Questions from Survey Accounting

Q: What does the term deferral mean?

What does the term deferral mean?

Q: What types of accounts are closed at the end of the accounting

What types of accounts are closed at the end of the accounting period? Why is it necessary to close these accounts?

Q: Give several examples of period costs.

Give several examples of period costs.

Q: If cash is collected in advance of performing services, when is

If cash is collected in advance of performing services, when is the associated revenue recognized?

Q: What does the term asset source transaction mean?

What does the term asset source transaction mean?

Q: What effect does the issue of common stock have on the accounting

What effect does the issue of common stock have on the accounting equation?

Q: How does the recognition of revenue on account (accounts receivable)

How does the recognition of revenue on account (accounts receivable) affect the income statement compared to its effect on the statement of cash flows?

Q: Give an example of an asset source transaction. What is the

Give an example of an asset source transaction. What is the effect of this transaction on the accounting equation?

Q: When is revenue recognized under accrual accounting?

When is revenue recognized under accrual accounting?

Q: Match each of the following ratios with the formula used to compute

Match each of the following ratios with the formula used to compute it: