Accounting for Business Review

A record of a single item in the accounting equation

• balance sheet

• corporation

• liability

• account

Financial rights to the assets of a business

• accounting system

• partnership

• equity

• liability

The first step in preparing a balance sheet is to write __________.

• the conclusion

• the accounting equation

• the introduction

• the heading

Which of the following is not a type of business?

• Service

• Merchandising

• Sole Proprietorship

• Manufacturing

What is the accounting equation?

• Total assets= liabilities - equity

• Equity= liabilities + assets

• Total Assets= liabilities + equity

• Liabilities= assets + equity

One person owns the business and has complete control

• Partnership

• S Corporation

• Sole Proprietorship

• C Corporation

A business owned by two or more people and each owner agrees upon how much each will invest in the business

• C Corp

• Sole Proprietorship

• Partnership

• Corporation

Has the ability to act as it own entity and have multiple owners, more difficult to form this type of business

• Sole proprietorship

• Corporation

• Partnership

• Limited Liability Company

A financial document that reports account balances on a given date

• Income statement

• T chart

• Cash flow statement

• Balance sheet

A cost required to operate a business

• Accounting system

• partnership

• equity

• expense