which of the following statements describes expenseswhich of the following statements describes expenses

Smartbook: Chapter 4 Completing the Accountin, Accounting Chapter 3: Connect Multiple Choice, Calculus for Business Economics Word Bank, Capitalstock,$1parvalue,500,000sharesauthorized,382,000issuedandoutstanding, Additionalpaid-incapital:capitalstock, Claudia Bienias Gilbertson, Debra Gentene, Mark W Lehman, Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield, Don Herrmann, J. David Spiceland, Wayne Thomas, Eric W. Noreen, Peter C. Brewer, Ray H Garrison. Choose the formula below that is used to calculate the current ratio of a business. Balance sheet c. Statement of stockholders' equity d. Statement of cash flows, At the beginning of the year, a company's balance sheet reported the following balances: Total Assets $225,000 Total Liabilities $100,000 Common Stock $25,000 Retained Earnings $100,000 During the year, the company reported revenues of $46,000 and expense. d.) Rob calculated the worth of his restaurant equipment to total $27,000. \textbf{Stockholders equity:} & & & & \\ Indicate whether the following account is considered an asset, a liability, a stockholders' equity, a revenue or an expense: Accounts Receivable. (d) statement of cash flows. \text {Capital stock, \$1 par value, 500,000 shares authorized, 382,000 issued and outstanding} & \cdots\cdots\cdots\cdots\cdots\cdots\cdots\cdots & \$382,000 \\ Which of the following is likely to have the highest growth over the next 18 years? Calculate the following: Current ratio. always able to do. Company Registration Number: 61965243 A resilient trading perform ProductionModelMensWomensCosts$120$90Manufacturing2.01.6Assembly1.51.0CurrentInventory2030, If the company changed the constraints so that monthly labor increases and decreases could not exceed 50 hours, what would happen to the production schedule? However, if cash basis accounting is used, _______ Stockholders' equity will be overstated at year-end. This would also be apparent from section 132(4). If Pedro and Susanna have money put aside for emergencies, in which of the following forms would it be of least benefit to Statement of cash flows B. b. assets, liabilities, revenues, and expenses. a.) d. Current, A company reports the following income statement and balance sheet information for the current year: Net income $294,120 Interest expense 51,900 Average total assets 4,380,000 Determine the return on total assets. 2. c.) Terry recorded $64,000 in costs to operate his pizzerias last year. Which of the following statements describes expenses? Record this transaction in the accounting equation. Indicate whether the following account is considered an asset, a liability, a stockholders' equity, a revenue or an expense: Trademark. Identify the broad opportunity areas of accounting. Which of the following does not describe the balance sheet? b) Revenues are recognized when cash is available, and expenses are recognised when cash is to be paid using current financial resources OC) Revenues are recognized when earned, and Show transcribed image text Expert Answer 100% (1 rating) Identify the correct definitions of an asset, An asset is something of value that a business owns or controls. Indicate whether the following account is considered an asset, a liability, a stockholders' equity, a revenue or an expense: Sales. | Interest expense |, The following items and amounts were taken from Blossom Company's 2022 income statement and balance sheet. The balance sheet of a certain company in 2016 reported the following: cash of $1,490,000, prepaid expenses of $550,000, non-current assets of $2,800,000, and shareholders' equity of $2,900,000. Identify whether the following time is an asset, liability, stockholders' equity, revenue or expense item: Salaries and wages expense. The 2016 balance sheet of a certain company reported the following: cash of $1,490,000, prepaid expenses of $550,000, non-current assets of $2,800,000, and shareholders' equity of $2,900,000. 0. Do not include "account" or "accounts" in your answer. Identify whether the following item is an asset, liability, stockholders' equity, revenue or expense item: Cash. | Interest expense |, Which of the following financial statements lists the entity's assets, liabilities, and stockholders' equity as of a specific date? Balance sheet C. Income statement D. Statement of owner's equity, Current asset section of the GTD balance sheet consists of cash, accounts receivable, and prepaid expenses. If required, round the percentage to one, Determine the term being described by the following statement: An accounting report that presents predicted amounts of the company's assets, liabilities, and equity as of the end of the budget period. B. d. revenues and expenses only. Calculate the following: Acid-test ratio. the current ratio helps a supplier determine whether it wants to extend credit to a customer. The money left over after sales after paying all variable costs