ACCT 2210 EXAM WITH 100%
CORRECT ANSWERS
What are three asset use transactions? - Answer- Repaying debt, paying for expenses,
and paying dividends.
Paying cash dividends will cause the left and right side of the accounting equation to... -
Answer- Decrease
Ending balances for assets, liabilities, and stockholders equity are reported on the ____
____. - Answer- Balance Sheet
When a company pays cash to purchase land, the result is that... - Answer- total assets
are not affected.
Acquiring cash by issuing common stock will cause the amount of common stock to
____ and the amount of cash to ____. - Answer- Increase, increase
The relationship between a business's assets and the claims on its assets is frequently
expressed in an equality called the... - Answer- Accounting equation
Cash inflows and outflows are reported on the - Answer- Statement of cash flows.
Businesses use physical resources, labor resources, and ____ resources to satisfy
consumer demand. - Answer- Financial
Resource providers are primarily interested in _____ information. - Answer- Managerial
accounting
Assets are normally shown on the company's books at the amount of their ___. -
Answer- Historical cost
What items are presented on the income statement? - Answer- Revenue, Expense, Net
Income
What are the effects of borrowing from creditors on the financial statements? - Answer-
Increases assets, liabilities and cash flow from financing activities.
Paying cash to pay off debt will cause the: - Answer- Amount of liabilities and cash to
decrease
CORRECT ANSWERS
What are three asset use transactions? - Answer- Repaying debt, paying for expenses,
and paying dividends.
Paying cash dividends will cause the left and right side of the accounting equation to... -
Answer- Decrease
Ending balances for assets, liabilities, and stockholders equity are reported on the ____
____. - Answer- Balance Sheet
When a company pays cash to purchase land, the result is that... - Answer- total assets
are not affected.
Acquiring cash by issuing common stock will cause the amount of common stock to
____ and the amount of cash to ____. - Answer- Increase, increase
The relationship between a business's assets and the claims on its assets is frequently
expressed in an equality called the... - Answer- Accounting equation
Cash inflows and outflows are reported on the - Answer- Statement of cash flows.
Businesses use physical resources, labor resources, and ____ resources to satisfy
consumer demand. - Answer- Financial
Resource providers are primarily interested in _____ information. - Answer- Managerial
accounting
Assets are normally shown on the company's books at the amount of their ___. -
Answer- Historical cost
What items are presented on the income statement? - Answer- Revenue, Expense, Net
Income
What are the effects of borrowing from creditors on the financial statements? - Answer-
Increases assets, liabilities and cash flow from financing activities.
Paying cash to pay off debt will cause the: - Answer- Amount of liabilities and cash to
decrease
