Classifying accounting items

"Prepaid rent" is classified as

• Liability

• Revenue

• Expense

• Assets

"Note Payable" is classified as

• Liability

• Asset

• Owners Equity

• Revenue

"Fees Earned" is classified as

• Assets

• liability

• Revenues

• Expenses

All the following are example of expenses except

• Drawing

• Salaries

• Telephone bills

• Office rent Expense

"Supplies" is classified as

• Owners Equity

• Assets

• Liability

• Revenues

"Investment, Revenues, Drawings and Expenses has direct effect on Owners equity." This statement is

• True

• False

If Jenan has creditors account BD8000 and she paid BD2000. Then liabilities balance will equal

• BD8,000

• BD10,000

• BD6,000

• BD2000

All the following account are assets except

• Equipment

• Land

• Account Receivable

• Account payable

If the company has the following balances BD12,000 cash, supplies BD3,000, furniture BD5,000 and account payable BD4,000, then the owner’s equity will equal

• BD16000

• BD20000

• BD15000

• BD24000

How would the accounting equation of Amal Est, be by preforming service to a customer for BD23,000 on credit

• +BD23000 for account receivable, and +23000 for cash

• + BD23,000 for account receivable and + BD23,000 for owner’s equity

• + BD23,000 for account receivable and - BD23,000 for cash

• -BD23,000 for account receivable and - BD23,000 for owner’s equity