PRACTICE MULTIPLE CHOICE QUESTIONS
If total liabilities increased $5000, then:
A) assets have decreased $5000.
B) shareholders equity has increased $5000.
C) assets have increased $5000 or owners equity has decreased $5000.
D) assets and share
Differential analysis, profitability analysis and
Steps in decision-making process
1. Establish goals and strategies, and define
2. Gather information on alternative courses of
3. Evaluate consequences of alternatives
Involve an outside party
Exchange of economic resources
Transformation of economic resources
Often provide information
Support entries in accounting record
PRACTICE MULTIPLE CHOICE QUESTIONS 2
Accrued expenses are:
A) incurred but not yet paid or recorded.
B) paid and recorded in an asset account after they are used or consumed.
C) incurred and already paid or recorded.
D) paid and recorded in an