3)

Issuing debt is an example of a(n)

operating activity.

investing activity.

financing activity.

noncash investing and financing activity.

4)

The ending Retained Earnings balance is found on which of the following statements?

Income Statement

Balance Sheet

Statement of Retained Earnings

Both Balance Sheet and Statement of Retained Earnings above

5)

Which of the following describes the normal balance and classification of the Unearned Revenue account?

Credit, liability

Debit, liability

Debit, stockholders equity

Credit, stockholders equity

6)

Which of the following items is handled as a deferral?

Accrued Expenses

Accrued Revenues

Prepaid Expenses

Depreciation