FINANCIAL
ACCOUNTING
FINAL EXAM (IVY
TECH)
Revenues - Answers-Gross increase in equity from a company's business activities that
earn income; also called sales.
Expenses - Answers-Outflows or using up of assets as part of operations of a business
to generate sales.
Accounts Receivable - Answers-Amounts to be received in the future due to the sale of
goods or services
Accounting Equation - Answers-Assets = Liabilities + Equity
Income Statement - Answers-describes a company's revenues and expenses along with
the resulting net income or loss over a period of time due to earnings activities
Accounts on Income Statement - Answers-Revenues - Expenses
Normal Balance of Expenses - Answers-Debit (decrease equity)
Normal balance of Revenues - Answers-credit
Normal Balance of dividends - Answers-Dr. (it decreases owner's equity)
ACCOUNTING
FINAL EXAM (IVY
TECH)
Revenues - Answers-Gross increase in equity from a company's business activities that
earn income; also called sales.
Expenses - Answers-Outflows or using up of assets as part of operations of a business
to generate sales.
Accounts Receivable - Answers-Amounts to be received in the future due to the sale of
goods or services
Accounting Equation - Answers-Assets = Liabilities + Equity
Income Statement - Answers-describes a company's revenues and expenses along with
the resulting net income or loss over a period of time due to earnings activities
Accounts on Income Statement - Answers-Revenues - Expenses
Normal Balance of Expenses - Answers-Debit (decrease equity)
Normal balance of Revenues - Answers-credit
Normal Balance of dividends - Answers-Dr. (it decreases owner's equity)
