1
A) Expense B) Liability C) Asset D) Capital 2
A) Cash decreases, revenue increases B) Revenue increases, cash increases C) Cash increases and revenue decreases D) Cash decreases and revenue decreases 3
A) Debit accounts payable, debit revenue B) Credit accounts payable, credit revenue C) Credit revenue, debit accounts receivable D) Credit revenue, debit accounts payable 4
A) Debit supplies B) Debit cash C) Credit supplies D) Debit accounts payable 5
A) Cash increases, capital decreases B) Cash decrease, capital increases C) Capital increases, cash increases D) Capital decreases, cash decreases 6
A) Credit salaries expense B) Debit salaries expense C) Credit salaries payable D) Debit salaries payable 7
A) Increase in the cash account B) Decrease in sales C) Increase in capital D) Decrease in owner's equity 8
A) Double entry system B) Operating system C) Computer system D) Financial system 9
A) Debit cash, credit accounts payable B) Debit supplies, credit cash C) Debit supplies, credit accounts payable D) Debit accounts payable, debit supplies 10
A) Adding amounts incorrectly on the trial balance B) The debit and credit columns equal C) Recording only half of a transaction D) Recording both halves of a transaction as debits or credits
2002 McGraw-Hill Higher Education