acc202 chapter 3

the statement of stockholders equity includes these amounts:

dividends for the period, ending balance retained earnings, net income

how do temporary accounts differ from permanent accounts

only temporary accounts are cleared out at the end of the accounting period

the sum of current and long-term assets reported on the balance sheet is referred to as

total assets

the post-closing trial balance helps to verify that:

we prepared and posted closing entries correctly, the accounts are ready for next periods transactions

a classified balance sheet shows subtotals for current __ and current __

assets; liabilities

on a classified balance sheet, total liabilities represent the sum of what

current/short term and long term liabilities

the post-closing trial balance checks that the total __ equal total ___ at the end of the period

debits; credits

a classified balance sheet

groups asset and liabilities into current and long term categories

revenues and expenses are reported in the:

income statement

the information reported in the statement of cash flows is organized by these activities

investing, operating, financing

a long term liability:

is NOT due within the next year

With respect to current assets, _____ refers to how quickly an asset can be converted to cash.

liquidity

which of the following statements regarding the statement of cash flows are correct

reports cash disbursements, reports cash receipts, the final financial statement that is typically prepared

the amount earned from selling goods or services to customers

revenue/sales

which financial statement reports beginning balances for common stock and retained earnings, current period net income/loss, correct period dividends, common stock issued during the year, ending balances of commons stock and retained earnings

statement of stockholders equity