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Match the following terms with the appropriate definition. A. Accrued expenses B. Adjusting entry C. Adjusted trial balance D. Prepaid expenses E. Revenue recognition principle
Match the following terms with the appropriate definition. A. Accrued expenses B. Adjusting entry C. Adjusted trial balance D. Prepaid expenses E. Revenue recognition principle F. Contra account G. Profit margin H. Unadjusted trial balance I. Natural business year --- 1. A 12-month period used by companies with seasonal variation that ends when a company's sales activities are at their lowest point. 2. A journal entry made at the end of an accounting period to reflect a transaction or event that is not yet recorded; affects one or more income statement accounts and one or more balance sheet accounts, but never cash. 3. An account linked with another account that has an opposite normal balance. 4. Assets paid for in advance of receiving their benefits; recorded as an asset when purchased and expensed when used. 5. Any length of time that an organization's activities are divided into and reported by financial statements. 6. A listing of accounts and balances prepared after adjustments are recorded and posted to the ledger. 7. Costs that are incurred in a period but are both unpaid and unrecorded, requiring an adjustment at the end of the period. 8. A list of accounts and balances before adjustments are recorded. 9. A useful measure of a company's operating results determined by dividing net income by net
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