FAC1503 EXAM Questions and Answers
Verified Solutions Latest Update
Question:
First step in accounting cycle.
Answer:
Completion of a source document
Question:
Two thing transactions may do.
Answer:
Create income or create expense Affect assets/equity/liabilities
Question:
Transactions that affect only assets, equity and liabilities.
Answer:
Capital contributions Getting a loan Purchase an asset for cash Buying asset on credit
Payments to creditors Withdrawals by owner
Question:
Transactions that affect income and expenditure.
Answer:
Income Expenditure Income in form of credit Expenditure in form of credit
Question:
Transaction that only affects assets.
Answer:
Receiving payment from debtor
Verified Solutions Latest Update
Question:
First step in accounting cycle.
Answer:
Completion of a source document
Question:
Two thing transactions may do.
Answer:
Create income or create expense Affect assets/equity/liabilities
Question:
Transactions that affect only assets, equity and liabilities.
Answer:
Capital contributions Getting a loan Purchase an asset for cash Buying asset on credit
Payments to creditors Withdrawals by owner
Question:
Transactions that affect income and expenditure.
Answer:
Income Expenditure Income in form of credit Expenditure in form of credit
Question:
Transaction that only affects assets.
Answer:
Receiving payment from debtor
