5A business transaction affects a least two accounts. True/FalseA business transaction affects a least two accounts.
6True/False“Assets + Liabilities = Owner’s Equity” is another way to express the accounting equation.
7True/FalseThe private enterprise system is based on the right to own property.
8True/FalseThe owner’s personal financial transactions are part of the business’s records.
9True/FalseFull Screen view removes the toolbars, rulers, and scrollbars from the screen.
10True/FalsePress the Down arrow key to move the insertion point to the next page.
11True/FalseThe owner’s claims to the assets of a business are liabilities.
12True/FalseWhen a business transaction occurs, the financial position of the business changes.
13True/FalseA creditor has a financial claim to the assets of a business.
14Multiple ChoiceIf the creditor’s financial claim to property totals $1,000 and the owner’s financial claim to property totals $11,000, the property value is$10,000.$11,000.$12,000.$1,000.
15Multiple Choice asset. liability. owner’s equity. none of the above. The account Accounts Receivable is an example of a(n)asset.liability.owner’s equity.none of the above.
16Multiple Choice Office Furniture. Accounts Payable. Cash in Bank. All of the following account names are asset names, exceptOffice Furniture.Accounts Payable.Cash in Bank.Equipment.
17Multiple ChoiceIf a business has assets of $5,600 and liabilities of $900, the owner’s equity is$6,500.$900.$4,700.$5,600.
18Multiple Choice cash transaction. credit transaction. A business transaction that involves a purchase on account is considered to be a(n)cash transaction.credit transaction.investment by the owner.expense transaction.
19Multiple Choice Cash in Bank and Accounts Payable. If a business purchases a calculator on account, the accounts affected by this transaction are:Cash in Bank and Accounts Payable.Office Equipment and Accounts Receivable.Office Equipment and Cash in Bank.Office Equipment and Accounts Payable.
20Multiple Choice advertising. monthly rent. utility bills. equipment Each of the following is a business expense, except payment for:advertising.monthly rent.utility bills.equipment
21Multiple Choice grammatical formatting layout spelling A _____ error is identified with a wavy red line.grammaticalformattinglayoutspelling
22Multiple Choice Cash in Bank. Accounts Payable. Accounts Receivable. The purchase of a desk on account will increase Office Furniture and will also increaseCash in Bank.Accounts Payable.Accounts Receivable.Jon McIvey, Capital.
23CompletionThe ____ is Assets = Liabilities + Owner’s Equity.
24CompletionA(n) ____ is any property or item of value owned by a business.
25Completion______ are the creditor’s claims to the assets of the business.
26CompletionBuying ___ ____ is the same as buying on credit.
27Completion_____ is income earned from the sale of goods and services.
28CompletionA person or business that sells property on credit, or any person or business to which money is owed, is called a(n) ______.
29CompletionThe amount of money owed to the creditors of a business is _______.
30Completion_____ refers to the dollar amount of the owner’s equity in the business.
31CompletionThe costs of goods and services used to operate a business are _____.