KC 1. (a) The name of the statement that presents the revenue, expenses, and net income (or net loss) is the (b) The statement that presents the assets, liabilities, and owner's equity is the (c) An inflow of assets from customers, earned from the sale of goods or services, is (d) The costs of goods and services used by a company to bring in revenue are (e) When revenue is greater than expenses, the difference is (6) When expenses are greater than revenues, the difference is (g) Underline the appropriate terms in the statements that follow: Net income increases/decreases equity. Net loss increases/decreases equity. (h) The period of time covered by the financial statements is called the () (1) If the revenue is $24 500 and the expenses are $18 000, the net income is (2) If the revenue is $24 500 and the expenses are $28 000, the net loss is 6) Another term for accounting period is (k) The twelve-month period from January 1 to December 31 is called the KC 2. Give examples of each of the following. time period principle: matching principle: Copyright 2002 Pearson Education Canada Ine. Toronto, Ontario Chapter 3/Unit 4 Review Sheet 4/Preparing the Income Statement (cont.) accrual basis of accounting cash basis of accounting