Chapter1-Yan Zhou's Class Quiz

The financial statement that reports the revenues and expenses for a period of time such as a year or a month is the

• Balance sheet

• Income Statement

• Statement of cash flows

• None of these

Resources owned by a company (such as cash, accounts receivable, vehicles) are reported on the balance sheet and are referred to as :_________

• Assets

• Liabilities

• Revenues

• Equity

Obligations(amounts owed) are reported on the balance sheet and are referred to as____

• Assets

• liabilities

• Debt

• Equity

Revenues minus expenses equals:

• Assets

• Liabilities

• Equity

• Net Income

The accounting equation is

• Assets=liabilities+Equity

• Assets=Liabilities-Equity

• Assets-equity+liability

• None of these

Which category does inventory fall under in the accounting equation

• assets

• equity

• liabilities

• expense

• Revenue

A Balance sheet reports a business's Financial

• Condition over a specific period of time

• progress over a specific period of time

• condition on a specific date

• progress on a specific date

Which statement is prepared first?

• Balance sheet

• Income Statement

• Statement of retained earnings