The Accounting Equation
If I paid cash for a telephone bill which two accounts will be impacted?
Cash and OE
What is an accounting system?
A planned process designed to compile financial data and summarize the results in accounting records and reports.
How could you practice good business ethics with your suppliers?
Let them know ahead of time if you are changing suppliers.
Pay your invoices on time.
Let them know if there is an issue instead of trash talking them.
If I receive cash on account for $1800 what happens to Owner's Equity?
NOTHING!
If I received cash ON ACCOUNT which two accounts will be impacted?
What is personal net worth?
The difference between personal assets and personal liabilities.
Why would you want to practice good business ethics with your customers?
So you can make money, so you keep them, so they don't trash talk you!
If I pay cash for rent what happens to Owner's Equity?
DECREASE
If I paid for car insurance which two accounts would be impacted?
Pre-paid Insurance (Asset) and Cash (Asset).
What is a net worth statement?
Why would you want to practice good business ethics with your employees?
TONS of answers.
If I pay for car insurance for $300 what happens to prepaid insurance?
INCREASE
Revenue(sales) and expenses are both what type of accounts?
Explain what assets, liabilities and Owner's Equity are. Each one seperately.
Assets are what you own
Liabilities are what you owe.
Owner's equity is the owner's financial stake in the business.
Define Business Ethics.
The use of ethics in making business decisions.
If I receive cash from the owner of business for $10,000 as investment what happens to cash?
INCREASE