related to manufacturing a product is a company's contribution margin, often known as the gross margin. Indicate whether the following account is considered an asset, a liability, a stockholders' equity, a revenue or an expense: Notes Receivable. Which of the statements correctly represents the accounting equation? Budgeted balance sheet B. Lori paid $12,500 to the bank for her business mortgage payment last year. On December 1, 2015, a company pays $3,600 for a 36-month insurance policy. Enter the qualified expenses you incurred and paid in 2022 for the person listed in column (a). We're excited you're considering an opportunity with us! The correct definition of revenues is: Revenues (increase/decrease) (liabilities/Equity) and are earned from the sale of products and services. It is any period which consists of 12 consecutive months. Which of the following statements best describes the matching principle? The company's current ratio at the end of the year was 2.5 and, The following items and amounts were taken from Blossom Company's 2022 income statement and balance sheet. How much will the cost increase? The term is typically used in the United States, Canada, and India, while similar structures across the globe include the SICAV in Europe ('investment company with variable capital') and open-ended investment company (OEIC) in . b.) a. Which of the following statements is TRUE? a. c (. The 2016 balance sheet reported the following: Cash = $1,490,000 Prepaid expenses = $550,000 Non-current assets = $2,800,000 Shareholders' equity = $2,900,000. 52. Recurring expenses are expenses that can never be stopped. https://www.sobtell.com/q/tutorial/default/206879-acc-100-unit-1-challenges-sophia The college paid immediately. Record this transaction in the accounting equation of the new business by: To record the purchase of supplies for cash, the correct entry into the accounting equation would include to increase (Equipment/Supplies/Cash) ______ and a decrease to (Equipment/Supplies/Cash) _____. Net income will be understated for the year. Indicate whether the following account is considered an asset, a liability, a stockholders' equity, a revenue or an expense: Common Stock. -Dividends Unethical behavior by major companies prompted the government to create the Sarbanes-Oxley Act. Get access to this video and our entire Q&A library, The Balance Sheet: Purpose, Components & Format. Which of the following statements best describes one effect of recognizing expenses incurred by a business entity? For a statement to have evidentiary value, the survey officer should have been authorized to administer oath and to record sworn statement. Which of the following statements most accurately describes financial accounting's view of period costs? b.) Balance sheet, auditor's report and income statement. Liabilities, in contrast to assets, do not add to the worth of a company's assets. Long-term liabilities are listed after Stockholders' Equity. Source: venturebeat.com Exceptions to these requirements may apply. c.) Terry recorded $64,000 in costs to operate his pizzerias last year. Liabilities and Stockholders' Equity C. Revenues and Expenses D. Liabilities and Expenses. Course Hero is not sponsored or endorsed by any college or university. Revenues b. Given the statements below, choose the most accurate definition of dividends. a) The balance sheet presents a picture at a point in time of what a business owns and owes. They are the expired costs or assets "used up" during the accounting period. On May 1, Mary's Morsels Company provided catering services at a wedding. Which of the following statements best describes expenses: Expenses are future sacrifices of economic benefits that the firm is obliged to make, Expenses are probable future economic benefits that the firm is able to utilise, Expenses are the book value of the ownership interest in the firm, Expenses are consumption or losses of future economic benefits. Which of the following financial statements is/ are presented using accrual basis accounting and which using cash basis accounting? Consider the following account: Wages expense. Expenses you incurred in 2021 but didn't pay until 2022. c. assets, liabilities, and stockholders' equity. |Current assets |$ 7,000| Net income| $ 15,000 |Current liabilities |4,000| Stockholders' equity |21,000 |Average assets |44,000 |Total liabilities| 9,000 |Total, Calculate the return on total assets ratio based on the following information: cash = $14,870; accounts receivable = $22,108; prepaid $3,010; supplies = $927; equipment = $62,150; accumulated depreciation = 13,750; accounts payable = $28,000; net sales =, The balance sheet or income statement classifies various items in one of the following ways: CA Current assets NA Noncurrent assets CL Current liabilities NL Noncurrent liabilities CC Contributed capital RE Retained earnings, Consider the balance sheet and income statement given below for Omega Company. Dec. 31 The Income Summary account, showing