Multiple Choice: Circle the best answer:1. An accountant has debited an expense account for $1,000 and credited a liabilityaccount for $500. Which of the following would be a correct way to complete therecording of the transaction?a. Debit an asset account for $500.b. Credit another liability account for $500.c. Debit an owner's equity account for $500. Id. Debit a revenue account for $500.2. The matching principle matchesa. expenses with assets.b. expenses with revenues.C. assets with liabilities.d. revenues with expenses.3. Accounts often need to be adjusted becausea. there are never enough accounts to record all the transactions.b. many transactions affect more than one time period.c. there are always errors made in recording transactions.d. management can't decide what they want to report.4. The most important information needed to determine if companies can pay their currentobligations is thea. net income for this year.b. projected net income for next year.C. relationship between current assets and current liabilities.d relationship between short-term and long-term liabilities.

Name: Multiple Choice: Circle the best answer:1. An accountant has debited
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Description: Multiple Choice: Circle the best answer:1. An accountant has debited an expense account for $1,000 and credited a liabilityaccount for $500. Which of the following would be a correct way to complete therecording of the transaction?a. Debit an asset

As per double entry system of accounting every ine Or more debit should have an corresponding credit…

Business

Accounting

Muitiple cle the best answer: 1. An accountant has debited an expense account for $1,000 and credited a liabi account for $500. Which of the following would be a correct way to complete t recording of the transaction? a. Debit an asset account for $500. b. Credit another liability account for $500. c. Debit an owner's equity account for $500. I d. Debit a revenue account for $500.

Muitiple cle the best answer: 1. An accountant has debited an expense account for $1,000 and credited a liabi account for $500. Which of the following would be a correct way to complete t recording of the transaction? a. Debit an asset account for $500. b. Credit another liability account for $500. c. Debit an owner's equity account for $500. I d. Debit a revenue account for $500.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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SUBJECT: Financial Accounting and Reporting Instruction: Choose the Debit and Credit Accounts of the following transactions. TRANSACTION: Purchased supplies on account1. Debit *a. Cash In Bankb. Accounts Receivablec. Unused Laundy Suppliesd. Prepaid Insurancee. Equipmentf. Accounts Payableg. Unearned Incomeh. Amora, Drawingi. Amora, Capitalj. Service Incomek. Salaries ExpenseL.Taxes and Licensesm.Transportation 2. Credit *a. Cash In Bankb. Accounts Receivablec. Unused Laundy Suppliesd. Prepaid Insurancee. Equipmentf. Accounts Payableg. Unearned Incomeh. Amora, Drawingi. Amora, Capitalj. Service Incomek. Salaries ExpenseL.Taxes and Licensesm.Transportation TRANSACTION: Paid travelling expenses to pay business permit3. Debit *a. Cash In Bankb. Accounts Receivablec. Unused Laundy Suppliesd. Prepaid Insurancee. Equipmentf. Accounts Payableg. Unearned Incomeh. Amora, Drawingi. Amora, Capitalj. Service Incomek. Salaries ExpenseL.Taxes and Licensesm.Transportation 4. Credit *a. Cash In Bankb.…
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