Account Classifications
A loan is a(n) _________ account.
What is liability?
Debits are on the _______.
What is left?
The main financial statements are balance sheet, statement of cash flows, statement of owner's equity, and ______________.
What is the income statement?
___________ is the first step of the accounting cycle.
What is identify and analyze transactions?
True or false? Journal entries should include the date of the transaction.
What is true?
Retained earnings is a(n) ___________ account.
What is equity?
Total debits must _________ total credits.
What is equal?
The financial statement that assets are reported on.
What is the balance sheet?
True or false? Revenue is a permanent account.
What is false?
True or false? Journal entries do not need to include a description of the transaction.
What is false?
The four parts of equity are: Owner Capital, Revenue, Expenses, and ____________.
What is Owner Withdrawals?
Cash has a normal ____________ balance.
What is debit?
The section of the balance sheet that prepaid expenses are reported in.
What is the Asset section?
True or false? Cash is a permanent account.
A compound journal entry affects at least ______ accounts.
What is three?
Prepaid expenses is a(n) _____________ account.
What is asset?
A revenue account was credited. This means that the revenue account __________.
What is increased?
A company's assets are $400,000 and their liabilities are $316,000. The company's equity equals ________.
What is $84,000.
The closing process only applies to ___________ accounts.
What is temporary?
Transferring journal entry information to the ledger is called ________.
What is posting?
Accumulated deprecation is a(n) ____________ account.
What is contra asset?
A shareholder took cash out of their business. You must _________ shareholder withdrawals.
What is debit?
Financial statements are prepared in a certain order. The balance sheet is the ____ statement prepared.
What is the third?
The __________ account is used to close revenue and expense accounts.
What is Income Summary?
An entry made at the end of an accounting period to bring an account to its proper amount is called a(n) ____________.
What is adjusting journal entry?