11.2 Quizizz

A balance sheet answers what question?

• What does the company own?

• To whom does the company owe money?

• How much is the business worth?

• all of the above

The balance sheet equation is

• assets minus liabilities equals owner's equity.

• liabilities plus owner's equity equals assets.

• assets plus liabilities equals owner's equity.

An example of a current asset would be

• equipment

• inventory

• buildings

An example of a long-term liability would be

• a mortgage.

• state sales tax.

• bank loans.

An example of a long-term asset would be

• marketable securities.

• computers.

• inventory.

An example of a current liability would be

• bank loans.

• state sales tax.

• accounts payable.

• all of the above

The second section of a balance sheet includes

• liabilities.

• assets.

• inventory.

Owner's equity is calculated by

• subtracting total liabilities from total assets.subtracting total liabilities from total assets.

• adding assets to liabilities.

• adding assets to liabilities and subtracting profit.

Adding a percentage column to a balance sheet creates a

• comparative balance sheet.

• same-size balance sheet.

• two-column balance sheet.

The term in accounting that refers to the investment or ownership value of the business is

• capital.

• owner's equity.

• liability.