Name and briefly describe each of the four financial statements.
What will be an ideal response?
The balance sheet lists the assets of a business and corresponding claims (liabilities and stockholders' equity) on those assets. It draws its name from the accounting equation.
The income statement matches revenue (benefits) with the expenses (sacrifices) that were incurred to generate the revenue.
The statement of changes in stockholders' equity is used to explain the effects of transactions on stockholders' equity during an accounting period.
The statement of cash flows explains how a company obtained and used cash during the accounting period. The statement classifies cash receipts (inflows) and payments (outflows) into three categories: financing activities, investing activities, and operating activities.
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Discuss methods to finalize slides when completing the presentation
What will be an ideal response?
The journal entry to record the incurrence and payment of overhead costs for factory insurance requires a debit to
a. Cash and a credit to Manufacturing Overhead. b. Manufacturing Overhead and a credit to Accounts Payable. c. Manufacturing Overhead and a credit to Cash. d. Work in Process Inventory and a credit to Cash.
The normal balance of a capital account is a debit
Indicate whether the statement is true or false
When the stakes are ________ and resources are ________ power politics can be quite likely.
A) High; limited B) Low; limited C) High; unlimited D) Low; unlimited