ACC 231 Exam 1 answers Question and answers 100% correct 2025/2026
which of the following is not included in the calculation assets
for retained earnings?
Cabbage Co. paid expenses of $2,000. What is the im- Increase
Expenses by
pact of this transaction?$2000
3. Everest & Sons incurred expenses of $51,000 $62000
and had a net loss of ($11,000). What are the
company's rev- enues?
4. Which of the following options would revenues
increase Re- tained Earnings?
5. Which of the following statements is true They belong on the
about Rev- enues? income statement
and show what the
company has earned
by providing goods
or services.
6. Which of the following statements is false in regard to It covers
unspecified time
the Accounting Cycle? periods. Service
7. When a company journalizes a sale of services revenue
on ac- count, which account is credited?
8. When a company journalizes the purchase of invento- Cash
ry with cash, which account is credited?
9. which of the following options has a of ser-
normal credit balance
10. Consider the following transaction: Sell $1,000
1/
7
, revenues
Debit Accounts Receivable
vices on account. What is the appropriate journal entry $1,000 and
Credit Service
for this transaction? Revenue $1,000
2/
7
which of the following is not included in the calculation assets
for retained earnings?
Cabbage Co. paid expenses of $2,000. What is the im- Increase
Expenses by
pact of this transaction?$2000
3. Everest & Sons incurred expenses of $51,000 $62000
and had a net loss of ($11,000). What are the
company's rev- enues?
4. Which of the following options would revenues
increase Re- tained Earnings?
5. Which of the following statements is true They belong on the
about Rev- enues? income statement
and show what the
company has earned
by providing goods
or services.
6. Which of the following statements is false in regard to It covers
unspecified time
the Accounting Cycle? periods. Service
7. When a company journalizes a sale of services revenue
on ac- count, which account is credited?
8. When a company journalizes the purchase of invento- Cash
ry with cash, which account is credited?
9. which of the following options has a of ser-
normal credit balance
10. Consider the following transaction: Sell $1,000
1/
7
, revenues
Debit Accounts Receivable
vices on account. What is the appropriate journal entry $1,000 and
Credit Service
for this transaction? Revenue $1,000
2/
7
