PROBLEM IA balance sheet reports the revenues and expenses for a period of time.$|$

a$.$ True

b$.$ False

An income statement is a summary of the revenues and expenses of a business for a specific

period of time.

a$.$ True

b$.$ False

The statement of cash flows consists of an asset section, an income section, and an equity

section

a$.$ True

b$.$ False

A group of related accounts that make up a complete unit us called a ledger.

a$.$ True

b$.$ False

A chart of accounts is a listing of accounts that make up ledger.

a$.$ True

b$.$ False

Equipment is an example of a liability.

a$.$ True

b$.$ False

Building is an example of an asset

a$.$ True

b$.$ False

Accounts Receivable is an example of an asset.

a$.$ True

b$.$ False

Accounts payable is an example of a liability.

a$.$ True

b$.$ False

Drawings are a commonly used term for liabilities.

a$.$ True

b$.$ False

The right side of the account is referred to as the debit side.

a$.$ True

b$.$ False

The tree parts of a $T$ account are the title, a space for recording increases, and a space for

recording decreases

a$.$ True

b$.$ False

Expense accounts are increased by debits.

a$.$ True

b$.$ False

Anna Taylor started a new business, Taylor Gymnastics, and completed the following transactions during

December

Dec. $1$ Anna contributed $$3,000$ cash in exchange for services provided

Received $$4,000$ cash from customers for services provided

$5,$ Paid $$100$ cash for office supplies

$9$ Performed services for a customer and billed the customer for services rendered, $$3,000$

$10$ Received $$200$ bill for utilities due in two weeks

$15$ Paid for advertising in local paper, $$125$

$20$ Paid utility bill received on Dec. $10$

$25$ Collected cash from customer billed on Dec. $9$

$28$ Paid rent for the month, $$1,500$

$28$ Paid $$1,050$ to assistant for wages

$30$ Received $$2,800$ cash from customers for service performed

$31$ Cash dividends of $$2,000$ were paid to stockholders.

Using the accounting equation place the transactions in the spreadsheet provided. $($See pg$.2)$