4. 1 POINT 2 POINTS 3 POINTS 4 POINTS 5 POINTS Choc. Creme 1 POINT 4 POINTS 3 POINTS 2 POINTS2 POINTS 3 POINTS 2 POINTS 5 POINTS 2 POINTS 3 POINTS 4 POINTS 5 POINTS 4 POINTS 3 POINTS 4 POINTS 5 POINTS GlazedJelly Boston Creme Cruller

5. These are referred to as the owned resources of the business. 1 POINT

6. What are assets?

7. It’s referred to as GAAP 2 POINTS

8. What are Generally Accepted Accounting Principles

9. 3 main types of business organizations in the US 3 POINTS

10. What are sole proprietorships, partnerships and corporations?

11. The most business organizations in the US are structured as these 4 POINTS

12. What are sole proprietorships?

13. This concept means that an entity is an individual economic unit for which data are recorded, analyzed and reported. 5 POINTS

14. What is the business entity concept?

15. This is when revenues are recorded. 1 POINT

16. What is earned?

17. This is the normal balance carried by Accounts Payable. 2 POINTS

18. What is a credit balance?

19. Company assets = $120,000 Owner’s equity = $70,000 This is the balance of the liability account. 3 POINTS

20. What is $50,000?

21. This is the process of initially recording a business transaction. 4 POINTS

22. What is Journalizing?

23. This is where journal entries are first recorded. 5 POINTS

24. What is the General Journal?

25. This is the journal entry to record the payment of an Account Payable. 1 POINT

26. What is: dr. A/P xx cr. Cashxx

27. The matching concept matches these two items over a period of time. 2 POINTS

28. What are revenues and expenses?

29. This is the journal entry to record the receipt of cash for 2 months of rent (the cash was received in advance of providing the service) 3 POINTS

30. What is: dr. Cash xx cr. Unearned Rent Revenuexx

31. This is the entry if the owner of the business takes cash out for personal use. 4 POINTS

32. What is: dr. Drawings or Dividends xx cr. Cashxx

33. Expenses are recorded when ______, regardless of when ______ is spent. 5 POINTS

34. What is incurred and cash?

35. Complete this sentence – Adjusting entries affect at least one Balance sheet account and one ________ statement account. 1 POINT

36. What is income?

37. This is the type of account for unearned rent. (think accounting equation) 2 POINTS

38. What is a liability?

39. This is the normal balance of unearned rent. 3 POINTS

40. What is a credit balance?

41. This accounts for the decrease in usefulness of a fixed asset. 4 POINTS

42. What is depreciation?

43. 5 POINTS The balance in the prepaid rent account before adjustment at the end of the year is $15,000, which represents 3 months rent paid on December 1 st. This is the 12/31 adjusting entry.

44. What is Dr. Rent Expense 5000 Cr. Prepaid Rent 5000

45. This is the accounting equation. 1 POINT

46. Assets=Liabilities + Owner’s Equity

47. This is the journal entry to purchase land for cash of $27,500. 2 POINTS

48. What is: dr. land 27500 cr. Cash27500

49. These are the categories of items on the balance sheet. 3 POINTS

50. What are assets, liabilities and owner’s equity?

51. These are the types of items on the income statement. 4 POINTS

52. What are revenues and expenses?

53. This is the entry to record depreciation. 5 POINTS

54. What is Dr. Depreciation Expense XX Cr. Accumulated DepreciationXX

56. CATEGORY: Adjusting Entries MAKE YOUR WAGER!

57. ANSWER: This is the journal entry to record the use of supplies during the month. The unadjusted supply balance was $1200 and a count at the end of the year revealed $480 supplies remaining.

58. QUESTION What is: Dr. Supplies Expense 720 Cr. Supplies 720