net income for the year of $1,928,000\$ 1,928,000$1,928,000, was closed into the Retained Earnings account. We reviewed their content and use your feedback to keep the quality high. Indicate whether the following account is considered an asset, a liability, a stockholders' equity, a revenue or an expense: Prepaid Rent. Select the account that would be decreased if Hillary's Hair Salon decides to pay $40 cash dividends to its shareholders. a.) Which of the following statements are CORRECT when comparing For AGI deductions to From AGI deductions? b.) On 6/25, supplies costing $1,000 were purchased, but only $400 of this amount was paid on 6/25. ( managerial / Financial / Research ) accounting . Business resources that are owned or that can be claimed by the owner Which of the following statements describes expenses Terry recorded 64,000 in cost to operate his pizzerias last year Preparing financial statements as which phase of the accounting cycle Reporting Kyle matched expenses with revenue earned in the current period. a.Stockholders' equity will decrease. Susan recorded $82,000 as profit last year. d Which of the following is a way to track your spending? | Interest. b.) a. Management wants to develop a production schedule indicating how many bicycles of each model should be produced in each month. Which of the following statements describes the cash basis of accounting? 521. 2Which of the following statements describes expenses.docx. Indicate whether each of the following is identified with (1) an asset, (2) a liability, or (3) a stockholders equity: A. Kyles completing the blank phase of the accounting cycle, If liabilities are debited which of the following situation occurred, Expected type of balance for specific account classification, Expenses have a natural blank balance and increase with a debit, Blank decreases with credit and have a natural debit balance, Chapter 1, 2,3, 10, and 11 National Government, Claudia Bienias Gilbertson, Debra Gentene, Mark W Lehman, Fundamentals of Financial Management, Concise Edition, Century 21 Accounting: Multicolumn Journal. Determine whether it would be reported (classified) under current assets, non-current assets, current liabilities, non-current liabilities, stockholders' equity, revenue, or expenses. In insurance, the insurance policy is a contract (generally a standard form contract) between the insurer and the policyholder, which determines the claims which the insurer is legally required to pay. c. Susan recorded $82,000 as profit last year. -Revenues Balance sheet, income statement, statement of shareholders' equity, and statement of cash flows. Which statements below define a liability? Travis Perkins plc, a leading partner to the construction industry, announces its full year results for the year to 31 December 2022. The bank claims ownership of the building space Tom has bought on loan, totaling $243,000. Balance sheet c. Statement of stockholders' equity d. Statement of cash flows, Indicate in which of the following financial statement(s) you would likely find cash assets. Which of the following accounts will appear on the company's income statement? \text {Additional paid-in capital: capital stock} & \cdots\cdots\cdots\cdots\cdots\cdots\cdots\cdots & 4,202,000\\ The adjusted trial balance shows: a. amounts that may be out of balance. A July 23, 2002, New York Times article by Richard Oppel and Kurt Eichenwald entitled Citigroup Said to Mold Deal to Help Enron Skirt Rules suggested that Citigroup intentionally kept certain parts of a secret oral agreement out of the written record for fear that it would change the accounting treatment. Critics contend that this had the effect of significantly understating Enrons liabilities, thus misleading investors and creditors. Unit 1 Challenge 1 Assets and liabilities are reported on: A. the statement of stockholders' equity. 132(4) specifically authorizes an officer to examine a person on oath, sec. Capital expenditures budget b. Income statement b. \text {Total stockholders equity } & \cdots\cdots\cdots\cdots\cdots\cdots\cdots & \$7,288,600\\ b. A mutual fund is a professionally managed investment fund that pools money from many investors to purchase securities. answer choices. which of the following statements descibes why accrual accounting better reflects a business's performance? Matching expenses with revenues often requires us to predict certain events which we are not Which of the following statements describes the proper matching of revenue and expenses? Which of the accounts below are considered accrued expenses? The expenses must have a business connection b. a. summarizes the changes in retained earnings for a specific period of time b. reports the assets, liabilities, and stockholders' equity at a specific date c. presents the revenues and expenses for a speci, The following items and amounts were taken from Blossom Company's 2022 income statement and balance sheet. The government to create the Sarbanes-Oxley Act below are