Which of the following accounts is an asset? Select one: a Service revenue b. Prepaid expenses C. Accounts payabie d. Salary expense

Q: The cost that is incurred in the process of generating the income will be called as O a. Expense O…

A: Expense is the amount of cost incurred during the period. Revenue is the total amount of receipts.…

Q: An example of an expense classifi cation by function is: B . interest expense

A: An example of an expense classification by function is

Q: Flint, an S corporation with substantial AEP, reports operating gross receipts of $410,000, taxable…

A: Calculate the Net Passive IncomeNet Passive income = Taxable Interest Income-Deductions Attributable…

Q: Classify the accounts as either an asset (A), liability (L), or equity (EQ) account. Wages Payable

A: “As only one item is given in the question, it is assumed this particular answer is asked by the…

Q: Explain the following measurement bases of the elements of financial statements and indicate how…

A: Financial statements are prepared by businesses to estimate the true and fair view of the financial…

Q: Which accounting technique gives the most relevant information (net cost or gross invoice price)

A: The most relevant information of accounting technique will be explained:

Q: A seller recognizes the amount of returns from right to return sales as a/an ________. Group of…

A: The question is asking about how a seller recognizes the amount of returns from right to return…

Q: b.) Credit

A: Prepayment is an accounting term referred to the types of expenses not incurred yet but for which…

Q: Explain the difference between accrued and prepaid expenses with illustrative examples.

A: Accrued expenses are those expenses which have been incurred but not yet paid out. For example, a…

Q: What are revenues that have been earned but not recorded in the accounts called? Group of answer…

A: Deferred revenue, also known as unearned revenue, refers to advance payments a company receives for…

Q: Which of the following represents amounts owed for goods, supplies, or services purchased? Group of…

A: The question is asking to identify the term that represents the amounts that a company owes for…

Q: What is the normal balance for an asset account?

A: Assets means the resources owned by business for the use in furtherance of business.

Q: hat is the difference between a nominal account and a real account?

A: Accounting transactions for a separate fiscal year are recorded in a nominal account. Accounting…

Q: Which of the following should be added to net income in calculating net cash flow from operating…

A: Cash flows from operating activities: It is a section of Statement of cash flow that explains the…

Q: Describe the accounting when there is a right of return.

A: The right of return entitles a customer to a full or partial refund of the amount paid or a credit…

Q: Define the terms assets and liabilities and give examples of each

A: Assets means anything which is owned by business and used in business. Liabilities means which the…

Q: Accounts payable is a Select one: A. current liability B. current asset C. long-term liability D.…

A: Accounts payable are short term obligation which should be paid to the vendors or suppliers for the…

Q: financial plan which serves as a framework of accounts A. Appropriation act B. Budget C.…

A: Introduction:- A financial plan is the heart of any business. It gives clear financial picture of…

Q: Why is a service expense a good account for recording a fictitious expense?

A: Fictitious Expense:  Fictitious expense has no tangible existence or any value, but it is created in…

Q: The realizable amount of notes receivable is considered. a. Income b. all of the above c. Noncurrent…

A: A note receivable is also known as a promissory note. In other words Notes receivable are a balance…

Q: What type of balance do asset accounts have?

A: A ledger accounts account known as an asset account is used to group and keep track of the debit and…

Q: When it comes to determining the materiality of an amount, the accountant typically compares it to…

A: Materiality is a fundamental accounting concept that relates to the significance or importance of an…

Q: Accounting type Question: The basis of income Measurement is A. Matching concept B. Accounting…

A: Income measurement is the measurement of how much money a business earns in the accounting period.…

Financial Transaction Analysis

The transaction analysis is done with the help of the accounting equation. The basic accounting equation is alternatively known as the balance sheet equation is based on the double-entry system which says that for each transaction happening in a business, at least two accounts should be affected I.e. both the debit side and the credit side should be equal. The Accounting Equation is