QUESTION 18 Stockholders' equity B.Repreeents the interest of the cwnere in the assets of an enty C C. ls equal to the net assets of an entity D.All of the above E. None ot the abave QUESTION 19 The acccuntrg equation tor Scck Monkey Company i8 as tolows: Ligbiitiee $240,000 S480,CC0 the company now ssues stock tor $50,000, the accounting equation wil change to: S400,000S300,000 $180,000 e eeete $540,000 $240,000 $300,000 Liab litics S4B0,000$180,0CO Stotkholders' Equity $300,000 C D. S540,000S300,000 S240,000 QUESTION 20 The full disclosure pincple States that personai contact and fnancial information tor each member ot sano-management for the oompany be disclosed. B Requiree that compamy mamain a record of activitiee 8eparace frorn the economic and pereonal activitiee of ite cwner. C.Requires that a business disclose all significant financial facts and cicumstances in a company's annual report D. Statee that sales ravenue should be recorded when services are performed or goode are eold C E. None of the above QUESTION 21 The gereral ledger can be described as C A. A record on which are recorded the increases and decresees of a particular financial atatement component, auch 88 cash B. A gouping of the accounts used by an organizamion to papa ts basic financial statements C.A list of account tiles and balancee at a certain date D. One ot the basic tinancial statements of an orgarization QUESTION 22 The going concem concept A. Applies to entitios that are bankrupt and in the proces of iquidating B. Dictates that the reconding ot transactions shou d be based on elable and veritiable evidence C. Presunes that an entity wil continue to operate indefinitely and wil not be sald or iquidated D. Eatabliahes the boundaiea of the unit to be accounbed tor E. None of the abowe QUESTION 23 A trial balance: C A Mut baiance when it is frat prepared B.ll balace ony if there are no errors in the general ledger acccunts .will balance only if the total debits nd total oedits in the general ledger are equal D. Doth Band C QUESTION 24 What is the definition cf expenses? A Incmases in atockholdars' oquity that a fim carna by providing gocds or services tor its custos B. The obligatons that an entity mus: pay at some time in the future because o past transactions or events CC. Decrenaes in a company'a reacurcea that a fim ircurs in the process of earning reveruea D.The economic sources of an entity that can be usefuly axpressed in money terms E. None of the above