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A. TrueB. FalseAnswer Key: FalseQuestion 5 of 1010.0/ 10.0 PointsExpenses for an accounting period are:A. The costs of goods and/or services consumed in the earning of the revenue of the period.B. Former assets whose usefulness expired this period in the earning of revenues.C. Only the amounts actually paid for services used during the period.D. (a) and (b), but not (c).Answer Key: DQuestion 6 of 100.0/ 10.0 PointsEvery transaction always affects two or more accounts in a double-entry accounting system.A. TrueB. FalseAnswer Key: TrueQuestion 7 of 100.0/ 10.0 PointsA liability account normally has a debit balance.A. TrueB. FalseAnswer Key: FalseQuestion 8 of 10
0.0/ 10.0 PointsIf $500 cash and a $2,000 note are given in exchange for a delivery truck for use in a business:A. The stockholders’ equity is increased.B. Total assets are decreased.C. Total liabilities are decreased.D. None of the above.Answer Key: DQuestion 9 of 1010.0/ 10.0 PointsThe accounting cycle steps are all performed at the end of the accounting period.A. TrueB. FalseAnswer Key: FalseQuestion 10 of 1010.0/ 10.0 PointsExpense accounts usually have debit balances and show the cost associated with producing revenue during an accounting period.A. TrueB. FalseAnswer Key: True