Exam 1, Chapters 2, 3, 4, - Practice Questions Flashcards
If the owners contribute $30,000, you ___(a)___ (___(b)___) on the ___(c)___ of the equation and you also ___(d)___ on the ___(e)___ of the equation
a. assets
b. cash
c. left hand
d. contributed capital
e. right hand side
If you receive $14,000 for common stock you ___(a)___ and ___(b)___ because you ___(c)___
a. credit cash ($14,000)
b. debit common stock ($14,000)
c. issues common stock in exchange for cash
If you pay a $370 utility bill, you ___(a)___ and ___(b)___ because you ___(c)___
a. debit utilities expense ($370)
b. credit cash ($370)
c. paid a utility expense
If you purchase equipment on account for $1,600, you ___(a)___ and ___(b)___ because you ___(c)___
a. debit equipment ($1,600)
b. credit accounts payable ($1,600)
c. purchased equipment on account
If you performed services for a client on account for $2,900, you ___(a)___ and ___(b)___ because you ___(c)___
a. debit accounts receivable ($2,900)
b. credit service revenue ($2,900)
c. performed services for a client on account
If cash dividends pf $200 were paid to stockholders, you ___(a)___ and ___(b)___ because you ___(c)___
a. debit dividends ($200)
b. credit cash ($200)
c. paid cash dividends
If you borrowed $7,100 cash and sign a notes payable, you ___(a)___ and ___(b)___ because you ___(c)___
a. debit cash ($7,100)
b. credit notes payable ($7,100)
c. borrowed cash by signing a note
If you purchase office supplies for $840 and pay cash, you ___(a)___ and ___(b)___ because you ___(c)___
a. debit office supplies ($840)
b. credit cash ($840)
c. purchased office supplies with cash
If you pay the liability for a notes payable for the purchase of equipment in the amount of $1,600, you ___(a)___ and ___(b)___ because you ___(c)___
a. debit accounts payable ($1,600)
b. credit cash ($1,600)
c. paid cash on account
