Multiple Questions Answers

1. The financial statement that presents a summary of assets, liabilities, and owner's equity as of a specific date is the:
 a. statement of owner's equity
 b. balance sheet
 c. income statement
 d. statement of cash flows
 

2. The normal balance of an expense account is a ________ while the normal balance of an asset account is a ____________.
 a. debit, credit
 b. debit, debit
 c. credit, credit
 d. credit, debit  
 

3. The normal balance of a liability account is a ________ while the normal balance of a revenue account is a __________.
 a. credit, debit
 b. debit, debit
 c. debit, credit
 d. credit, credit
 

4. Which of the following entries records the billing of service revenue performed on account for $5,400:
 a. debit to service revenue and a credit to accounts receivable for $5,400
 b. debit to accounts payable and a credit to service revenue for $5,400
 c. debit to accounts receivable and a credit to the owner's capital for $5,400
 d. debit to accounts receivable and a credit to service revenue for $5,400