$4.$ The cost of an asset and its fair value are

Select answer from the options below:

a$)$irrelevant when the asset is used by the business in its operations.

b$)$never the same.

c$)$the same on the date of acquisition.

d$)$the same when the asset is sold.

$6.$ If the sum of the debit column equals the sum of the credit column in a trial balance, it indicates

Select answer from the options below:

a$.$ no errors can be discovered.

b$.$ no errors have been made.

c$.$ the mathematical equality of the accounting equation.

d$.$ that all accounts reflect correct balances.

$7.$ The final step in the recording process is to

Select answer from the options below:

a$.$ enter the transaction in a journal.

b$.$ prepare a trial balance.

c$.$ transfer journal information to ledger accounts.

d$.$ analyze each transaction.

$8.$ The time period assumption states that

Select answer from the options below:

a$.$ the economic life of a business can be divided into artificial time periods.

b$.$ estimates should not be made if a transaction affects more than one time period.

c$.$ adjustments to the company's accounts can only be made in the time period when the business terminates its operations.

d$.$ a transaction can only affect one period of time.

$9.$ Under accrual$-$basis accounting

Select answer from the options below

a$.$ net income is calculated by matching cash outflows against cash inflows.

b$.$ cash must be received before revenue is recognized.

c$.$ events that change a company's financial statements are recognized in the period they occur rather than in the period in which cash is paid or received.

d$.$ the ledger accounts must be adjusted to reflect a cash basis of accounting before financial statements are prepared under generally accepted accounting principles.

$10.$ Sunland Company purchased supplies costing $$7030$ and debited Supplies for the full amount. At the end of the accounting period, a physical count of supplies revealed $$1870$ still on hand. The appropriate adjusting journal entry to be made at the end of the period would be

Select answer from the options below

a$.$ Debit Supplies Expense, $$1870$; Credit Supplies, $$1870.$

b$.$ Debit Supplies, $$1870$; Credit Supplies Expense, $$1870.$

c$.$ Debit Supplies, $$5160$; Credit Supplies Expense, $$5160.$

d$.$ Debit Supplies Expense, $$5160$; Credit Supplies, $$5160.$