Exam 3: Processing Accounting Information

Wolfe Inc. Wolfe Inc.reports these account balances at January 1, 2015: -See the account balances for Wolfe Inc. On January 31, Wolfe collected $12,000 of its accounts receivable and paid $11,000 on its note payable.In Wolfe's trial balance prepared on January 31, 2015, the total of the credit column is:

A credit means that

If a company purchases equipment by issuing a note payable, its total assets will not change.

The normal balance of revenue is an) .

Parachute Country Club Use the selected accounts for Parachute Country Club presented below to answer the following questions). -Read the information on Parachute Country Club. On which date did the country club collect an advance deposit?

There is a universal chart of accounts that is applicable to all businesses.

All of the following events transactions) would be identified from standard source documents except for

Which pair of accounts has the same set of rules for debit and credit entries?

The issuance of common stock increases both and stockholders' equity.

Which of the following is an internal event transaction)?

Given a current ratio of 5 to 3, what is the effect of paying a supplier within 30 days of the purchase?

Every business transaction is recorded by a debit to a balance sheet account and a credit to an income statement account.

Which of the following statements is true?