Liabilities are
Q: Indicate what impact the following adjustments have on the accounting equation, Assets = Liabilities…
A: Accounting equation - Assets = Liabilities + equity During the financial year, Total Assets must…
Q: The key accounting considerations relating to accounts payable are: Determining their existence and…
A: Accounts payable is a current liability. As per IAS 1, Presentation of financial statements,…
Q: Which principle or concept states that businesses should use the same accounting methods and…
A: Answer: c) Consistency In accounting the concept of consistency states that company should maintain…
Q: Using the transactions attached and the Unadjusted trial balance please create a Statement of…
A: Formula: Ending Retained earnings = Beginning Retained earnings + Net Income - Dividends paid.…
Q: Match the statements below with the accounting assumption, characteristic, or principle to which the…
A: Introduction: Accounting: Accounting is an art of recording , classifying , summarising and…
Q: Liabilities which are estimated and payable are; Select one: O a. Not reported on the balance sheet…
A: Liabilities represents the obligation of the entity. It is the amount which is to be paid by the…
Q: When fresh start accounting is utilized, how are a company’s assets and its liabilities reported?
A: Except for deferred income taxes, all liabilities at the same time reported as future cash payments…
Q: The following may be presented as current assets, except * Advances to shareholders, directors,…
A: Current assets are those items benefit of which is expected to be received in the immediate…
Q: Which of the following accounts would appear only in an accrual basis accounting system, and which…
A: Cash basis of accounting system : In cash basis of accounting system , the accounts are recorded…
Q: Which of the following is true about financial accounting? It provides information to investors and…
A: Financial accounting: It can be defined as a process that relates to the preparation of financial…
Q: Balance Sheet accounts are considered to be Question 2 options: A) nominal…
A: The balance sheet refers to a financial statement which shows the financial position of a business…
Q: Which of the following liabilities is created when a company receives cash for services to be…
A: Liabilities: The claims creditors have over assets or resources of a company are referred to as…
Q: these include debts, obligations to pay, and claims of the creditors on the assets of the business.…
A: The financial statements of the business includes the income statement and balance sheet. The…
Q: How are anticipated administrative expenses reported on a statement of financial affairs?a. As a…
A: The administrative expenses are incurred in the day-to-day operations of the company. These are…
Q: Which statement is true concerning the accrual basis of accounting? Revenues are recognized when…
A: There are two accounting methods which are currently used by the business. One is cash basis of…
Q: All of the following accounts are presented under liabilities, except: a.) Advances to Supplier b.)…
A: The liabilities are the amount due to be paid to the outsiders. The liabilities are recorded in the…
Q: The concept of verifiability is complied with when an accounting transaction occurs tha A. involves…
A: A. Involves an arm length transaction between two independent interests
Q: Give an example of how this chosen principle affect the financial reporting process. You can explain…
A: The principle of consistency suggests that you need to adhere to and follow this principle…
Q: True or false if a balance sheet is prepared between the date of declaration and date of payment,…
A: Balance sheet: Balance Sheet is one of the financial statements that summarize the assets, the…
Q: Which of the following transactions results in the recognition of an exp O Withdrawal of cash by the…
A: Solution 1: An Expense is the cost of operations that a business incurs to generate revenue. In…
Q: The consignee maintains an account called Consignment In. The following transactions will require a…
A: Hi student Since there are multiple questions, we will answer only first question.
Q: If an event occurs ‘after the reporting period’, then from the perspective of accounting standards,…
A: International Accounting Standard -IAS 10 says about events after reporting period. It states the…
Q: Which of the following is a liability created when a company receives cash for services to be…
A: Unearned Revenue: Unearned Revenue means money received from the customer in advance for the service…
Q: 2. Debts (liabilities) refers to: a. Any account that maintains a credit balance after closing…
A: Solution: Debts (liabilities) refers to "Obligations arising from past transactions and which will…
Q: If the corporation has a net loss for the period , the closing entry will include a debit to income…
A: Definition: Closing entries: Closing entries are those journal entries, which are passed to…
Q: Why are some accounts "temporary" and others are "permanent?" How does this relate to the financial…
A: There are two types of account namely permanent account and temporary account. Permanent accounts…
Q: What are the rights of creditors (claims against the assets of the company--creditors' equity) that…
A: The creditor is the person to whom the company owes money at the later date. Creditors are the one…
Q: Why does a balance sheet balance (assets = Liabilities + OE)? a) It is required by law b)…
A: Balance sheet: To know the financial position of the company on particular date Balance sheet is…
Q: IDENTIFICATION OF AN ASSETS, LIABILITY, EQUITY, INCOME, EXPENSES or WITHDRAWAL For each of the…
A: “Since you have asked multiple questions, we will solve the first ‘three’ questions for you. If you…
Q: Which of the following is most appropriate for IFRS? a. Should disclose all the material information…
A: IFRS stands for International Financial Reporting Standards. It refers to the standard and rules, as…
Q: IDENTIFICATION OF AN ASSETS, LIABILITY, EQUITY, INCOME, EXPENSES or WITHDRAWAL For each of the…
A: The financial statements are prepared by passing the journal entries, adjusting entries,…
Q: Choose the correct. How are anticipated administrative expenses reported on a statement of financial…
A: Statement of financial affairs: Statement of financial affairs refers to a statement of assets and…
Q: The accounting concept that supports reporting revenues in the period in which they are earned is…
