9.1-9.2 Quizizz

What are the two main financial statements for a sole proprietorship?

• Income Statement and Balance Sheet

• Income Statement and Cash Flows

• Balance Sheet and Changes in OE

• Balance Sheet and Cash Flows

Which of these is NOT a section of the income statement?

• Beginning Capital

• Expenses

• Net Income

• Revenue

Which question is NOT answered in the heading?

• Who?

• What?

• When?

• Where?

The information needed to prepare the income statement comes from

• the balance sheet

• the general ledger

• the income statement section of the worksheet

• the trial balance section of the worksheet

If revenue exceeds expenses, the company has a

• net loss

• net income

• fiscal security

• none of the above

Reports prepared to summarize changes resulting from business transactions that occur during an accounting period are called

• transaction summaries

• business statements

• financial indicators

• financial statements

To prepare a statement of changes in owner's equity, you need to know

• the owner's name

• the date the company started

• the beginning balance in the capital account

• the address of the company

A net income will increase the owner's capital account balance

• True

• False

The net income or loss on the income statement does not have to be the same as the net income or loss on the worksheet.

• True

• False

The statement of changes in owner's equity summarizes the effects on the capital account of the various business transactions that occurred during the period.

• True

• False