ACCOUNTING I---2024 SPRING SEMESTER TEST

Furniture is regarded as

• Owner's Equity

• Asset

• Liability

• Current Liability

Owners equity just refer to the Capital of the owner

• True

• False

The Accounting Equation must always be in balance? 

• True
• False

Purchases from a supplier on credit is a liability.

• True
• False

Assets 

• Anything owed by the company
• Anything owned of value by the company

Supplies purchased on account that will be paid for at a later date is a liability.

• True
• False

The owner's worth after assets are used to pay all liabilities is the definition of

• Owner's Equity
• Liabilities
• Assets

Cash received means Cash is:

• Decreased
• Increased

Paid Cash means cash has:

• Decreased
• Increased

Bought supplies on account means Supplies has increased and what other account has changed?

• Cash has decreased
• Account Payable has increased