Test 2 part 1 Flashcards
1
Q
assets to be classified as current assets
A
Cash
Prepaid Insurance
Accounts Receivable
Inventory
2
Q
liabilities to be classified as current liabilities
A
Accounts Payable
Interest Payable
3
Q
assets to be classified as Plant, Property and Equipment (PPE)
A
Land
Building (After Depreciation)
4
Q
Credits
A
Liabilities
Common Stock
Revenue
5
Q
Debits
A
Assets
Dividends
Expenses
6
Q
What is on Income Statement in order
A
- Revnue
- COGS
- GRoss Profits ( 1-2 )
- EXpenses
- Operating Profit ( 3-4 )
- Gain on Equipment Sale
- INtrest Expense
- Income Before Taxes ( 5+6-7 )
- Income Tax Expense ( 8 x tax % )
- Net Income ( 8-9 )
- Shares ( 10 / Outstanding Shares )
7
Q
Unearned Service Revenue
A
Credit
8
Q
Common Stock
A
Credit
9
Q
Selling Expenses
A
Debit
10
Q
Intrest Expense
A
Debit
11
Q
Supplies Expense
A
Debit
12
Q
Retained Earnings
A
Credit
13
Q
COGS
A
Debit
14
Q
Patents
A
Debit
15
Q
Cash & Cash Equivalents
A
Debit
