QUESTION 1 Which of the following is the expression for the basic accounting equation? O a. Assets = Liabilities - Stockholders' Equity O b.Assets + Liabilities = Stockholders' Equity O c. All of these answers are correct O d. Assets = Liabilities + Stockholders' Equity QUESTION 3 Jake and Sally met at business school and decide to start a small accounting practice after graduation They agree to split revenues and expenses equally. The most common form of business organization for a business such as this would be a a. partnership O b.proprietorship. c. corporation Od.joint venture. QUESTION 4 Mt. Kilimanjaro Inc, pays its employees twice a month, on the 10th and the 30th On April 30, Mt. Kilimanjaro Inc paid employee salaries of $5,000 This transaction would O a. be recorded by a $5,000 debit to Salaries and Wages Payable and a $4,000 credit to Salaries and Wages Expense Ob.decrease net income for the month by $5,000 O c. increase stockholders' equity by $5,000 O d.decrease the balance in Salaries and Wages Expense by $5,000 QUESTION 5 Prepaid expenses are best described as O a incurred but not yet paid or recorded b.paid and recorded in an asset account before they are used or consumed O c. paid and recorded in an asset account after they are used or consumed O d. incurred and already paid or recorded QUESTION 6 On a classified balance sheet, current assets are by custom listed O a. in the order of acquisition O b.with the largest dollar amounts first O c. in the order of liquidity O d. in alphabetical order QUESTION 7 At December 1, 2021, Hancock Co reported stockholders' equity of $156,000 During the month Hancock generated revenues of $38,000, incurred expenses of $21,000, purchased equipment for $5,000 and paid dividends of $2,000. What is the amount of stockholders' equity at December 31, 2021? O a. $173,000 O b. $166,000 O c. $170,000 d. $171,000 QUESTION 8 A worksheet can best be dscribed as a(n) O a. part of the journal O b.part of the general ledger Oc.optional device used by accountants d. permanent accounting record QUESTION 9 An account is an individual accounting record of increases and decreases in specific O a. liabilities b.expenses O c.assets, liabilities, and stockholders' equity items d.assets QUESTION 10 Which of these is the starting point of the accounting process? O a. communicating information to users O b. None of these answers are correct O c. recording economic events O d. identifying economic events