Current assets – Current liabilities=?
(A) Capital
(B) Absorbed capital
(C) Net assets
(D) Net working capital
An increase in provision for bad debt will____________?
(A) Decrease net income
(B) Decrease liabilities
(C) Increase net income
(D) Increase liabilities
If Cash=$1000 inventories=$4000 Debtors=$5000 fixed assets=? Capital+Liabilities=$15000 What is the Amount of total assets?
(A) $5000
(B) $10,000
(C) $15,000
(D) $20,000
Which of following best describes the increase in equity expands___________?
(A) Business operations
(B) cash outflows
(C) Inflows of cash
(D) Appropriation expenses
Cash received for services rendered will______________?
(A) Increase cash and liability
(B) Increase equity and liability
(C) Increase fixed assets and cash
(D) Increase cash and equity
Fresh capital introduction will increase____________?
(A) Assets and liabilities
(B) Assets and equity
(C) Liabilities and equity and bank balance
(D) Capital and liabilities
Which of the following accounting equation is correct?
(A) Cash+Other assets=Capital-Liabilities
(B) Capital+ Liabilities=Assets+Income
(C) Assets-Liabilities=Capital
(D) Assets+Capital=Liabilities
_________ is the evidence that a transaction took place?
(A) Source documents
(B) Ledger
(C) Bonds
(D) Journals