A) Liabilities + Owner's Equity. B) Liabilities - Owner's Equity. C) Liabilities - Revenues. D) Revenues - Expenses. A) Liabilities + Owner's Equity. B) Liabilities - Owner's Equity. C) Liabilities - Revenues. D) Revenues - Expenses.

Exam 1: Accounting Concepts and Procedures

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Katie's Vegetarian Restaurant, with total Assets of $121,000, borrows $27,000 from the bank. Which of the following is a true statement upon borrowing the money?

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(Multiple Choice)

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Question 1

Correct Answer:

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If total liabilities increased by $10,000 and the assets increased by $10,000 during the accounting period, what is the change in the owner's equity amount?

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Question 2

Correct Answer:

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Revenue is the same thing as cash.

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(True/False)

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Question 3

Correct Answer:

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False

Creditors' claims against Assets are called Liabilities.

(True/False)

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Question 4

Mike's Photography completes the following transactions: a. Mike invests $15,000 cash in her company. b. The company purchases equipment on account, $600. c. The company purchases additional equipment for cash, $300. d. The company makes a payment on account for the equipment, $500. Required: Record the above transactions in the basic accounting equation.

(Essay)

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Question 5

The increase or decrease in Cash is reported on the:

(Multiple Choice)

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Question 6

Expenses are recorded as costs of doing business whether cash was paid or not for Expenses.

(True/False)

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Question 7

A partnership is a business which:

(Multiple Choice)

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Question 8

Ryan withdrew cash from the business to pay his personal cell phone bill. The expanded accounting equation changes include:

(Multiple Choice)

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Question 9

If Ol' Fashioned Toys' Revenues are greater than its Expenses during the accounting period:

(Multiple Choice)

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Question 10

Cash withdrawals by the owner increase both equity and Liabilities.

(True/False)

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Question 11

The type of business organization that can continue indefinitely is known as a:

(Multiple Choice)

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Question 12

Owner investment is considered Revenue for the business.

(True/False)

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Question 13

Assets are equal to:

(Multiple Choice)

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Question 14

Record the following transactions in the basic accounting equation: a. Brian invests $30,000 cash to begin an accounting service. b. The company buys office furniture for cash, $900. c. The company buys additional office furniture on account, $200. d. The company makes a payment on the office furniture, $100.

(Essay)

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Question 15

Which of the following is a characteristic of a sole proprietorship?

(Multiple Choice)

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Question 16

An Expense should be recorded when:

(Multiple Choice)

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Question 17

Bonnie's Baskets purchases $3,000 worth of office equipment on open account. This causes:

(Multiple Choice)

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Question 18

Strum Hardware has total Assets of $60,000. What are the total Assets if new building is purchased for $5,000 cash?

(Multiple Choice)

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Question 19

Determine the beginning capital balance of a business having an ending capital balance of $10,800, no additional investments, withdrawals of $2,600, and a net income of $4,700. $ ________

(Short Answer)

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Question 20

Showing 1 - 20 of 125

Exam 1: Accounting Concepts and Procedures

Katie's Vegetarian Restaurant, with total Assets of $121,000, borrows $27,000 from the bank. Which of the following is a true statement upon borrowing the money?

If total liabilities increased by $10,000 and the assets increased by $10,000 during the accounting period, what is the change in the owner's equity amount?

Revenue is the same thing as cash.

Creditors' claims against Assets are called Liabilities.

The increase or decrease in Cash is reported on the:

Expenses are recorded as costs of doing business whether cash was paid or not for Expenses.

A partnership is a business which:

Ryan withdrew cash from the business to pay his personal cell phone bill. The expanded accounting equation changes include:

If Ol' Fashioned Toys' Revenues are greater than its Expenses during the accounting period:

Cash withdrawals by the owner increase both equity and Liabilities.

The type of business organization that can continue indefinitely is known as a:

Owner investment is considered Revenue for the business.

Assets are equal to:

Which of the following is a characteristic of a sole proprietorship?

An Expense should be recorded when:

Bonnie's Baskets purchases $3,000 worth of office equipment on open account. This causes:

Strum Hardware has total Assets of $60,000. What are the total Assets if new building is purchased for $5,000 cash?

Determine the beginning capital balance of a business having an ending capital balance of $10,800, no additional investments, withdrawals of $2,600, and a net income of $4,700. $ ________

Debits and Credits: Analyzing and Recording Business Transactions

Beginning the Accounting Cycle

The Accounting Cycle Continued

The Accounting Cycle Completed

Banking Procedure and Control of Cash

Calculating Pay and Payroll Taxes: the Beginning of the Payroll Process

Paying, Recording, and Reporting Payroll and Payroll Taxes:

Sales and Cash Receipts

Purchases and Cash Payments

Preparing a Worksheet for a Merchandise Company

Completion of the Accounting Cycle for a Merchandise Company

Accounting for Bad Debts

Notes Receivable and Notes Payable

Accounting for Merchandise Inventory

Accounting for Property, Plant, Equipment, and Intangible Assets

Partnership

Corporations: Organizations and Stock

Corporations: Stock Values, Dividends, Treasury Stocks,

Corporations and Bonds Payable

Statement of Cash Flows

Analyzing Financial Statements

The Voucher System

Departmental Accounting

Manufacturing Accounting

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