K
C
LO
YC
D
U
ST
ACC 212 EXAM 4 QUESTIONS AND
CORRECT DETAILED ANSWERS
(VERIFIED ANSWERS) ALREADY
GRADED A+
, what is created when companies...
-Buys goods and services on credit
-Obtains short-term loans
-Issues long-term debt - ANS liabilities!
short-term obligations that will be paid with current assets within the company's current
operating cycle or within one year of the balance sheet date, whichever is longer. - ANS
current liabilities
Liabilities that have been incurred but not yet paid - ANS accrued liabilities
K
Increase (credit) or decrease (debit) accounts payable...
C
when a company receives goods or services on credit - ANS increase
Increase (credit) or decrease (debit) accounts payable...
LO
when a company pays on its account - ANS decrease
either required by law or voluntarily requested by employees and create a current liability for the
company. Examples include:
YC
1.Income tax
2.FICA tax
3. charitable donations - ANS payroll deductions
1.establishing the note,
2.accruing interest incurred but not paid,
D
3.recording interest paid, and
the recording principal paid. - ANS 4 key events with any note payable
U
principal x interest rate x time - ANS interest
Payments collected from customers at time of sale create a liability that is due to the state
ST
government. - ANS Sales Tax Payable
Cash received in advance of providing services creates a liability of services due to the
customer - ANS Deferred Revenue
Borrowers must report in Current Liabilities the portion of (short/long)-term debt that is due to be
paid within one year - ANS long term debt
financial instruments that outline the future payments a company promises to make in exchange
for receiving a sum of money now - ANS Bonds
C
LO
YC
D
U
ST
ACC 212 EXAM 4 QUESTIONS AND
CORRECT DETAILED ANSWERS
(VERIFIED ANSWERS) ALREADY
GRADED A+
, what is created when companies...
-Buys goods and services on credit
-Obtains short-term loans
-Issues long-term debt - ANS liabilities!
short-term obligations that will be paid with current assets within the company's current
operating cycle or within one year of the balance sheet date, whichever is longer. - ANS
current liabilities
Liabilities that have been incurred but not yet paid - ANS accrued liabilities
K
Increase (credit) or decrease (debit) accounts payable...
C
when a company receives goods or services on credit - ANS increase
Increase (credit) or decrease (debit) accounts payable...
LO
when a company pays on its account - ANS decrease
either required by law or voluntarily requested by employees and create a current liability for the
company. Examples include:
YC
1.Income tax
2.FICA tax
3. charitable donations - ANS payroll deductions
1.establishing the note,
2.accruing interest incurred but not paid,
D
3.recording interest paid, and
the recording principal paid. - ANS 4 key events with any note payable
U
principal x interest rate x time - ANS interest
Payments collected from customers at time of sale create a liability that is due to the state
ST
government. - ANS Sales Tax Payable
Cash received in advance of providing services creates a liability of services due to the
customer - ANS Deferred Revenue
Borrowers must report in Current Liabilities the portion of (short/long)-term debt that is due to be
paid within one year - ANS long term debt
financial instruments that outline the future payments a company promises to make in exchange
for receiving a sum of money now - ANS Bonds
