BAF3M UNIT 3 REVIEW

Which of the following questions is not answered by the income statement?

HST Recoverable $3,150; HST Payable $4,618. How much must the business remit?

A group or file of accounts is called a ledger

Capital decreases on the credit side

Revenues are credited when a sale is made.

A ledger only keeps records for a period of one year

Drawings are included in the income statement.

Which of the following is not considered to be a revenue account

If revenue exceeds expenses, there will always be an increase in equity.

Drawings are not included in the income statement.

Equity decreases on the debit side.

In a journal entry, accounts to be debited are recorded before accounts to be credited.

A balance sheet can be prepared from information in the ledger.

Which of the following is not a date for the heading of an Income Statement?

The year is only recorded on the first line of each page of the journal

Accounting entries are first recorded in the journal.

The correct journal entry for a business remitting HST to the government   would be:

When an item is subject to HST, what must the seller do when recording the sale?

What is another term for net income?

A company bought equipment and paid a part of the cost in cash,      Which scenario is correct?

The terms “account” and “ledger” are the same and may be used interchangeably.

Expenses are recorded on the credit side of the account