1. ________ are items owed to a creditor. ________ are items owned by a company. ________ represents owners' claims to company resources.a)Expenses; Revenues; Net income b)Expenses; Revenues; Stockholders’ equity c)Liabilities; Assets; Stockholders' equity d)Liabilities; Assets; Net income
2. Under ________ accounting, revenues are recorded when earned and expenses are recorded with related revenues. Under ________ accounting, revenues are recorded when cash is received and expenses are recorded when cash is paid out. Financial statements are prepared using ________ accounting.
3. The ________ retains the power and authority to set accounting standards. Currently, this responsibility has been delegated to the________.