Accounting

What are cumulative earnings that have not been distributed to stockholders called?

Retained Earnings

The financial benefit earned by providing a product or service to a customer, resulting in an increase in assets or a decrease in liabilities is called

Revenue

What is the total of Bryant's current liabilities?

78000

Which of the following statements concerning retained earnings is true? A. Retained earnings is the difference between revenues and expenses. B. Retained earnings is increased by dividends and decreased by net income. C. Retained earnings represents accumulation of the income that has not been distributed as dividends. D. Retained earnings is reported as a liability on the balance sheet.

C. Retained earnings represents accumulation of the income that has not been distributed as dividends. Answer is C

Which of the following is the definition of an expense? A. claims by outsiders on the resources of a business B. resources which provide future economic benefits to a business C. cost of assets used, or the liabilities created, in the operation of the business D. distribution of assets to shareholders

C. cost of assets used, or the liabilities created, in the operation of the business Answer is C

For the most recent year, Bryant Company reported Revenues of $182,300, Accounts Payable of $75,000, Income Tax Expense of $3,800, Cost of Goods Sold of $108,800, Unearned Revenue of $3,000, Inventory of $8,500, Salaries Expense of $48,600, Accounts Receivable of $25,000, Rent Expense of $12,000, Cash of $12,300, Property, Plant, and Equipment of $95,500, and Interest Expense of $1,500. What was Bryant's operating income?

12900

At December 31, Marker reported the following items: cash, $7,500; inventory, $3,900; accounts payable, $5,900; accounts receivable, $3,100; common stock, $6,000; property, plant, and equipment, $10,500; interest payable, $1,600; retained earnings, $11,500. What is the total of Marker's stockholders' equity?

17500

Which of the following statements are TRUE? I. Debits represent decreases, and credits represent increases. II. Debits must always equal credits. III. Assets have normal debit balances while liabilities and stockholders' equity have normal credit balances.

2 and 3

What is the total of Bryant's current assets?

45800

At December 31, Pitt Inc. has assets of $12,900 and liabilities of $6,300. What is the stockholders' equity for Pitt at December 31?

6600

What is Bryant's gross margin

73500

What is Bryant's net income?

7600

In June 2019, the company paid $2,400 for a one-year insurance policy for July 2019 through June 2020. The journal entry would be

A debit to Prepaid Insurance for $2,400 and a credit to Cash for $2,400.

Which of the following statements are TRUE? I. A journal provides a chronological record of a transaction II. A journal entry contains the complete effect of a transaction. III. The first step in preparing a journal entry involves analyzing the transaction

All of these are true

Which of the financial statements is prepared for a specific date?

Balance Sheet

Which of the following is correct? A. Cost of Goods Sold and Accounts Payable are asset accounts B. Retained Earnings is an asset account and Unearned Revenue is a revenue account. C. Cost of Goods Sold is an expense account and Prepaid Insurance is an asset account D. Unearned Revenue is an asset account and Accounts Receivable is a liability account.

C. Cost of Goods Sold is an expense account and Prepaid Insurance is an asset account Answer is C

The Statement of Retained Earnings includes:

Dividends, Beginning Retained Earnings, and Net Income

Which of the following statements regarding business activities is true?

Financing activities include obtaining the funds necessary to begin and operate a business.

What is the correct order for preparing the financial statements

Income Statement, Statement of Retained Earnings, Balance Sheet, Statement of Cash Flows

The effects of purchasing inventory on credit are to:

Increase assets and increase liabilities.

Depreciation Expense belongs in

Operating Expenses

What type of questions do the financial statements help to answer? A. Is the company better off at the end of the year than at the beginning of the year? B. What resources does the company have? C. For what did a company use its cash during the year? D. All of the above.

The answer is all of the above

Which of the following statements is FALSE?

The left side of a T -account is called the credit side.

The company borrowed $10,000 at 8% interest from the bank. The journal entry would be

a debit to Cash for $10,000 and a credit to Notes Payable for $10,000

The journal entry for paying salaries for the current period would include

debit to Salaries Expense and a credit to Cash

Debits will:

increase assets, expenses, and dividends.

Posting:

involves transferring the information in journal entries to the general ledger.

A trial balance:

lists all accounts and their balances.

Under the expense recognition principle, a business should record an expense when the business

uses a resource.