Business Fundamentals for Law Students

Question 1

______ are the line items that comprise the financial statements. Major accounts include cash, accounts receivable, accounts payable, retained earnings, revenue and depreciation.

Answer 1

Accounts

Question 2

________ are the line items that comprise the financial statements.

Answer 2

Accounts

Question 3

Accounts are the line items that comprise the ________ ________.

Answer 3

financial statements

Question 4

Accounts are the line items that comprise the financial statements. Major accounts include:
1. ?
2.
3.
4.
5.
6.

Answer 4

1. Cash

Question 5

Accounts are the line items that comprise the financial statements. Major accounts include:
1.
2. ?
3.
4.
5.
6.

Answer 5

2. Accounts receivable

Question 6

Accounts are the line items that comprise the financial statements. Major accounts include:
1.
2.
3. ?
4.
5.
6.

Answer 6

3. Accounts payable

Question 7

Accounts are the line items that comprise the financial statements. Major accounts include:
1.
2.
3.
4. ?
5.
6.

Answer 7

4. Retained Earnings

Question 8

Accounts are the line items that comprise the financial statements. Major accounts include:
1.
2.
3.
4.
5. ?
6.

Answer 8

5. Revenue and

Question 9

Accounts are the line items that comprise the financial statements. Major accounts include:
1.
2.
3.
4.
5.
6. ?

Answer 9

6. depreciation

Question 10

Accounts __________ found on the Balance Sheet.

Answer 10

Accounts Payable

Question 11

Accounts Payable found on the ______ _______.

Answer 11

Balance Sheet

Question 12

_________ ________ occur when the corporation purchases inventory on credit.

Answer 12

Accounts Payable

Question 13

Accounts Payable occur when the corporation purchases ___________ on _________.

Answer 13

inventory on credit

Question 14

Widget Shoes purchase laces for its shoes from a vendor for $3,000. The vendor expects to be paid, but midget Shoes promises to pay for the laces within 30 days of receipt of the laces. Once the laces are delivered from the vendor to widget shoes, widget shoes owes the $3,000 to the vendor. That $3,000 is a liability for Widget Shoes and must be reflected on the Balance Sheet of Widget Shoes. Thus, upon receipt of the laces, Widget Shoes would record $3,000 as accounts payable to record the debt Widget Shoes owes to the vendor.

What is this an example of?

Answer 14

Accounts Payable

Question 15

Accumulated Depreciation - found on the _______ ________.

Answer 15

Balance Sheet

Question 16

Accumulated ________ - found on the Balance Sheet.

Answer 16

Depreciation