Instructions Select the correct answer from the below questions statements Then, submit your answers to the professor using the Course Message GAAP refers to General Accounting Assistance Program Generally Accepted Accounting Principles Generally Acceptable Account Procedures Generally Accepted Accounting Processes One purpose of GAAP is to provide between accounting periods Relativity Compression Comparability Collaboration When Capital is increased in the Double Entry Method of accounting, the result is A debit A credit Not enough information to determine None of the above The purpose of the Trial Balance is to Check the solvency of the company Identify credits and debits Find misclassified transactions Verify that credits equal debits Retained earnings are revenue of a corporation that is Not paid out in dividends Issued in stock Paid to shareholders Considered gross profit Common stock has a balance and is a an to the Corporation Debit Liability Debit Asset Credit Equity Credit Liability Bertas Bakery recently delivered a bad batch of cakes to a local restaurant Berta quickly refunded the cost of the cakes to the restaurant Her accountant made a to her Refunds of Sales account for this transaction Debit Credit Cost Adjustment Deposit Fred Landscaping Company provided cleaning and landscaping a service to Win Shoe Company on January 15 th , 201 As of January 31 st , 2018, Win Shoe Company still owes $6,500 to Fred Landscaping Company for the service provided Fred Landscaping Company recorded a debit in and a credit in as of January 31 st , 2018 Accounts Receivables Equity Accounts Receivables Cash Accounts Receivables Revenue Accounts Receivables Wages An example of Cash is Accounts Receivables Notes Receivables Certificate of Deposit Stock Certificates The accounting equation is Debits Credits Assets Liabilities Owners Equity Revenues Cost of Goods Sold Gross Margin Assets Expenses Net Income A Revenue account Increases on the Credit Side Closes at the end of the accounting period Is an Income Statement Account All of the Above Which of the following items would not fall under the definition of an Asset Land Cash Machinery Note Payables Which of the following items would fall under the definition of a liability Cash Land Rent Expense Mortgage Payable A business has the following items in it What is the value of the Owners Equity Land $1,000,000 Machinery $20,000 Cash $10,000 Debt $0 Owners equity $1,000,000 $1,020,000 $1,030,000 $1,500,000 A business has the following items in it What is the value of the Assets in this business Owners equity $600,000 Total liabilities $1,400,000 Assets $600,000 $350,000 $3,000,000 $2,000,000

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Instructions: Select the correct answer from the below questions/statements. Then, submit your answers to the professor using the Course Message.

GAAP refers to:
1. General Accounting Assistance Program
2. Generally Accepted Accounting Principles
3. Generally Acceptable Account Procedures
4. Generally Accepted Accounting Processes

One purpose of GAAP is to provide _________ between accounting periods.
1. Relativity
2. Compression
3. Comparability
4. Collaboration

When Capital is increased in the Double-Entry Method of accounting, the result is:
1. A debit
2. A credit
3. Not enough information to determine
4. None of the above

The purpose of the Trial Balance is to:
1. Check the solvency of the company
2. Identify credits and debits
3. Find misclassified transactions
4. Verify that credits equal debits

Retained earnings are revenue of a corporation that is:
1. Not paid out in dividends
2. Issued in stock
3. Paid to shareholders
4. Considered gross profit

Common stock has a _______ balance and is a/an _______ to the Corporation.
1. Debit; Liability
2. Debit; Asset
3. Credit; Equity
4. Credit; Liability

Bertas Bakery recently delivered a bad batch of cakes to a local restaurant. Berta quickly refunded the cost of the cakes to the restaurant. Her accountant made a _______ to her Refunds of Sales account for this transaction:
1. Debit
2. Credit
3. Cost Adjustment
4. Deposit

Fred Landscaping Company provided cleaning and landscaping a service to Win Shoe Company on January 15^th, 201 As of January 31^st, 2018, Win Shoe Company still owes $6,500. to Fred Landscaping Company for the service provided. Fred Landscaping Company recorded a debit in ______ and a credit in ______as of January 31^st, 2018:
1. Accounts Receivables; Equity
2. Accounts Receivables; Cash
3. Accounts Receivables; Revenue
4. Accounts Receivables; Wages

An example of Cash is:
1. Accounts Receivables
2. Notes Receivables
3. Certificate of Deposit
4. Stock Certificates

The accounting equation is:
1. Debits = Credits
2. Assets = Liabilities + Owners Equity
3. Revenues = Cost of Goods Sold Gross Margin
4. Assets = Expenses + Net Income

A Revenue account:
1. Increases on the Credit Side
2. Closes at the end of the accounting period
3. Is an Income Statement Account
4. All of the Above

Which of the following items would not fall under the definition of an Asset?
1. Land
2. Cash
3. Machinery
4. Note Payables

Which of the following items would fall under the definition of a liability?
1. Cash
2. Land
3. Rent Expense
4. Mortgage Payable

A business has the following items in it. What is the value of the Owners Equity? - Land $1,000,000 - Machinery $20,000 - Cash $10,000 - Debt $0 - Owners equity ____

A business has the following items in it. What is the value of the Assets in this business? - Owners equity $600,000 - Total liabilities $1,400,000 - Assets _____
1. $600,000
2. $350,000
3. $3,000,000
4. $2,000,000