Accounting I-Review

Front

What does GAAP stand for?

Back

Generally Accepted Accounting Principles

Front

What is the minimum number of accounts that a business transaction affects?

Back

Two

Front

A company receives a check that the bank determines is NSF/Dishonored. How does this affect the company’s cash balance?

Back

Decreases cash

Front

When a $100 liability is paid with cash, assets decrease by $100. What change is made to the liability account?

Back

Decrease by the same amount

Front

What term is used to describe the steps completed to record financial information for a fiscal period?

Back

Accounting cycle

Front

Accounts receivable had a debit balance of $1,500 on May 31. There were debit postings of $900 and credit postings of $700 during June. What was the accounts receivable balance on June 30?

Back

$1,700 debit

Front

Which of the following is used to make sound business decisions about the financial status of a company? General ledgers, Financial statements, Source documents, Financial journals

Back

Financial statements

Front

What accounts are closed at the end of a fiscal period?

Back

Temporary

Front

What is the term for the owner's financial claim of a business?

Back

Owner’s equity

Front

If revenue/sales is $1,000, advertising expense is $300, miscellaneous expense is $100, and rent expense is $800, what is the result?

Back

Net loss of $200