First Quarter Finals - Accounting

Classify this account.

Jane Nitre’s Capital

• Current Asset

• Current Liability

• Capital

• Noncurrent Asset

• Noncurrent Liability

Classify this account.

Five-year Lease

• Current Asset

• Current Liability

• Capital

• Noncurrent Asset

• Noncurrent Liability

Classify this account.

Equipment

• Current Asset

• Noncurrent Asset

• Current Liability

• Noncurrent Liability

• Capital

What account is a Current Asset?

• MERCHANDISE INVENTORY

• LAND

• AUTOMOBILE

• EQUIPMENT

Accounts Receivable is a noncurrent asset.

• TRUE

• FALSE

True or False: Cash is a current asset.

• TRUE

• FALSE

These are the controlled resources resulted from past transactions and events in which are expected to have economic benefits that flow in the business.

• Assets

• Liabilities

• Capital

• Revenue

• Expenses

These are obligations of the business to creditors (creditor’s equity) that occurred from the past transactions or events which are expected to be settled and will result in the outflow of the business’ resources.

• Assets

• Liabilities

• Capital

• Revenue

• Expenses

What accounts are involved in this business transaction?

Purchased supplies on account.

• Cash and supplies

• Accounts receivable and supplies

• Accounts payable and supplies

• Notes payable and supplies

Heading in any financial statement should contain the following:

• name of the company

• accounting period

• name of the statement

• date of creation

• beginning statement