Accounting Chapter 3 Review

Front

Grace is learning about accounting principles. She comes across the formula "Assets = Liabilities + Owner's Equity". This formula is known as the

Back

accounting equation

Front

Mia runs a small bakery and needs to keep track of the amount of money she owes to her suppliers. This amount is known as ______.

Back

accounts payable

Front

William owns a small bakery and is reviewing his financial statements. He notices that the oven, which is crucial for his business operations, is listed as a(n) ____.

Back

asset

Front

Emma recently inherited something of value from her grandparents. This item, which she now owns or controls, is called ____.

Back

property

Front

Rohan runs a small bakery and the money he earns from selling cakes and pastries is called _____

Back

revenue

Front

Mason is reviewing the financial records of his small cafe. He notices that the _____ are the prices paid for goods or services used to operate the business.

Back

expenses

Front

When Liam started his new business, his initial investment was recorded in the ______ account.

Back

capital

Front

James runs a small business and sells products to customers on credit. The total amount of money he expects to receive in the future for these sales is the ____.

Back

accounts receivable

Front

Hannah is reviewing the financial statements of her small business. She notices several amounts that the business owes to suppliers and lenders. These amounts are called the business's ______.

Back

liabilities

Front

When Charlotte takes cash or other assets out of her business for personal use, the transaction is called a(n) _____?

Back

withdrawal