported on the income statementrevenues and expenses will change the equity accountincreases and decreases in cash will be reported on the balance sheetChallenge Read about this]

Describe where dollar signs are appropriate in financial statements. Your answer is correct.a Read about thisDollar signs are used besides every number in a column.Dollar signs are used beside the first and last numbers in a column.Dollar signs are not used in financial statements.Challenge)

Which of the following lists of items contain only examples of prepaid (expense) accounts? Your answer is correct. Read about thisPrepaid rent, prepaid landaPrepaid insurance, unearned revenue, prepaid accounts payablePrepaid rent, prepaid insurancePrepaid insurance, prepaid accounts receivable, prepaid landChallenge]

Which of the following is the best definition of a source document in the accounting process? Your answer is correct. Read about thisA source document identifies and describes transactions and is the basis for the accountinginformation which is entered in an accounting system.A source document shows all the information about the legal rights a company has in relation towhen it should pay a bill.A source document is used to determine who hired an employee that is assigned the duty ofentering transactions into the accounting process.Challenge

Which of the statements below is true regarding the statement of owner's equity? Your answer is correct.Total expenses are reported on the statement.aEnding total assets is reported on the statement.Both the beginning and ending Capital balances are reported on the statement.Only the beginning Capital balance is reported on the statement.Only the ending Capital balance is reported on the statement.Challenge Read about this

Identify which of the following formulas correctly defines how to calculate the debt ratio. Your answer is correct. Read about thisTotal liabllitiesjTotal equityTotal assets/Total liabilitiesaTotal assets/Net incomeTotal liabilities/Total assetsChallenge)

The accounting process serves which of the following purposes in a business? (Check all that apply.) Your answer is correct.aaaaIdentifies business transactionsPresents information in business reportsSummarizes business transactionsAnalyzes and records business activitiesIdentifies employees to be firedDetermines management's responsibilitiesCballengeMRead about this

Given the following information for Jackson's Boots, calculate its Debt Ratio for the current year. in Thousands 20X2 250Total assetsTotal liabilities 100Total equity 150'-'Your answer is correct. Read about thislfl ·4 o2.50.66Challenge--J

Review each of the following statements to determine which iscorrect regarding the importance ofassessing a company's risk of paying debt. (Check all that apply.) Your answer is correct. Read about thisA company that finances their assets by borrowing will need to make enough money to pay off thdebt.Assessing a company's risk of paying off debt is not required when the company is highlyleveraged.A company's required debt payments may be greater than its ability to generate money to makethose payments.Challenge

Which of the following financial statements report(s) the financial position of a business over a periodof time? (Check all that apply.) Your answer is correct.aaa Read about thisStatement of cash flows)Statement of owner's equity)Balance sheetIncome statementChallenge)

Which of the following statements explains the difference between a Balance column account and aT-account? Your answer is correct. Read about thisT-accounts show both the debit and credit side of a transaction, while t he Balance columnaccounts show only the debit or the credit to t he account.Balance column accounts are a less formal way of recording a transaction, while T-accounts areused in actual business practice.T-accounts are a simple way to visualize t he effect of a tra nsaction; however, Balance columnaccounts are used in actual accounting systems.Balance column accounts ref lect year-end balances, but T-accounts reflect the current balance atany point in time.Challenge

An annual insurance policy is paid in advance by a company. How will the company treat this initialpayment and the subsequent expiration of a portion of the policy over time? (Check all that apply.) Your answer is correct. Read about thisOver time, the expired portion of the policy must be removed from the asset account as it hasThis prepayment of the policy will initially be treated as an expense and over time, the expiredportion will be treated as an asset.As a portion of the policy expires, the expired portion will be removed and transferred to anexpense account.Challenge

Which of the following statements is correct about prepaid expenses? Your answer is correct. Read about thisPrepaid expenses are another name for accounts receivable and are reported as an asset.aPrepaid expenses are also called prepaid liabilities and are classified as liabilities.Prepaid expenses are also called prepaid accounts and are considered assets.Prepaid expenses are current expense accounts and are reported on the income statement.Challenge]

Which of the following would be considered a source document in an accounting system? (Check allthat apply.) Your answer is correct. Read about this]Challenge

True or false: The differences between U.S. GAAP and IFRS will increase over time as they worktowards a common conceptual framework. Your answer is correct.l f l FalseTrueChallenge Read about this]

True or false: The revenue recognition principle states that revenue should be recorded in the periodin which it is earned which may or may not be the period in which payment was actually received. Your answer is correct. Read about thislfl True )FalseChallenge

Name the accounting document or report that is completed just prior to preparing financialstatements and assists in preparing the financial statements. Your answer is correct. Read about thisT-accountGeneral ledgeraGeneral journalTrial balanceChallenge]

Which of the following statements is (are) correct regarding unearned revenues? (Check all thatapply.) Your answer is correct. Read about thisUnearned revenues refer to assets which have yet to be billed to customers for servicesperformed by the business.Unearned revenues are amounts owed by customers for services performed.Unearned revenues refer to a liability that is settled when a company delivers a product orperforms a service.Unearned revenue is a liability account which is set up when a customer pays in advance for aproduct or service.Challenge

In defining an accounting period, which of the following statements is (are) correct? (Check all thatapply.) Your answer is correct.An accounting period can be one month, one quarter or one year.An accounting period refers to each day in the calendar year.An accounting period is used to determine the due date of payables.aA one-year reporting period is known as the fiscal year.An accounting period is determined by the business.Challenge Read about this

