Accounting

Double entry in accounting means there must be________ entries for every transaction?

• two

• Three

• six

• one

A general Leger/T) has a ______ and _______ side.

• cash receipt and debtors

• debit and payments

• debit and credit

• creditors and debtors

Assets increase on the ________ side?

• subsidiary

• T-account

• credit

• debit

owners equity decreases on the _________ side?

• credit

• debit

• payments

• liability

when the owner takes money out of the business's account it is called _________?

• credit

• drawings

• debt

• borrowing

water and electricity is an/a __________?

• credit

• asset

• expense

• income

The period of time covered by an accounting report is the accounting period.

• True
• False

Managers and owners use the general ledger to make their business decisions.

• True
• False

An income statement reports financial information over a specific period of time, indicating the financial progress of a business in earning a net income or net loss.

• True
• False

To prepare an income statement, account titles are obtained from the worksheet's Account Title column and account balances are obtained from the worksheet's Income Statement columns.

• True
• False