MBA 600 Accounting Module Exam Questions And
Answers 100% Pass
Assets = Liabilities + Equity
Liabilities = Assets - Equity
Equity = Assets - Liabilities - ANSWER Accounting Equation
Assets - ANSWER The resources owned by a business
Liabilities - ANSWER The rights of creditors/debts of the business
Equity - ANSWER The rights of owners
Income Statement - ANSWER A summary of the revenue and expenses for a specific period of
time, such as a month or a year
Statement of stockholders' Equity/Retained Earnings Statement - ANSWER A summary of the
changes in stockholders' equity that have occurred during a specific period of time, such as a
month or a year
Balance Sheet - ANSWER A list of the assets, liabilities, and stockholders' equity as of a
specific date, usually at the close of the last day of a month or a year
, Statement of Cash Flows - ANSWER A summary of the cash receipts and cash payments for a
specific period of time, such as a month or a year
Net Income/Net Profit/Net Earnings - ANSWER The excess of the revenue over the expenses
Net Loss - ANSWER The amount by which expenses exceed revenues.
Income Statement - Statement of Stockholder's Equity/Retained Earnings Statement - Balance
Sheet - Statement of cash flows - ANSWER Order in which financial statements should be
prepared
-Cash
-Receivables (supplies, prepaid insurance, etc.)
-Fixed assets (the assets of a more permanent nature such as land, buildings, and equipment)
- ANSWER Order of assets reported on balance sheet
Statement of cash flows - ANSWER Consists of the following three sections:
-operating activities
-investing activities
-financing activities
Answers 100% Pass
Assets = Liabilities + Equity
Liabilities = Assets - Equity
Equity = Assets - Liabilities - ANSWER Accounting Equation
Assets - ANSWER The resources owned by a business
Liabilities - ANSWER The rights of creditors/debts of the business
Equity - ANSWER The rights of owners
Income Statement - ANSWER A summary of the revenue and expenses for a specific period of
time, such as a month or a year
Statement of stockholders' Equity/Retained Earnings Statement - ANSWER A summary of the
changes in stockholders' equity that have occurred during a specific period of time, such as a
month or a year
Balance Sheet - ANSWER A list of the assets, liabilities, and stockholders' equity as of a
specific date, usually at the close of the last day of a month or a year
, Statement of Cash Flows - ANSWER A summary of the cash receipts and cash payments for a
specific period of time, such as a month or a year
Net Income/Net Profit/Net Earnings - ANSWER The excess of the revenue over the expenses
Net Loss - ANSWER The amount by which expenses exceed revenues.
Income Statement - Statement of Stockholder's Equity/Retained Earnings Statement - Balance
Sheet - Statement of cash flows - ANSWER Order in which financial statements should be
prepared
-Cash
-Receivables (supplies, prepaid insurance, etc.)
-Fixed assets (the assets of a more permanent nature such as land, buildings, and equipment)
- ANSWER Order of assets reported on balance sheet
Statement of cash flows - ANSWER Consists of the following three sections:
-operating activities
-investing activities
-financing activities
