Accounting: 2-2 How Transactions Affect the Accounting Equation

What is the name of the asset account that summarizes the cash assets that RockHill Media has in its possession?

• Supplies

• Accounts Payable

• Equipment

• Cash

What is the name of the account used to record an owner’s equity in a business?

• Liabilities Account

• Expense Account

• Revenue Account

• Capital Account

What is the name of the account used to track each investor account?

• Revenue Account

• Liabilities Account

• Capital Account

• Owner's Equity Account

What is the name of the account used to record the purchase of supplies on account?

• Supplies Account

• Equipment Account

• Cash Account

• Accounts Payable Account

What is the name of the account used to record the purchase of video equipment on account?

• Accounts Payable Account

• Cash Account

• Equipment Account

• Supplies Account

What is the name given to an account that tracks the increases, decreases, and current balance of a specific asset, liability, equity, revenue, or expense?

• Equity Title

• Liability Title

• Account Title

• Asset Title

What is the name of the account used to record an annual insurance policy that is paid upfront and is considered a prepaid expense?

• Expense Account

• Prepaid Insurance Account

• Insurance Account

• Revenue Account

What is the name of the account used to record the increase in owner's equity when the owner invests money into the business?

• Capital Account

• Liabilities Account

• Revenue Account

• Expense Account

What is the name of the account used to record the increase in a liability when the company purchases supplies on account?

• Accounts Payable Account

• Cash Account

• Equipment Account

• Supplies Account

What is the name of the account used to record the increase in an asset when the company purchases video equipment on account?

• Accounts Payable Account

• Cash Account

• Equipment Account

• Supplies Account