Debits
Credits
The accounting cycle
Balance Sheet
T is for Transactions
100
Fedex pays a quarterly dividend of $100,000 to all of its stockholders on 12/1/2014.
What is DEBIT DIVIDENDS $100,000 CREDIT CASH $100,000
100
ABC inc. receives $5,000 cash from John Smith, an investor in the company in exchange for common stock.
What is CREDIT COMMON STOCK
100
the _____ is a list of all ledger accounts and includes an identification number assigned to each account.
What is chart of accounts.
100
_____ are held by a seller and refer to promises of future payment
What is Accounts Receivable
100
examples of ______ are sales tickets, checks, purchase orders, charges to customers, and bank statements.
What is source documents
200
mailboxes etc. pays $1,400 to FPL for utilities for the month of may.
What is DEBIT Utilities expense $1,400 CREDIT CASH $1,400.
200
XYZ, inc. pays $4,000 rent for the month of May to their landlord, ABC.
What is Debit rent expense $4,000 CREDIT CASH $4,000.
200
each transaction must have a _____ and a _____.
What is DEBIT and CREDIT
200
prepaid expenses are considered an (Asset/liability/equity)
What is asset
200
As these types of assets are used up, the costs of these assets become expenses.
What is prepaid expenses
300
in general terms, all _____ accounts should have debit balances.
What is asset
300
Fedex purchases a new delivery truck for $40,000 on credit.
What is debit equipment $40,000 CREDIT ACCOUNTS PAYABLE $40,000
300
a ______ gives a complete record of each transaction in one place.
What is Journal Entry
300
unearned revenue is considered an _____ (asset/liability/equity)
What is liability
300
If you buy a plane ticket today for $500 which departs on October 1, the airline will consider the $500 _____ until October 1.
What is unearned revenue.
400
Mailboxes etc. pays $3,600 for a 12-month insurance policy on 1/1/14.
What is DEBIT PREPAID EXPENSE $3,600 CREDIT CASH $3,600
400
Fedex gives each delivery driver $500 bonus to celebrate memorial day.
What is debit employee salaries $500 CREDIT cash $500
400
each journal entry is posted to the _______, or _____.
What is ledger (T Account)
400
______ are claims by creditors against assets.
What is liabilities
400
______ represents a ledger account and is a tool used to understand the efects of one or more transactions.
What is T Account
500
Fedex receives $4,000 in advance for a shipment to be made July 1 of 1,000 accounting textbooks.
What is DEBIT Cash $4,000 CREDIT UNEARNED REVENUE $4,000
500
Jetblue receives $1,000 from EFSC in advance for the August 1 trip.
What is debit Cash $1,000 CREDIT UNEARNED REVENUE $1,000
500
the Trial balance can be used to create _____.
What is financial statements
500
The owners claim on a company's assets is ____.
What is equity
500
This means the sum of all debits for all entries must equal the sum of the credits for all entries, and is the basis of financial accounting.
What is DOUBLE ENTRY ACCOUNTING
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