Which of the following characteristics describes an income statement? ● B.) A document that presents the revenues and expenses for the business for the past year. Which of the following examples corresponds with an income statement? ● A.) Cybil generated a report that described the firm's profitability from the last year. How is an income statement prepared? ● C.) Calculate net income or net loss by including revenue and expenses Consider the following information:
Rent Revenue: $5, Rent Receivable: $2,
Interest Receivable: $1, Rent Expense: $4,
Insurance Payable: $1, Salaries Expense: $3, Salaries Payable: $
Which of the following states the amount of net profit or loss for this company? ● A.) Net Loss of $1,
Consider the following information:
Sales Revenue: $45, Accounts Payable: $5, Rent Expense: $10, Wages Expense: $15,
What would be the net profit or loss? ● A.) Net Profit of $18, Ted told Ian that it was necessary to include all relevant information on an income statement and showed Ian the following data:
Owner investment: $8, Revenue: $15,
Based on this data, the net profit or loss on the income statement should be: ● D.) Net Profit of $12, hypothetical business. ● ● ●
Rent Expense: $4, Utilities Expense: $2,
Using this data, determine the net profit or loss for Seth's bakery. ● A.) Net Profit of $16, Jessica is the co-owner for a local boutique and has recorded the following statements:
Service Revenue: $15, Cash: $3, Accounts Receivable: $6,
Salaries Payable: $1, Wages Expense: $15, Rent Expense: $2,
Using this data, determine the net profit or loss for Jessica's boutique. ● B.) Net Loss of $2, Which of the following characteristics describes a statement of changes in owner's equity? ● B.) Shows the variation in retained earnings from last year
Which of the following documents describes a statement of changes in owner's equity? ● A.) A document that shows how much money the owner invested in the past year
Determine which example describes a statement of change in owner's equity. ● D.) Lists withdrawals made by a company's owners
Paula prepared a statement of changes in owner's equity to determine the possibility of opening more locations for her car wash business. She used the following totals to help in her calculations:
Beginning Balance $120, Cash = $5, Revenues = $10, Capital added = $10, Net income = $30, Expenses = $40, Owner’s Withdrawals = $115,
What would be the ending balance on the Statement of Changes of Equity given this data? ● A.) $45,
To better understand if it was possible to consider opening more locations, Robert wanted to know how much equity he had in his business and used the following totals to help in his calculations:
Beginning capital = $35, Drawings = $4, Net income = $18,
Ending Balance $76, ● C.) $56,
What is the total owner drawings in the statement of changes in owner's equity that Cindy drafted for her grocery store, shown here?
Statement of Changes in Owner's Equity
Beginning Balance $5, Net Income $12, Drawings?
Ending Balance $14,
What is the total net income in the statement of changes in owner's equity that Seth drafted for his music store, shown here?
Statement of Changes in Owner's Equity
Beginning Balance $35, Net Income? Drawings $4,
Ending Balance $41, C.) $10,
Which of the following examples corresponds with a balance sheet? ● B.) Alice created a report that listed information about the firm’s assets, liabilities and equity for the month of June.
The accounting __________ is a fundamental premise in accounting which states that a company's assets will be equal to the sum of its __________.
● D.) equation; liabilities and equity
The balance sheet is a financial statement that is __________ and provides information about the __________ of a business at a given time. ● D.) prepared third; assets, liabilities and equity
Notes Payable: $30, Owner's Equity: $107,
From the above set of data, what is the total for assets, liabilities, and equity? ● D.) Total Assets: $142, Total Liabilities: $35, Total Equity: $107, Consider the following information:
Cash: $10, Accounts Payable: $3, Accounts Receivable: $2, Office Supplies: $1, Furniture: $15, Notes Payable: $10, Equity: $
From the above set of data, what is the total for assets, liabilities, and equity? ● D.) Total Assets: $28, Total Liabilities: $13, Total Equity: $5, Consider the following information:
Accounts Payable: $4, Notes Payable: $10,
From the above set of data, what is the total for assets, liabilities, and equity?
