Exam 12: Financial Statements, Closing Entries, and Reversing Entries

Young Corporation has Current Assets of $125,000, Current Liabilities of $50,000, Long-Term Liabilities of $25,000 and Total Assets of $300,000. What is the working capital of Young Corporation?

General journal entries that are the exact opposite of a previously completed adjusting entry are known as

Assume Net Sales are $225,000, Cost of Goods Sold is $75,000, Selling Expenses are $24,000 and General Expenses are $30,000. Calculate Net Income:

The adjusting entry for supplies on hand is always reversed.

A relatively long-lived asset that is held for use in the production or sale of other assets or services

Assuming Net Sales is $180,000, Cost of Goods Sold is $79,000, Selling Expenses are $28,500, and General Expenses are $22,800, then Gross Profit is

Cost of goods available for sale is equal to

What two measures tell management and short-term creditors if the firm has sufficient capital and can pay its debts?

Cost of Goods Sold is an operating expense on the income statement.

Assuming Net Sales is $180,000, Cost of Goods Sold is $79,000, Selling Expenses are $28,500, General Expenses are $22,800, and Interest Expense is $2,000, then Income from Operations is

Sales plus Sales Returns and Allowances minus Sales Discounts equals Net Sales on the income statement.

Match the terms below with the correct definitions. -Long-lived assets

What would be an appropriate account number for Cash?

Match the terms below with the correct definitions. -The firm's excess of its current assets over its current liabilities

What are reversing entries? Which adjusting entries can be reversed?

Which of the following accounts is debited in the closing entries?

The Purchases account is not classified as a selling expense.

Long-Term Liabilities are usually listed in the order of their expected payment.

Net Sales is Sales minus Sales Returns and Allowances plus Sales Discounts.

Net purchases is equal to