Accounting

What is the accounting equation?

• Assets = Liabilities - Owners' Equity

• Assets = Liabilities - Owner's Equity

• Owners Equity = Assets - Liabilities

• I have no idea

What is the financial statement that shows an organization's profitability over a period of time (quarter, month, year)?

• Statement of Cash Flows

• Balance Sheet

• Income Statement

• Still no idea

The financial statement that reports the assets, liabilities, and stockholders' (owners') equity at a specific date is called?

• Balance Sheet

• Income Statement

• I just want to go home

• Statement of Retained Earnings

Revenues minus cost of goods sold equals ________.

• Gross Profit

• Gross Income

• Net Income

• Profit Margin

Which of the following are Assets?

• Bank Account

• Bank Loan

• Vehicles

• Furniture and supplies

• Bank overdraft

The following are liabilities .

• Bank Loan

• Stock / inventory

• Mortgage

• Accounts Payable