Gap-fill exercise

Fill in all the gaps, then press "Check" to check your answers. Use the "Hint" button to get a free letter if an answer is giving you trouble. You can also click on the "[?]" button to get a clue. Note that you will lose points if you ask for hints or clues!
1. The owner's claim to the assets of a business is called the owner's .

2. assets are cash and other assets expected to sold, collected, or used normally within a year.

3. Revenue and expense accounts are called statement accounts, nominal accounts, and temporary accounts.

4. A is performed to reconcile the cash balance per the books with the cash balance per the bank.

5. A inventory is performed by taking an actual count of the items owned and on hand.

6 The journal is used to record depreciation expense.

7. is a special imprest fund established for paying for small unexpected expenditures.

8. Checks written but not yet processed by the bank are called checks.

9. An control system is the policies and procedures used to protect assets and help provide adherence to company policies.

10. Sales less sales returns and allowances and sales discount is called .

11. Accumulated depreciation and allowance for uncollectible accounts are examples of asset accounts.

12. Expenses that do not change within a range of activity are called expenses.

13. Stamping or printing deposit account information on the back of a check is called the check.

14. The method or basis of accounting records revenue when the cash is received.

15. A is a type of entity owned by stockholders

16. Wages that are owed but not yet paid are called wages.

17. The term cash is used to denote the amount deducted from a bill for early payment.

18. When selling goods or services most states impose a tax to be collected and remitted which is called a tax.

19. are the properties used in the operation or investment activities of a business.

20. Equity is the owner's rights to the property (assets) of the business. Also referred to as net worth.

21. is the gross increase in owner's equity resulting from the operations and other activities of the business.

22. are the decreases in owner's equity resulting from the cost of goods sold, fixed assets, and supplies consumed.

23. is the monetary items that are available to meet the current obligations of the business.

24. The claims against the property of a customer arising from the sales of goods and/or services on account are .

25. Creditor's claims on the business's property arising from the purchase of goods and/or services on account are .

26. Any event recorded in the books of a business because of its effect on the financial condition of a business is called a .

27. Type of accounting system that requires every transaction to be recorded in at least two places is called the system.

28. An entry that increases an asset or an expense or that decreases a liability, owner's equity, or income is called a .

29. An entry that increases a liabilty, owner's equity, or revenue or that decreases an asset or expense is called a .

30. A is the amount that a business's revenues exceed expenses.

31. A is the amount that a business's expenses exceed revenues.

32. The is a book containing the accounts and balances of all asset, liability, equity, revenue, and expense accounts.

33. The of is a coded listing of all the accounts in the general ledger.

34. are formal accounting reports prepared to inform others about a business's financial condition.

35. A is the financial statement that shows the assets, liabilities, and owner's equity at a specific point in time.

36. An is the financial statement that summarizes revenues and expenses for a specific period of time.