1. T F A Debit" is an entry on the left-hand side of a double-entry ledger, used to record an increase in an asset or expense account, and decrease in a liability account 2. T F "Profit' is revenue minus expenses, and is also the return to the owner's equity capital, unpaid labor, and management. 3. T F The Balance Sheet is also called a Net Worth Statement 4. T F The Balance sheet is a summary of revenues and expenses as recorded over a period of time. 5. T F Depreciation is the annual loss in value due to use, wear, tear, age, and technical obsolescence. 6. T F The three standards of comparison when measuring management performance of a farm or ranch enterprise are: 1) quantity of sales, 2) gross income, and 3 ) total farm assets. 2) gross income, and 3) total farm assets. 7. T F The typical or average input levels used in published enterprise budgets are not always the profit-maximizing levels for any individual farm. 8. T F opportunity costs are never included in an enterprise budget. 9. T F The primary purpose of a cash flow budget is to estimate the amount and timing of future borrowing needs and loan payments. 10 T F After performing investment analysis using a cash flow budget, it will be obvious that a planned investment found to be profitable will then always be financially feasible