Accounting study guide

Which of the following is not a core financial statement?

• The Income Statement

• Statement of Cash Flows

• The Trial Balance

• The Balance Sheet

income statement, which presents the results of operations, can be prepared in many forms including:

• Single Step Income Statement

• Condensed Income Statement

• Common Sized Income Statement

• All of the above

Which of the following account types increase by debits in double-entry accounting?

• Assets, Expenses, Losses

• Assets, Revenue, Gains

• Expenses, Liabilities, Losses

• Gains, Expenses, Liabilities

Which of the following is true?

• Accounts receivable are found in the current asset section of a balance sheet.

• Accounts receivable increase by credits.

• Accounts receivable are generated when a customer makes payments,

• Accounts receivable become more valuable over time

What are the main sections on a balance sheet?

• Assets, liabilities, income

• Assets, liabilities, equity

• Assets, liabilities, expenses

• Assets, gains, revenue

How are a company's financial statements used?

• For internal analysis

• For external negotiation

• For compliance

• All of the above

Which of the following scenarios increases accounts payable?

• A customer fails to pay an invoice.

• A supplier delivers raw materials on credit.

• Office supplies are purchased with cash.

• None of the above

Which form is used to file you yearly tax return?

• Form 1040EZ

• Form 1040A

• Form 1040E

• Form 10400

Are federal Income taxes a hat tax or progressive tax? What evidence supports your answer

• Progressive tax

• Flat tax

• Tax brackets are higher income levels that are taxed at higher rates

• Tax brackets are lower income levels that are taxed at higher rates

Is child support and alimony taxed? What is not?

• Only child support is taxed not alimony

• Only alimony is taxed not child support