WorksheetsACCT formulas
Total questions: 7
Worksheet time: 4mins
Which of the following equations correctly represents the accounting equation?
A) Assets = Liabilities – Equity
B) Assets = Liabilities + Equity
C) Assets + Liabilities = Equity
D) Assets – Liabilities = Equity
Which of the following best represents the basic accounting equation used in financial accounting?
A) Assets = Liabilities – Stockholders’ Equity
B) Assets = Liabilities + Stockholders’ Equity
C) Assets – Liabilities = Stockholders’ Equity
D) Assets + Stockholders’ Equity = Liabilities
Which of the following equations correctly represents how Net Income is calculated?
A) Net Income = Revenue + Expenses
B) Net Income = Revenue – Expenses
C) Net Income = Expenses – Revenue
D) Net Income = Assets – Liabilities
Which of the following equations correctly represents Ending Equity?
A) Ending Equity = Beginning Equity – Investments + Dividends
B) Ending Equity = Beginning Equity + Net Income – Dividends
C) Ending Equity = Beginning Equity + Assets – Liabilities
D) Ending Equity = Net Income + Revenue – Expenses
Which of the following equations correctly represents how to calculate the ending cash balance in a T-account?
A) Ending Balance = Beginning Cash Balance + Credits – Debits
B) Ending Balance = Beginning Cash Balance + Debits – Credits
C) Ending Balance = Beginning Cash Balance – Debits + Credits
D) Ending Balance = Beginning Cash Balance + Assets – Liabilities
Which of the following equations correctly represents Stockholders’ Equity?
A) Stockholders’ Equity = Investments + Net Income
B) Stockholders’ Equity = Assets – Liabilities
C) Stockholders’ Equity = Investments + Liabilities
D) Stockholders’ Equity = Net Income – Dividends
Which of the following equations correctly represents how to calculate updated Retained Earnings?
B) Retained Earnings = Retained Earnings + Revenue – Expenses – Dividends
A) Retained Earnings = Retained Earnings + Revenue + Expenses + Dividends
C) Retained Earnings = Retained Earnings – Revenue + Expenses – Dividends
D) Retained Earnings = Retained Earnings + Assets – Liabilities
