100% satisfaction guarantee Immediately available after payment Both online and in PDF No strings attached
logo-home
Previously searched by you
Previously searched by you
logo
Bookkeeping Basics Exam Questions With Solutions 100% Correct $10.99   Add to cart
Quickly navigate to
Preview
  2.  
  3. ASB BOOKKEEPING
  4.  
  5. ASB BOOKKEEPING

Exam (elaborations)

Bookkeeping Basics Exam Questions With Solutions 100% Correct
 1 view  0 purchase
  • Course
  • ASB BOOKKEEPING
  • Institution
  • ASB BOOKKEEPING

Bookkeeping Basics Exam Questions With Solutions 100% Correct Accounting Principle #1 Economic Entity Assumption* The business and its financial transactions are separate from the owner's personal financial transactions. Accounting Principle #4 Cost Principle 1) Financial transactions are s...

[Show more]

Preview 2 out of 6  pages

Document information

  • September 15, 2024
  • 6
  • 2024/2025
  • Exam (elaborations)
  • Questions & answers

Subjects

Written for

  • ASB BOOKKEEPING
  • ASB BOOKKEEPING

Seller

avatar-seller
UpperClass

Reviews received

Content preview

Bookkeeping Basics Exam Questions With
Solutions 100% Correct

Accounting Principle #1


Economic Entity Assumption* The business and its financial transactions are separate

from the owner's personal financial transactions.




Accounting Principle #4


Cost Principle 1) Financial transactions are shown, forever, as the original and historical

cost.

2) We do NOT adjust for inflation or the increase or decrease in the value of an item.




Accounting Principle #7


Matching Principle* 1) forces us to use the accrual basis of accounting.


2) Expenses are matched with revenue (ex: cost of a product is shown when sold--sales

commission is reflected in the period the sale is recorded).




Accounting Principle #8


Revenue Recognition Principle 1) Revenue/sales/income is shown in the financial

statement when a service is performed or a good is sold.

, Bookkeeping Basics Exam Questions With
Solutions 100% Correct
2) It doesn't matter when cash is actually received for the service performed or the good sold.




Accounting Principle #10


Conservatism Principle* When faced with a choice on financial statements, choose the

option that reflects: 1) decrease in net income, and/or 2) decrease in assets/equity, and/or increase

in liabilities.




Order of Accounts in


Chart of Accounts Assets


Liabilities

Equity

Revenue

Expenses




Trial Balance two-column summary of all debits and credits in the Chart of Accounts


1) Is shown at end of an accounting period

2) Lists all the accounts in numerical order with assets first and expenses last

The benefits of buying summaries with Stuvia:

Guaranteed quality through customer reviews

Guaranteed quality through customer reviews

Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.

Quick and easy check-out

Quick and easy check-out

You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.

Focus on what matters

Focus on what matters

Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!

Frequently asked questions

What do I get when I buy this document?

You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.

Satisfaction guarantee: how does it work?

Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.

Who am I buying these notes from?

Stuvia is a marketplace, so you are not buying this document from us, but from seller UpperClass. Stuvia facilitates payment to the seller.

Will I be stuck with a subscription?

No, you only buy these notes for $10.99. You're not tied to anything after your purchase.

Can Stuvia be trusted?

4.6 stars on Google & Trustpilot (+1000 reviews)

75759 documents were sold in the last 30 days

Founded in 2010, the go-to place to buy study notes for 14 years now

Start selling
$10.99
  • (0)
  Add to cart