3rd TLE 9

1. The Accounting Equation must always be in balance.

• True

• False

2. Assets are NOT resources owned by the business.

• True

• False

3. Liabilities are debts and obligations of the business.

• True

• False

4. Goodwill is also considered as assets

• True

• False

5. When you receive cash from sales, you debit cash and credit sales?

• True

• False

6. How would an accountant record an increase in cash?

• Debit

• Credit

7. How would an accountant record an increase in sales?

• Debit

• Credit

8. An increase in owner's equity means __________.

• Debit

• Credit

9. When you pay cash for supplies, supplies is ________?

• Debit

• Credit

10. When you pay cash for supplies, cash is _______?

• Debit

• Credit