Basic Accounting

How would an accountant record an increase in cash?

• Debit
• Credit

How would an accountant record an increase in sales?

• debit
• credit

Any amounts owed by a business and reported on the balance sheet are referred to as ________________.

• assets
• liabilities
• profit
• expenses

The basic accounting equation is Assets=Liabilities + _______________________.

• Income
• Owner's Equity
• Expenses
• Profit

An increase in owner's equity resulting from the operation of a business

• asset
• expense
• withdrawl
• revenue

________________ is prepared at the end of the accounting period to show the financial position o f business

• Profit & loss account

• Balance sheet

• Profit & loss statement

• Satetment of financial position

Accounting is referred to as the "language of ___________________."

• profit
• life
• accounting
• business

______________________ is the transfer of journalized transactions to their accounts.

• Posting
• Recording
• Updating
• Journalizing

Planning, recording, analyzing, and interpreting financial information

• accounting
• ethics
• transaction
• revenue

A decrease in owner's equity resulting from the operation of a business

• account
• capital
• asset
• expense