ACC 100 QUIZZES QUESTIONS WITH CORRECT ANSWERS LATEST UPDATE 2026

ACC 100 QUIZZES QUESTIONS WITH CORRECT ANSWERS LATEST UPDATE 2026 Which qualitative characteristic or assumption is best represented by the following statement? Information is complete and unbiased. - Answers faithful Which qualitative characteristic or assumption is best represented by the following statement? Businesses will continue their operations into the future - Answers going concern Which qualitative characteristic or assumption is best represented by the following statement? Information helps predict the future or confirm the past - Answers relevant What stakeholder is MOST likely to ask the following? Will the business be able to pay its outstanding bills? - Answers Supplier (Wholesaler) What stakeholder is MOST likely to ask the following? Should money be lent to a business? - Answers Lender (banker) What stakeholder is MOST likely to ask the following? What is the warranty plan on this business's products? - Answers Customer What business sector is an "Investment Advisor" in? - Answers tertiary What business sector is an "Farmer" in? - Answers primary What business sector is an "Nurse" in? - Answers tertiary Retained Earnings = Equity (256838) - Owner's Capital (114150) - Answers $142,688 How is this entered in the basic accounting equation? PAID $800 for advertising that ran on the radio? - Answers Assets decrease, owners' equity decreases How is this entered in the basic accounting equation? Paid down your credit card bill of $3200 - Answers Assets decrease, liabilities decrease How is this entered in the basic accounting equation? Paid cash of $350 to repair the office's door - Answers Assets decrease, owners' equity decreases What is the basic accounting equation? - Answers Assets = Liabilities + Equity TRUE or FALSE: Paid the rent for the previous money, $2450, accounts 'Rent Expense & Cash' are affected? - Answers True TRUE or FALSE: By the end of the money used up $750 of supplies you had on hand, accounts 'Supplies Expense & Cash' are affected? - Answers False TRUE or FALSE:$923 of services were provided to customers for cash, accounts 'Service Revenue & Cash' were affected? - Answers True TRUE or FALSE: You the owner, invest $12,000 cash into the business. accounts 'Owners' capital & cash' are affected? - Answers True Where does the "Sales Revenue" account belong on the financial statement? - Answers revenues Where does the "Prepaid Rent" account belong on the financial statement? - Answers assets Where does the "Maintenance Expense" account belong on the financial statement? - Answers expenses Where does the "Rent Expense" account belong on the financial statement? - Answers expenses TRANSACTION OR EVENT: Provided services in exchange for cash - Answers Transaction TRANSACTION OR EVENT: Purchased a business license with a credit card - Answers transaction What is the effected element from the following business activity? : You are the buyer, shipping terms are FOB destination and the cost is $80 cash -- Assets - Answers no effect What is the effected element from the following business activity? : Bought Inventory in exchange for cash, $679 -- Liabilities - Answers no effect What is the effected element from the following business activity? : As a buyer you ordered inventory with terms FOB shipping point, Shipping costs are $250 cash --- Assets - Answers increase to one, decrease to another What is the effected element from the following business activity? : You are the seller, shipping terms are FOB destination and the cost is $50 cash -- Assets - Answers decrease What is the effected element from the following business activity? : You bought inventory with shipping terms FOB destination. Shipping costs $115 cash -- Assets - Answers no effect What is the effected element from the following business activity? : You sell inventory with shipping terms FOB destination. Shipping costs $185 cash -- Assets - Answers decrease What is the effected element from the following business activity? : sold product to a customer for $2450 cash. The cost of the inventory was $1500 --- Revenues - Answers increase What is the effected element from the following business activity? : sold product to a customer on account for $3450. The cost of the inventory was $1950 -- Expense - Answers increase Who pays for shipping in FOB shipping point? - Answers The buyer Who pays for shipping FOB destination? - Answers The seller What is the effected element from the following business activity? : Make a payment of $25 for interest on a loan that was appropriately accrued at the end of last month -- Equity - Answers no effect What is the effected element from the following business activity? : A business with a 30% tax rate makes an accrual: revenues are $118,000 and expenses are $102,000 -- Revenues - Answers no effect What is the effected element from the following business activity? : Received inventory worth $6,200 from your supplier, purchased with terms 1/5, n/15. --- Liabilities - Answers increase What is the effected element from the following business activity? : Paid for $2,450 of inventory you purchased 2/15, n/40 on Apr. 18. It is May 8. --- Assets - Answers decrease What is the effected element from the following business activity? : Paid for $1,200 of inventory you purchased 1/10, n/30, on Feb. 12. It is Feb. 22. --- Liabilities - Answers decrease What is the effected element from the following business activity? : A business with a 10% 6 month loan of $25,000, taken out Oct. 1, makes a month-end entry for interest. --- Revenue - Answers no effect Which of the following statements about profitable ratios is true? - Answers they are used as a gauge of a company's operation effectiveness Solvency ratios are of particular interest to - Answers creditors Which statement about a ratio calculated in the analysis of financial statements is true? - Answers it expresses a mathematical relationship between two numbers