1. Assets are equal to

1. liabilities + owner's equity.
2. liabilities - owner's equity.
3. liabilities - revenues.
4. revenues - expenses.

2. The process that begins with recording business transactions and includes the completion of the financial statements is the

1. calendar year.
2. natural business years.
3. fiscal year.
4. accounting cycle.

3. The first step of the accounting cycle is

1. recording journal entries.
2. posting to the ledger.
3. preparing a trial balance.
4. analyzing business transactions

4. Which of the following is NOT a main type of Special Journal?

1. Sales Journal
2. Personnel Journal
3. Cash Receipts Journal
4. Cash Payments Journal