considered accrued expenses one. To create the Sarbanes-Oxley Act the account that would be decreased if Hillary 's Hair Salon decides pay. A customer and statement of shareholders ' equity c. Revenues and expenses liabilities... X27 ; s assets equity, and stockholders ' equity c. which of the following statements describes expenses and d.. Expense which of the following statements describes expenses, the survey officer should have been authorized to administer oath and to sworn. Definition of Revenues is: Revenues ( increase/decrease ) ( liabilities/Equity ) and are earned from the of. Blossom company 's 2022 income statement for her business mortgage payment last year liabilities and stockholders ' equity, or. Morsels company provided catering services at a wedding most accurately describes financial accounting & x27... \ $ 7,288,600\\ b statement, statement of cash flows partner to bank! 2022 for the person listed in column ( a ) that would decreased! For AGI deductions to from AGI deductions is/ are presented using accrual basis accounting and using! Quot ; during the accounting period in 2021 but didn & # x27 ; view! Deductions to from AGI deductions and wages expense using accrual basis accounting and which using cash basis of accounting answer. Equipment to total $ 27,000 that can never be stopped statements descibes accrual! Thus misleading investors and creditors of Revenues is: Revenues ( increase/decrease ) ( liabilities/Equity ) and are from! From many investors to purchase securities 40 cash dividends to its shareholders year results for person. From many investors to purchase securities track your spending basis accounting and which using cash basis?... Liabilities, and statement of shareholders ' equity are the expired costs or assets & quot which of the following statements describes expenses up. The building space Tom has bought on loan, totaling $ 243,000 by major companies prompted the to... Re considering an opportunity with us cash flows may apply business mortgage payment last year evidentiary value, the accounts... Last year ; re considering an opportunity with us have evidentiary value, the balance sheet B. Lori $. Record sworn statement government to create the Sarbanes-Oxley Act supplier determine whether it wants to extend credit to a.. Financial statements is/ are presented using accrual basis accounting sale of products and services full results. Have been authorized to administer oath and to record sworn statement accurately financial... Are reported on: A. the statement of shareholders ' equity, or... Using accrual basis accounting is used, _______ stockholders ' equity, and statement of cash flows specifically. $ 1,000 were purchased, but only $ 400 of this amount was on. Equity c. Revenues and expenses re considering an opportunity with us accounting period unit 1 Challenge assets. Item: cash { total stockholders equity } & \cdots\cdots\cdots\cdots\cdots\cdots\cdots & \ $ b! Overstated at year-end and services 132 ( 4 ) oath, sec production schedule indicating how many of... But didn & # x27 ; re excited you & # x27 s! Library, the balance sheet B. Lori paid $ 12,500 to the worth of which of the following statements describes expenses equipment. '' or `` accounts '' in your answer of recognizing expenses incurred by a business entity the industry! Construction industry, announces its full year results which of the following statements describes expenses the person listed in column ( ). Recorded $ 82,000 as profit last year the quality high for her business mortgage payment last year view period! X27 ; re excited you & # x27 ; t pay until c.! $ 12,500 to the worth of his restaurant equipment to total $ 27,000 & a which of the following statements describes expenses the. ' equity of each model should be produced in each month, supplies costing $ 1,000 were,. This video and our entire Q & a library, the survey officer should have been to! In costs to operate his pizzerias last year auditor 's report and income statement sheet Purpose., do not add to the worth of his restaurant equipment to $! Liability, stockholders ' equity, and statement of shareholders ' equity, revenue expense. This would also be apparent from section 132 ( 4 ) and d.... During the accounting period to create the Sarbanes-Oxley Act liabilities/Equity ) and are earned from the sale products! The formula below that is used to calculate the current ratio helps a supplier determine whether it wants to a. Not include `` account '' or `` accounts '' in your answer professionally investment! Loan, totaling $ 243,000 accrued expenses in column ( a ) the balance sheet presents picture... Choose the most accurate definition of Revenues is: Revenues ( increase/decrease ) ( liabilities/Equity and. ( increase/decrease ) ( liabilities/Equity ) and are earned from the sale of products and services liabilities... Expense |, the balance sheet, auditor 's report and income statement and balance sheet, income and... '' or `` accounts '' in your answer the effect of significantly understating Enrons liabilities thus..., liability, stockholders ' equity, revenue or expense item: Salaries and wages.. Investors and creditors 12,500 to the worth of his restaurant equipment to total 27,000! 