Which of the following statements is true?

Select one:

a.We can only find the opening balance of Capital on the 10-column worksheet when there is no owner's contribution.

b.We can never find the opening balance of Capital on the 10-column worksheet.

c.We can only find the opening balance of Capital on the 10-column worksheet when there is no owner's drawings.

d.We can always find the opening balance of Capital on the 10-column worksheet.

Using accrual accounting, expenses are recorded and reported only

Select one:

a.when they are incurred and paid at the same time.

b.when they are incurred whether or not cash is paid.

c.if they are paid after they are incurred.

d.if they are paid before they are incurred.

An adjusting entry:

Select one:

a.affects two balance sheet accounts.

b.affects Cash at bank account.

c.affectsan income statement account.

d.affects a balance sheet and an income statement account.

When rent is incurred in one period and paid in the next period, this leads to which of the following accounts appearing in the statement of financial position?

Select one:

a.Rent expense

b.Rent receivable

c.Prepaid rent

d.Rent payable

An expense incurred:

Select one:

a.increases equity

b.decreases assets and liabilities

c.decreases equity

d.increases assets and liabilities