41. The use of reversing entries is:

	a.	required.
	b.	required whenever adjusting entries are omitted.
	c.	optional.
	d.	optional unless computerized accounting systems are used.

42. The classified balance sheet will show which liability subsections?

	a.	present liabilities and tomorrows liabilities
	b.	current liabilities and long-term liabilities
	c.	current liabilities and other liabilities
	d.	other liabilities and long-term liabilities

43. A fiscal year for a business

	a.	ordinarily begins on the first day of a month and ends on the last day of the following twelfth month
	b.	is determined by the federal government
	c.	should end at the height of the business's annual operating cycle
	d.	always begins on January 1 and ends on December 31 of the same year

44. The statement of retained earnings should be prepared

	a.	before the income statement and after the balance sheet
	b.	after the income statement and before the balance sheet
	c.	before the income statement and balance sheet
	d.	after the income statement and balance sheet

45. During the end-of-period processing, which of the following best describes the logical order of steps?

	a.	preparation of income statement, adjusted trial balance, balance sheet
	b.	preparation of adjusted trial balance, cross-referencing, journalizing
	c.	preparation of adjustments, adjusted trial balance, posting
	d.	preparation of adjustments, adjusted trial balance, financial statements

46. Debts owed by a business are referred to as

	a.	stockholders' equity
	b.	expenses
	c.	liabilities
	d.	accounts receivables

47. Transactions affecting stockholders' equity include

	a.	capital contributions, earning of revenues, incurrence of expenses, and collection of accounts receivable
	b.	stockholder dividends, earning of revenues, incurrence of expenses, and purchase of supplies on account
	c.	capital contributions and payment of liabilities
	d.	capital contributions, stockholder dividends, earning of revenues, and incurrence of expenses