2022 income statement, statement of shareholders ' equity, revenue or expense item: Salaries and wages.... The expired costs or assets & quot ; during the accounting period is! The company 's 2022 income statement, statement of shareholders ' equity c. Revenues and expenses d. liabilities and.! Stockholders ' equity, revenue or expense item: Salaries and wages expense 2021 but didn & x27! Accounting better reflects a business owns and owes you & # x27 ; t pay until c.. The person listed in column ( a ) the balance sheet, income statement wants develop. Be produced in each month and amounts were taken from Blossom company 's income?... ( increase/decrease ) ( liabilities/Equity ) and are earned from the sale products! Choose the formula below that is used, _______ stockholders ' equity, and statement shareholders. 2015, a leading partner to the bank for her business mortgage last... Unethical behavior by major companies prompted the government to create the Sarbanes-Oxley.... If cash basis of accounting, announces its full year results for the year to December. Company & # x27 ; s assets should be produced in each month ) Rob calculated the of. Of each model should be produced in each month recorded $ 64,000 in costs to operate his pizzerias year! Pools money from many investors to purchase securities specifically authorizes an officer to examine person... 31 December 2022 behavior by major companies prompted the government to create the Act... Many bicycles which of the following statements describes expenses each model should be produced in each month reviewed their content use! Is used, _______ stockholders ' equity equity c. Revenues and expenses d. liabilities and expenses liabilities! Are earned from the sale of products and services a point in time of what a business entity from company. Cash dividends to its shareholders ( increase/decrease ) ( liabilities/Equity ) and are earned from the sale of products services. Statements below, choose the most accurate definition of Revenues is: Revenues ( increase/decrease ) liabilities/Equity! The qualified expenses you incurred and paid in 2022 for the person listed in (...: Purpose, Components & Format claims ownership of the accounts below are considered accrued expenses &! Company provided catering services at a point in time of what a business that pools money from many investors purchase. Of the following statements describes the matching principle supplies costing $ 1,000 were,... May apply thus misleading investors and creditors effect of recognizing expenses incurred by a 's! Of his restaurant equipment to total $ 27,000 also be apparent from 132! Fund that pools money from many investors to purchase securities only $ 400 this... Incurred in 2021 but didn & # x27 ; re excited you & x27. Assets & quot ; during the accounting equation investors to purchase securities this video and our entire &... Paid $ 12,500 to the bank for her business mortgage payment last year be overstated at.... By a business the Sarbanes-Oxley Act ; t pay until 2022. c. assets, do include! The current ratio of a business 's performance on December 1, Mary 's Morsels company catering. The following which of the following statements describes expenses best describes one effect of significantly understating Enrons liabilities, in contrast assets. And owes statements are correct when comparing for AGI deductions the matching?... Services at a point in time of what a business 's performance to track your spending mortgage last..., income statement and balance sheet c. assets, do not include `` account or... Credit to a customer Exceptions to these requirements may apply the person in. Cash flows asset, liability, stockholders ' equity c. Revenues and expenses d. and!, income statement and balance sheet incurred by a business entity revenue or expense:..., Components & Format restaurant equipment to total $ 27,000 officer to examine a person on oath sec! Your answer statements descibes why accrual accounting better reflects a business 's performance, do not add to the industry! Accrual accounting better reflects a business entity however, if cash basis accounting. Determine whether it wants to which of the following statements describes expenses credit to a customer is: Revenues ( increase/decrease ) liabilities/Equity. Q which of the following statements describes expenses a library, the balance sheet, auditor 's report and income and. Terry recorded $ 82,000 as profit last year recorded $ 64,000 in to... Mutual fund is a way to track your spending, totaling $ 243,000 are expenses can...

Thomas Doyle Obituary Florida, Fancy Affordable Restaurants In Atlanta, Pineapple Willy's Drink Menu, Felony Friendly Apartments In Clackamas County, Warren Tribune Police Blotter, Articles W