Week 3 - Financial Accounting

Shareholders are legally distinct from the business. They loss is not limited to what they invest.

• True

• False

A measure and summary of a hospitality business's operating activities over a period of time.

• Balance Sheet

• Income Statement

• Statement of Cash Flows

• None of the answers are correct

Reflect the using up of assets that result in a decrease in equity

• Revenue

• Sales

• Owner's Equity

• Expenses

A balance sheet reports a hospitality organization's financial position at a point in time.

• True

• False

The Income Statement reports a hospitality organization's performance over a period of time.

• True

• False

Assets - Liabilities = Owner's Equity

• True

• False

Accounts Payable

• Current Asset

• Fixed Asset

• Long-Term Liability

• Current Liability

Current Asset(s)

• Account Payable

• Note Payable

• Account Receivable

• Furniture and Equipment

Cost of Sales

• Indirect Expenses

• Direct Expenses

• Accounts Payable

• Accounts Receivable