Match the following terms with the appropriate definition.A. Permanent accountsF. Work sheetB. Accounting cycleG. Closing entriesC. Temporary accountsH. Post-closing trial balanceD. Classified balance sheetI. Operating cycleE. Income summaryJ. Pro forma financial statements____ 1. Organizes assets and liabilities into subgroups, including separation of current and noncurrent.____ 2. The time span from when cash is used to acquire goods and services until cash is received from the sale of those goods and services.____ 3. A temporary account only used for the closing process that contains a credit for the sum of all revenues and a debit for the sum of all expenses.____ 4. A widely used working paper that is a useful tool for preparers in working with accounting information, usually not

Question

available to external decision makers.____ 5. A list of permanent accounts and their balances after all closing entries.____ 6. The steps in preparing financial statements.____ 7. Entries used to transfer end-of-period balances in revenue, expense, and withdrawals accounts to the permanent owner's capital account. ____ 8. Statements that show the effects of proposed transactions as if the transactions had already occurred.____ 9. Accounts that report on activities related to one or more future accounting periods; they carry their ending balances into future periods.____10. Accounts that accumulate data related to one accounting period only; they include revenues, expenses, withdrawals, and the Income Summary account.

What will be an ideal response?

Answer 1

1. D; 2. I; 3. E; 4. F; 5. H; 6. B; 7. G; 8. J; 9. A; 10. C