FBLA - Accounting II Flashcard

Front

Which of the following is NOT a financial statement? Income Statement, Balance Sheet, Cash Flow Statement, Budget Statement

Back

Budget Statement

Front

What is the primary purpose of an income statement?

Back

To report profitability

Front

What does a balance sheet report?

Back

Financial position at a specific time

Front

Which financial statement summarizes retained earnings? Options: Income Statement, Cash Flow Statement, Statement of Owner’s Equity, Trial Balance

Back

Statement of Owner’s Equity

Front

The relationship between the income statement and the balance sheet is primarily through:

Back

Equity

Front

Revenue increases which financial statement component?

Back

Equity

Front

Which accounting method uses accounts to record changes?

Back

Manual

Front

A trial balance is used to:

Back

Ensure debits equal credits

Front

What is the effect of declaring dividends on financial statements?

Back

Decreases equity

Front

In a worksheet, the adjusted trial balance is prepared after:

Back

Adjusting entries