Accounting 221: Exam 1 Complete Assignment Questions Solved.

accounting equation - correct answer assets = liabilities + owner's equity transaction analysis - correct answer summary of all transactions owner's equity - correct answer common stock and retained earnings temporary accounts - correct answer 1. revenue 2. expenses 3. dividends net income - correct answer revenue - expenses statement of changes in stockholder's equity - correct answer company name statement of changes in stockholder's equity for year ended 12/31/year includes common stock and retained earnings (with dividends) income statement - correct answer company name income statement for year ended 12/31/year includes revenue, expenses, and net income balance sheet - correct answer company name balance sheet as of 12/31/year includes everything; assets, liabilities and owner's equity cash flow statement - correct answer only look at what affects cash account! on account - correct answer either accounts receivable or accounts payable accounts receivable - correct answer performed a service but did not pay for it yet; money is owed to you accounts payable - correct answer paid for something but did not use cash; you owe money accural - correct answer revenue or expense event that occurs before cash is exchanged deferral - correct answer revenue or expense event that occurs after cash is exchanged incur - correct answer owe recognized - correct answer recorded adjustment - correct answer entry that updates account balances before preparing financials; never affects cash! debit - correct answer always on left increase assets decrease liabilities and equity credit - correct answer always on right decrease assets increase liabilities and equity T-accounts - correct answer debits always equal credits matching concept - correct answer properly matching revenues with expenses; sometimes cash is not always received or paid accounting cycle - correct answer record transactions - adjust accounts - prepare statements -