Accounting. Chapter 9. Financial Statements Review # 2

This reports the final balances of the permanent accounts at the end of the fiscal period

• Balance Sheet

• Worksheet

• Income Statement

• Changes in Owners Equity

The difference between total revenue and total expenses over a specific period of time

• liabilities

• assets

• Net Income or net loss

• owners equity

Which of these is NOT in the heading

• name of business

• owners name

• date

• name of the report

Is the definition of quick ratio a measure of the relationship between short-term assets and current liabilities

• True

• False

current assets over current liabilities = current ratio

• False

• True

The financial statement that reports the net income or net loss for the fiscal period it covers is the

• worksheet

• balance sheet

• income statement

• financial statements

The _______ ratio is used to examine the portion of each sales dollar that represents profit

• return on sales

• liquidity ratio

• quick ratio

• current ratio

______ occurs when total revenue is greater than total expenses

• asset

• net income

• owners equity

• cash in bank

This is also known as the profit and loss statement

• owners equity

• current ratio

• Income Statement

The _______summarizes the changes in the owner’s capital account as a result of business transactions that occur during the period.

• statement of changes in owner’s equity

• owners equity

• cash in bank

• income statement