Accounting Chapter 4 Review

How do you classify Accounts Receivable?

• Asset

• Liability

• Owner's Equity

How do you classify Accounts Payable?

• Asset

• Liability

• Owner's Equity

How do you classify Everett, Capital?

• Asset

• Liability

• Owner's Equity

If a business purchases a computer on account, what are the accounts affected?

• Cash in Bank and Accounts Payable

• Computer Equipment and Accounts Receivable

• Cash in Bank and Accounts Receivable

• Computer Equipment and Accounts Payable

If the owner invests cash into the business, what accounts are affected?

• Cash in Bank and Office Equipment

• Cash in Bank and Capital

• Cash in Bank and Accounts Receivable

• Capital and Accounts Payable

What is the tool used to analyze the debit and credit parts of a business transaction?

• T Account

• Accounting Equation

• Account Balance

• Work sheet

In double entry accounting, a debit is an entry on which side of the account?

• Left

• Right

n double entry accounting, a credit is an entry on which side of the account?

• Left

• Right

The normal balance of an account is always on which side?

• Debit

• Credit

• Increase side

• Decrease side

What is a list of all accounts and their account numbers used by a business?

• Accounting Equation

• Double Entry Accounting

• Chart of Accounts

• Ledger