Accounting 803 General Revision 2

Amani company has a total assets of BD 19000 and a total current assets of BD 11000 then the total fixed assets are equal to :

• BD 8000

• BD 30000

• BD 20000

• BD 10000

If BD 500 of supplies has been used then the adjusting entry will be :

• Dr. supplies BD 500 / Cr. cash BD 500

• Dr. supplies expense BD 500 / Cr. supplies BD 500

• Dr. cash BD 500 / Supplies expense BD 500

• Dr. supplies BD 500 / Cr. supplies expense BD 500

The normal balance for fees earned is credit side

• True

• False

The normal balance for truck is credit side .

• True

• False

When interest payable decreases then it will be on the credit side.

• True

• False

Ayman company recorded an account receivable of BD 900 in the debit side for cleaning services provided but not billed yet for the client.

• True

• False

A balance sheet is a statement that reports revenues earned less the expenses incurred by the business over a period of time.

• True

• False

Investing equipment in the business will decrease cash

• True

• False

Inventory is classified as asset.

• True

• False

The income statement shows a net loss when total expenses are more than total revenues .

• True

• False