Which of the following statements is (are) correct regarding the Balance column in a ledger (orBalance column account)? (Check all that apply.) Your answer is correct.l!!JRead about thisIt is not necessary to calculate the new balance of the account until the end of the period before financial statements are prepared.Immediately after posting a transaction, the balance of the account is written in the Balancecolumn.The amount of the debit or credit to the aocou nt is also entered in the Balance column of theledger.lfi A zero balance for an account is usually shown by writing zeros or a dash in the balance column.Challenge

J. Jackson invested 1,000 in his business. Show how to use T-accounts to record this transaction byselecting the correct answer below. Your answer Is correct. Read about thisCredit Cash; debit Owner, Capital.Debit Cash; credit Revenue.aDebit Investments; credit Cash.Debit Cash; credit Owner, Capital.Challenge]

Which of the following statements is (are)correct regarding the sides of a T-account? (Check all thatapply.) Your answer is correct.if! The right side is called the credit side.Liability accounts will be increased on the left side.I f ! Asset accounts will be increased on the left side.if! Liability accounts will be increased on the right side.if! The left side is called the debit side.The left side is called the credit side.Asset accounts will be increased on the right side.ChallengeMRead about this

The correct answer is shown.Equipment is a(n) asse (asseVliability/expense) account. It is reported on the lef (left/right) side ofthe accounting equation and is i 1creasElr(increased/decreased) when equipment is purchased. Your answer is correct.Challenge Read about this

On Nov.1, L. Lyons pays 2,400 cash for supplies. Show how to use T-accounts to record thistransaction by selecting the correct answer below.Y'Your answer is correct. Read about thisCash would be debited, and Supplies would be creditedSupplies expense would be credited; Cash would be debited.aSupplies would be credited; Cash would be credited.Supplies would be debited, and Cash would be credited.Challenge]

Which of the following accounts would be considered an asset? (Check all that apply.)VYour answer is correct .&supplies&Building Read about thisAccounts payableaOwner's capitalAccounts receivable· c ashChallenge

The correct answer is shown.Notes receivable is considered a(n) asset (asset/liability) and is increased on the eft (left/right) sideof a T-account when received. Your answer is correct.Challenge Read about this

Recall the required information in a financial statement heading. Rearrange the following line itemsas they would appear in a heading. Your answer Is correct. Name of business Name of financial statement Period of time the financial statement coversChallenge Read about this

The correct answer is shown.Accounts payable refer to obligations owed y (by/to) the business and are classified as a(n) rability(asset/liability/expense) account. Your answer is correct.Challenge Read about this

On Mar 3, L. Lyons received 100 cash in advance of providing catering services to a customer. Useyour knowledge of what a correct journal entry should look like to identify what would be included inthe correctjournal entry Your answer is correct.Unearned Revenue would be debited and listed firstUnearned Revenue would be credited and listed secondAccounts Receivable would be debited and listed firstCash would be credited and listed secondBfaCash would be debited and listed firstChallenge Read about this

S. Gunner purchased a piece of equipment costing 6,000. She paid 1,000 immediately and putthe rest on account. Show how to record this transaction to the T-accounts by selecting the correctanswer below. Your answer is correct. Read about this 6,000 on left side of the Equipment account; 5,000 on the right side of the Accounts payableaccount; 1,000 on the right side of the Cash account. 6,000 on the left side of the Equipment account; 6,000 on the right side of the Accountspayable account. 6,000 on the left side of the Equipment account; 6,000 on the right side of the Cash account. 6,000 on the right side of Equipment; 5,000 on the left side of Accounts payable; 1,000 onthe right side of the Cash account.Challenge

When Myrtle withdraws 50 from the business for personal use, how would this affect the equity of abusiness?"Your answer is correct.Assets are increased and equity is decreased.aEquity is increased and assets are increased.Assets are decreased and equity is decreased.Assets are decreased and liabilities are decreased.Challenge Read about this

Which of the following statements is the best definition of an asset? Your answer is correct.a Assets are resources owned by a company and that have expected future benefits.Assets represent the owner's claims against a company.Assets are the distributions to the owners of a company.Assets are claims against the company.ChallengeRead about this

Which of the following items would be considered "cash" and reflected in a company's Cash account?(Check all that apply.) Your answer is correct.aMoney ordersMRead about this)t i checksNotes Receivablelfl c oinPrepaid InsuranceChallenge

The correct answer Is shown.Holt Computer Services received 200 from a customer that it had billed earlier in the month.Illustrate how to record the transaction to the T-accounts by completing the following sentence.Accounts receivable would be credited(debited/ credited) on the r"gh (left/right) side of the T-account,and Cash would be debited(debited/ credited) on the left (left/right) side of the T-account." ' Your answer is correct.Challenge Read about this

The correct answer is shown.R&R Programming pays a 900 supply bill that it had received earlier in the month. Illustrate how torecord the transaction to the T-accounts by completing the following sentence.Accounts payable would bedebih (debited/credited) on the IP t(left/right) side of the T-account, andCash would be c ·ea1te I(debited/credited) on the Your answer is correct.Challenge1gh (left/right) side of the T-account. Read about this

Which of the following statements is (are) correct regarding the definition of a liability? (Check all thatapply.) Your answer is correct. Read about thisA liability is an asset waiting to be received by a business.A liability is a thing of value owned by the business and is increased on the left side of a Taccount.Challenge

Which of the selections below includes all of the required information to be entered in a journal? Your answer is correct. Read about thisDebited and credited accounts, dates and explanation of transaction, initials of person enteringtransactionInitials of person entering the transaction, debited accounts, dollar amo

Prepaid accounts are assets that represent prepayments of future expenses. Prepaid accounts are expenses and are increased with a credit. Prepaid accounts are liabilities that are due within a specified time period. Prepaid accounts reflect a company's cash balance and include currency, coins and money orders. Challenge