9. A count revealed $300 of supplies on hand. Stmt. of Cash Flows Income Statement Balance Sheet Assets Liabilities Acct. Acct. Salaries Receiv. + Supplies + Equip. Pay. + Pay. Stockholders' Equity Common Retained Stock + Earnings Net Income Cash + Revenue - Expenses Cash Flow What amount of supplies will be shown on the December 31, 2020 balance sheet of Greenstreet CPAs? A) $300 B) $1,300 C) $1,000 D) $1,600 10. Greenstreet CPAs received a $3,500 deposit from Computer Company for an audit to be performed later in the year. Stmt. of Cash Flows Income Statement Assets Balance Sheet Liabilities Acct. Unearned Equip. Pay. Revenue Stockholders' Equity Common Retained Stock Earnings Acct. Receiv. + Supplies Net Income Cash Revenue Expenses = Cash Flow Which account increases when a client pays Greenstreet CPAs in advance of Greenstreet providing the service? A) Accounts receivable B) Revenue C) Retained earnings D) Unearned revenue 11. Employees of Greenstreet CPAs earned $5,600 in salaries during the last week of July. Paychecks will be issued next month. Stmt. of Cash Flows Income Statement + Balance Sheet Assets Liabilities Acct. Acct. Salaries + Receiv. + Supplies - Equip. = Pay. + Pay. Stockholders' Equity Common Retained Stock + Earnings Net Income Cash Revenue -Expenses = Cash Flow How do expenses impact the stockholders' equity of a company? A) Expenses decrease stockholders' equity. B) Expenses increase stockholders' equity. C) Expenses do not impact stockholders' equity. 12. Greenstreet CPAs paid its employees for the hours worked in #11 above. Stmt. of Cash Flows Income Statement Balance Sheet Assets Liabilities Acct. Acct. Salaries Receiv. + Supplies - Equip. Pay. + Pay. Stockholders' Equity Common Retained Stock + Earnings Net Income Cash + Revenue Expenses = Cash Flow This transaction decreases which account in Greenstreet CPAs' accounting records? A) Salaries expense B) Retained earnings C) Accounts receivable D) Salaries payable 13. Greenstreet CPAs completed the audit for Computer Company from transaction #10 above. Stmt. of Cash Flows Income Statement + Balance Sheet Assets Liabilities Acct. Acct. Unearned + Receiv. + Supplies - Equip. Pay. + Revenue Stockholders' Equity Common Retained Stock + Earnings Net Income Cash + Revenue Expenses = Cash Flow On which financial statement will unearned revenue appear? A) Income statement B) Statement of stockholders' equity C) Balance sheet D) Statement of cash flows 14. Greenstreet CPAs paid $2,000 for a copy machine. Stmt. of Cash Flows Income Statement + Balance Sheet Assets Liabilities Acct. Acct. Salaries + Receiv. + Supplies - Equip. Pay. + + Pay. Stockholders' Equity Common Retained Stock + Earnings Cash Net Income + Revenue Expenses Cash Flow How does this transaction impact the income statement of Greenstreet CPAs? A) Expenses increase. B) Revenue decreases. C) Cash decreases. D) There is no impact to the income statement. 15. Greenstreet CPAs completed an audit and collected $4,350 from Train Inc. Stmt. of Cash Flows Income Statement + Balance Sheet Assets Liabilities Acct. Acct. Salaries + Receiv. + Supplies + Equip. Pay. + Pay. Stockholders' Equity Common Retained Stock + Earnings Net Income Cash Revenue Expenses Cash Flow Which account on the balance sheet increases when Greenstreet CPAs provides accounting services to a client? A) Retained earnings B) Accounts payable C) Revenue D) Common stock 16. Greenstreet CPAs received a $525 electric bill and plans to pay the bill next month. Stmt. of Cash Flows Income Statement Balance Sheet Assets Liabilities Acct. Acct. Utilities Receiv. + Supplies - Equip. Pay. Pay. Stockholders' Equity Common Retained Stock + Earnings Cash + Revenue Expenses = Net Income Cash Flow The balance in the utilities payable account represents: A) the amount that the utility company owes to Greenstreet CPAS. B) the amount that Greenstreet CPAs currently owes to the utility company. C) the total of all utility bills Greenstreet CPAs received this year. D) the amount that Greenstreet CPAs paid to the utility company last month
