7. A total of $3,500 in supplies was purchased during the year. At the end of the year $820 of the supplies were left. The adjusting entry needed at the end of the year is:
A.	debit Supplies $1,300; credit Supplies Expense $1,300
B.	debit Supplies Expense $2,680; credit Supplies $2,680
C.	debit Supplies Expense $820; credit Supplies $820
D	debit Supplies $2,680; credit Supplies Expense $2,680
8. A balance sheet reports:
A. The assets, liabilities, and owners equity on a particular date.
B. The difference between revenues and expenses during the period.
C. The change in the owners equity during the period.
D. The cash receipts and cash payments during the period.
9. Davie Services purchased $500 of office furniture on account. The effect of this transaction
on the accounting equation is to:
A. Have no effect on total assets.
B. Increase assets and decrease owners equity.
C. Increase assets and increase liabilities.
D. Decrease assets and decrease owners equity.
10. The journal entry to record the payment of $600 to a vendor on account is:
A. Accounts Receivable 600
	Cash 600
B. Cash 600
Accounts Payable 600
C. Cash 600
Accounts Receivable 600
D. Accounts Payable 600
	Cash 600 .
11. A building that cost $140,000 has accumulated amortization of $70,000. The book value of the building is
A. $70,000
B. $80,000
C. $150,000
D. $190,000 .
12. Which of the following statements is false?
A	Liabilities are economic obligations to outsiders.
B	Assets are economic resources that are expected to benefit future periods.
C	Expenses are decreases in owners equity that result from delivering goods and services
D	to customers.
	Revenues are assets because they represent economic benefits.