ACCT 2101 EXAM 1 QUESTIONS WITH
100% VERIFIED ANSWERS
\.liabilities - ANSWERS-probable debts or obligations of the business
enterprise that result from past transactions, which will be paid with
assets or services
\.stockholders' equity - ANSWERS-financing provided by the owners of a
business enterprise and from business operations
\.operating cycle - ANSWERS-time it takes for a company to pay
suppliers, sell goods and services to customers, and collect case from
customers
\.revenues - ANSWERS-increases in assets or settlements of liabilities
from ongoing operations
\.expenses - ANSWERS-decreases in assets or increases in liabilities
incurred to generate revenues during an accounting period
, \.cash basis accounting - ANSWERS-an overall method of accounting
that records revenue when cash is received and expenses when cash is
paid
\.accrual basis accounting - ANSWERS-an overall method of accounting
that records revenue when earned and expenses when incurred
\.revenue principle - ANSWERS-principle that revenues are recognized
when (1) goods or services are delivered, (2) there is persuasive
evidence of an arrangement for customer payment, (3) the price is fixed
or determinable, and (4) collection is reasonably assured
\.balance sheet - ANSWERS-statement that reports the amount of
assets, liabilities, and stockholders' equity of a business enterprise at a
specific point in time
\.income statement - ANSWERS-statement that reports the revenues
less the expenses of a business enterprise during an accounting period
\.statement of retained earnings - ANSWERS-statement that reports the
way that net income and the distribution of dividends affected the
financial position of a business enterprise during an accounting period
100% VERIFIED ANSWERS
\.liabilities - ANSWERS-probable debts or obligations of the business
enterprise that result from past transactions, which will be paid with
assets or services
\.stockholders' equity - ANSWERS-financing provided by the owners of a
business enterprise and from business operations
\.operating cycle - ANSWERS-time it takes for a company to pay
suppliers, sell goods and services to customers, and collect case from
customers
\.revenues - ANSWERS-increases in assets or settlements of liabilities
from ongoing operations
\.expenses - ANSWERS-decreases in assets or increases in liabilities
incurred to generate revenues during an accounting period
, \.cash basis accounting - ANSWERS-an overall method of accounting
that records revenue when cash is received and expenses when cash is
paid
\.accrual basis accounting - ANSWERS-an overall method of accounting
that records revenue when earned and expenses when incurred
\.revenue principle - ANSWERS-principle that revenues are recognized
when (1) goods or services are delivered, (2) there is persuasive
evidence of an arrangement for customer payment, (3) the price is fixed
or determinable, and (4) collection is reasonably assured
\.balance sheet - ANSWERS-statement that reports the amount of
assets, liabilities, and stockholders' equity of a business enterprise at a
specific point in time
\.income statement - ANSWERS-statement that reports the revenues
less the expenses of a business enterprise during an accounting period
\.statement of retained earnings - ANSWERS-statement that reports the
way that net income and the distribution of dividends affected the
financial position of a business enterprise during an accounting period
