Principles of Financial Accounting Flashcards
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The withdrawal of cash by the owner will
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Decrease owner's equity
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Which of the following is a business event that is considered a recordable transaction?
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A customer purchases merchandise
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The cost principle relates most closely to the
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Valuation issue
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All the following items would appear on the blance sheet except
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Withdrawals
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Which of the following fiancial statements is concerned with the enterprise at a point in time?
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Balance sheet
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Which of the following events does not result in the recoding of an expense?
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Withdrawal of cash by the owner
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Wich of the following errors will cause a trial balance to be out of balance?
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Placing a debit balance amount into the credit balance column of the ledger
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The best definition of assets is the
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Resources belonging to a company having a future benefit to the company
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The net income figure appears in all the following fiancial statements except the
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Balance sheet
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Which of the following is legally a separate entity from its owner?
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Corporation only
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Most business enterprises in the United States are
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Sole Proprietorships
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Which of the following events does not require a journal entry?
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Agreement to perform a service at a future date
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Which of the followign gives the correct sequence of account procedures?
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Journal, ledger, trial balance, financial statements
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Flores Realty company had the following balnce sheet accounts and balances... if $3,000 of Accounts Payable were paid in cash, what would be the total of liabilities and owner's equity?
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$23,000.00
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Generially accepted account principles
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Are changing continually
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Which of the following accounts is not considered an asset?
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Accounts Payable
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Which of the following is the correct accounting equation?
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Assets=Liabilities +Owner's Equity