A: Explanation: 1. Revenue recognition concept: As per the revenue recognition concept, revenues are…
Q: What are interim financial statements? Do accounts thatappear in a company’s interim balance sheet…
A: Financial statements: Financial statements are condensed summary of transactions communicated in the…
Q: What account will not be found in the financial statements of a company using accrual basis of…
A: The accrual basis of accounting is prepared on the matching principle and revenue recognition.…
Q: When, at the end of an accounting period, cash has been paid with respect to an expense, the…
A: Advance payment for future expenses is called prepaid expenses. These prepaid expenses are…
Q: The primary objective of expense recognition is toa. Provide full disclosure.b. Record expenses in…
A:
Q: IDENTIFICATION OF AN ASSETS, LIABILITY, EQUITY, INCOME, EXPENSES or WITHDRAWAL For each of the…
A: Recognition of Assets, Expense, Income, Liability, Income and withdrawal is given below,
Q: On winding up, which debts or amounts must be paid first? Select one: a. Unsecured debts and loans…
A: Liquidation is the process of putting a company out of business. The company's assets and property…
Q: Which of the following accounts is not included in the opening record? A) linked securities…
A: A. Linked securities : These .are Financial Assets and they do have opening balance. C.Accumulated…
Q: The standard accounting equation Assets - Liabilities = Owner's Equity allows the analysis of normal…
A: Assets- Assets are any items of economic value that will provide future benefit and can be converted…
Q: s liabilities incurred prior year, what is the proper debit
A: Option a is wrong because accounts receivable is not liability, it is an asset. Option b is wrong…
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
- Liabilities are Select one: O a. deferred credits that are recognized and measured in conformity with generally accepted accounting principles. O b. any accounts having credit balances after closing entries are made. O c. obligations to transfer ownership shares to other entities in the future. O d. present obligations arising from past events and results in an outflow of resources.Which of the following is a liability created when a company receives cash for services to be provided in the future? Select one: a. Unearned revenue b. Estimated warranty payable c. Service revenue d. Accrued liabilityWhich of the following liabilities is created when a company receives cash for services to be provided in the future? A. Unearned Revenue B. Estimated Warranty Payable C. Accrued Liability D. Accounts Payable
- Assuming the entity paid its liabilities incurred prior year, what is the proper debit for this transaction? a.) Accounts Receivable b.) Supplies Expense c.) Cash d.) Accounts PayableIDENTIFICATION OF AN ASSETS, LIABILITY, EQUITY, INCOME, EXPENSES or WITHDRAWAL For each of the following instructions, indicate the following: ASSETS- if the transaction results to an asset LIABILITY- if the transaction results to a liability EQUITY- if the transaction results to an equity INCOME - if the transaction results to an income EXPENSE - if the transaction results to an expense WITHDRAWAL- if the transaction results to a withdrawal N/A- if the transaction does not result to any of the elements. Payment for loans payable Payment for the purchase of building Collection of interest income Payment for fund withdrawal of the business owner Payment for the rent of the office building Payment for rental for the next three months. Payment for accrued interest liability Accrued and unpaid salaries of employee Exchange of land asset for a machinery asset. The owner took goods from the business for his personal consumption. Newly born animal offspring Accrued and unpaid interest on…How are anticipated administrative expenses reported on a statement of financial affairs?a. As a footnote until actually incurred.b. As a liability with priority.c. As a partially secured liability.d. As an unsecured liability.
- Accounting The key accounting considerations relating to accounts payable are: Determining their existence and ensuring that they are recorded in the appropriate accounting period. Determining their present value and ensuring that they are recorded in the appropriate accounting period. Determining their existence and determining the correct amount. Determining the present value of the principal and the amount of the interest.2. Debts (liabilities) refers to: a. Any account that maintains a credit balance after closing entries are made. b. Deferred credits that are recognized and measured in accordance with generally accepted accounting principles. c. Obligations to transfer in the future the participation of the owners' shares. d. Obligations arising from past transactions and which will be payable with assets or services rendered in the future.Which of the following items is an example of general unsecured creditors? Group of answer choices a. Salaries payable b. Legal and accounting fees incurred in the preparation of financial statement c. Trust fees d. Notes payable secured by a notes receivable
- Estimated liabilities are disclosed in financial statements by Note to the financial statements. An appropriation of retained earnings. Showing the amount among the liabilities but not extending to the liability total. Appropriately classifying them as regular liabilities in the statement of financial position.IDENTIFICATION OF AN ASSETS, LIABILITY, EQUITY, INCOME, EXPENSES or WITHDRAWAL For each of the following instructions, indicate the following: ASSETS- if the transaction results to an asset LIABILITY- if the transaction results to a liability EQUITY- if the transaction results to an equity INCOME - if the transaction results to an income EXPENSE - if the transaction results to an expense WITHDRAWAL- if the transaction results to a withdrawal N/A- if the transaction does not result to any of the elements. Receipt of cash for services rendered to clients. Collection of rentals from lessees. Purchase of supplies on credit.Which of the following journal entries correctly reflect settlement date accounting? Select one: a. DR Financial asset (delivered)CR Bank b. DR Financial asset (to be delivered)CR Liability for acquisition of financial asset c. DR Liability for acquisition of financial assetCR Bank d. DR Debtor (to deliver the financial asset)CR Liability for acquisition of financial asset