ACCT 2101 Exam 1 Questions With Correct
Answers
liabilities |- |CORRECT |ANSWER✔✔-probable |debts |or |obligations |of |the |business |enterprise |
that |result |from |past |transactions, |which |will |be |paid |with |assets |or |services
stockholders' |equity |- |CORRECT |ANSWER✔✔-financing |provided |by |the |owners |of |a |business |
enterprise |and |from |business |operations
operating |cycle |- |CORRECT |ANSWER✔✔-time |it |takes |for |a |company |to |pay |suppliers, |sell |
goods |and |services |to |customers, |and |collect |case |from |customers
revenues |- |CORRECT |ANSWER✔✔-increases |in |assets |or |settlements |of |liabilities |from |ongoing
|operations
expenses |- |CORRECT |ANSWER✔✔-decreases |in |assets |or |increases |in |liabilities |incurred |to |
generate |revenues |during |an |accounting |period
cash |basis |accounting |- |CORRECT |ANSWER✔✔-an |overall |method |of |accounting |that |records |
revenue |when |cash |is |received |and |expenses |when |cash |is |paid
accrual |basis |accounting |- |CORRECT |ANSWER✔✔-an |overall |method |of |accounting |that |
records |revenue |when |earned |and |expenses |when |incurred
revenue |principle |- |CORRECT |ANSWER✔✔-principle |that |revenues |are |recognized |when |(1) |
goods |or |services |are |delivered, |(2) |there |is |persuasive |evidence |of |an |arrangement |for |
customer |payment, |(3) |the |price |is |fixed |or |determinable, |and |(4) |collection |is |reasonably |
assured
Answers
liabilities |- |CORRECT |ANSWER✔✔-probable |debts |or |obligations |of |the |business |enterprise |
that |result |from |past |transactions, |which |will |be |paid |with |assets |or |services
stockholders' |equity |- |CORRECT |ANSWER✔✔-financing |provided |by |the |owners |of |a |business |
enterprise |and |from |business |operations
operating |cycle |- |CORRECT |ANSWER✔✔-time |it |takes |for |a |company |to |pay |suppliers, |sell |
goods |and |services |to |customers, |and |collect |case |from |customers
revenues |- |CORRECT |ANSWER✔✔-increases |in |assets |or |settlements |of |liabilities |from |ongoing
|operations
expenses |- |CORRECT |ANSWER✔✔-decreases |in |assets |or |increases |in |liabilities |incurred |to |
generate |revenues |during |an |accounting |period
cash |basis |accounting |- |CORRECT |ANSWER✔✔-an |overall |method |of |accounting |that |records |
revenue |when |cash |is |received |and |expenses |when |cash |is |paid
accrual |basis |accounting |- |CORRECT |ANSWER✔✔-an |overall |method |of |accounting |that |
records |revenue |when |earned |and |expenses |when |incurred
revenue |principle |- |CORRECT |ANSWER✔✔-principle |that |revenues |are |recognized |when |(1) |
goods |or |services |are |delivered, |(2) |there |is |persuasive |evidence |of |an |arrangement |for |
customer |payment, |(3) |the |price |is |fixed |or |determinable, |and |(4) |collection |is |reasonably |
assured
