Accounting Principles
The fundamental accounting equation.
What is Assets = Liabilites + Owner's Equity
Double points if you explain what this means.
What is net thirty?
This journal's transactions ALWAYS involve an Accounts Payable Credit.
What is the Purchases Journal?
An expense has a normal _____ balance.
What is a debit balance?
What are temporary accounts?
If a debit increases an account and a credit decreases the account. The account is said to have a normal _____ balance.
What is a normal debit balance?
Cancelling the balance of a customer account because the customer does not pay.
What is a write off?
The money in this payable account is actually collected by the company on behalf of another entity.
What is Sales Tax Payable account?
What is the Income Statement?
When making an adjusting entry at the end of the fiscal period for our Prepaid Insurance account. This account is debited.
What is Insurance Expense?
This type of asset is used for more than a year.
What is a plant asset?
When we collect sales tax from our customers what account is credited?
What is Sales Tax Payable?
This is usually the date that a company states that it will pay a dividend to it's shareholders, thus creating a liablity for itself.
What is the Date of Declaration?
What is Interest Income account?
This type of inventory system is constantly keeping track of our inventory, usually through an advanced bar code type system.
What is Perpetual Inventory?
This document summarizes your general ledger balances at the end of the fiscal period and serves as a guide to review before you make any adjustments.
What is an unadjusted trial balance?
The formula for calculating interest on a note.
What is Principal x Interest X Time?
Hawkins Inc is giving a 10% Sales discount on a $1000 bill. The amount journalized would be ______.
What is $900?
Hawkins Inc ended the fiscal period with $30000 in revenues and $45000 in expenses. Their net income/loss is.
What is a net loss of $15000?
Hawkins Inc. depreciates it's work vehicle using straight line depreciation. The original value of the truck was $100 and it has a useful life of 5 years and salvage value of $0. The annual depreciation expense of the truck is
What is $20?
There are different types of accounting. This type focuses on the company's internal financial processes, tracking and recording financial transactions.
What is Managerial Accounting?
Hawkins Inc. did not pay their account and we have decided to write it off. When writing the account off the ______ account is debited and the ________ account is credited.
What is the Allowance for Uncollectible Account and the Accounts Receivable/Customer Account?
Hawkins Inc. makes quarterly payments to the IRS of $1000. At the end of the fiscal year, after making their 3rd payment and before their last payment, they discover their tax liability is $5000 for the fiscal year. Their final payment (4th payment) to the IRS will be _____
What is $2000?
A ____ expense is a payment for goods or services which have not yet been received. A ____ expense is an expense that occurs in one fiscal period, but not paid until a later fiscal period.
What is a Deferred Expense and an Accrued Expense?
The adjustment to this account is unique to a corporation.
What is the Federal Income Tax Payable account?