ACC100 WEEK 1 QUIZ Chpt 1 Questions

Question Question 1 Which of the following would not be considered an external user of accounting data for the GHI Company? Customers Internal Revenue Service Agent Management Creditors Question 2 If an owner makes a withdrawal of cash from a proprietorship, then there will be a new liability showing the owner owes money to the business. there has been a violation of accounting principles. owner's equity will decrease. owner's equity will increase. Student did not submit Show Work for this attempt Question 3 Owner's capital at the end of the period is equal to owner's capital at the beginning of the period plus net income minus drawings. net income. assets plus liabilities. owner's capital at the beginning of the period plus net income minus liabilities. Question 4 The accounting process involves all of the following except communicating financial information to users by preparing financial reports. recording nonquantifiable economic events. identifying economic transactions that are relevant to the business. analyzing and interpreting financial reports. Question 5 Your answer is. Net income results when Revenues < Expenses. Revenues > Expenses. Assets > Liabilities. Revenues = Expenses. Question 6 Collection of a $1,000 Accounts Receivable increases an asset $1,000; decreases an asset $1,000. decreases an asset $1,000; decreases a liability $1,000. decreases a liability $1,000; increases owner's equity $1,000. increases an asset $1,000; decreases a liability $1,000. uestion 7 Misra Company compiled the following financial information as of December 31, 2014: Revenues $340,000 Owner's Capital (1/1/11) 140,000 Equipment 80,000 Expenses 250,000 Cash 90,000 Owner's Drawings 20,000