Accounting 1 - Chapter 2 Review

Front

The Accounting Equation must always be in balance?

Back

True

Front

Assets

Back

Anything owned of value by the company

Front

Supplies purchased on account that will be paid for at a later date is a liability.

Back

True

Front

The owner's worth after assets are used to pay all liabilities is the definition of

Back

Owner's Equity

Front

Cash received means Cash is:

Back

Increased

Front

Paid Cash means cash has:

Back

Decreased

Front

Bought supplies on account means Supplies has increased and what other account has changed?

Back

Account Payable has increased

Front

A list of accounts used by a business.

Back

chart of accounts

Front

An accounting device used to analyze transactions.

Back

T account

Front

_____________________ are useful in showing how transactions are recorded.

Back

T-Accounts