INTUIT BOOKKEEPING UPDATED SCRIPT 2026 PRACTICE SOLUTIONS GRADED A+

INTUIT BOOKKEEPING UPDATED SCRIPT
2026 PRACTICE SOLUTIONS GRADED A+

● Accounts Receivable. Answer: money that is owed to a business for
providing a good or service


● What are the key ethical responsibilities of bookkeeping. Answer: 1.
Honesty
2. Objectivity
3. Confidentiality
4. Professionalism


● Accounting Equation. Answer: Assets = Liabilities + Owner's Equity


● Debits. Answer: - recorded on the left side of the ledger
- increase assets/expenses
- decrease liabilities and stockholders equity.


● Credits. Answer: - recorded on the right side of the ledger
- increase in liabilities, equity, and revenue
- decrease in assets

, ● Assets. Answer: resources (monetary or physical) owned by a
business


● Economic Entity Assumption. Answer: An accounting principle that
separates the transactions carried out by the business from its owner


● What is the purpose of Accounting Principles?. Answer: They help
businesses make informed decisions, maintain transparency and build
trust with stakeholders


● Reliability Assumption. Answer: Accounting principle that states all
recorded transactions must have evidence in order to ensure accuracy of
records


● Full Disclosure Principle. Answer: Accounting principle that dictates
that companies disclose circumstances and events that make a difference
to financial statement users.


● Conservatism Assumption. Answer: Accounting principle that says
we must be cautious, fact-based, and avoiding speculative or overly
optimistic assumptions. Potential losses can be reported, but potential
gains cannot.


● Periodicity Assumption. Answer: An assumption that the economic
life of a business can be divided into a continuous cycle of artificial time
periods.