Garrison Company acquired $23,000 by issuing common stock. Which of the following accurately reflects how this event affects the company’s accounting equation? Assets=Liabilities+Common Stock+Retained EarningsA.23,000= +23,000+ B. =23,000+(23,000)+ C. = +23,000+(23,000)D.23,000= + +23,000

A transaction has been recorded in the T-accounts of Horowitz Corporation as follows: CashDebitCredit25,000 Common StockDebitCredit 25,000 Which of the following reflects how this event affects the company’s financial statements? Balance SheetIncome StatementStatement of Cash FlowsAssets=Liabilities+Stockholders’ EquityRevenue-Expense=Net IncomeA.Increase=Increase+ – = Increase Financing Activity (FA)B.Increase= +Increase – = Increase Financing Activity (FA)C.Decrease= +DecreaseDecrease- =DecreaseIncrease Operating Activity (OA)D.Decrease=Decrease+ -Increase=DecreaseDecrease Investing Activity (IA)

Callahan Corporation recorded an adjusting entry using T-accounts as follows: Interest ReceivableDebitCredit75 Interest RevenueDebitCredit 75 Which of the following reflects how this adjustment affects the company’s financial statements? Balance SheetIncome StatementStatement of Cash FlowsAssets=Liabilities+Stockholders’ EquityRevenue−Expense=Net IncomeA.Increase=Increase+ − = Increase Financing Activity (FA)B.Increase= +IncreaseIncrease− =Increase C.Increase= +IncreaseIncrease− =IncreaseIncrease Operating Activity (OA)D.Decrease= + Decrease− =Decrease

Garrison Company acquired $23,000 by issuing common stock. Which of the following accurately reflects how this event affects the company’s accounting equation? Assets=Liabilities+Common Stock+Retained EarningsA.23,000= +23,000+ B. =23,000+(23,000)+ C. = +23,000+(23,000)D.23,000= + +23,000

Retained earnings at the beginning and ending of the accounting period were $300 and $800, respectively. Revenues of $1,100 and dividends paid to stockholders of $200 were reported during the period. What was the amount of expenses reported for the period?

Callahan Corporation recorded an adjusting entry using T-accounts as follows: Interest ReceivableDebitCredit75 Interest RevenueDebitCredit 75 Which of the following reflects how this adjustment affects the company’s financial statements? Balance SheetIncome StatementStatement of Cash FlowsAssets=Liabilities+Stockholders’ EquityRevenue−Expense=Net IncomeA.Increase=Increase+ − = Increase Financing Activity (FA)B.Increase= +IncreaseIncrease− =Increase C.Increase= +IncreaseIncrease− =IncreaseIncrease Operating Activity (OA)D.Decrease= + Decrease− =Decrease

Retained earnings at the beginning of the period was $580. During the period, Kilgore Company earned revenue of $1,660 and incurred expenses of $680. Assuming dividends paid to stockholders were $340, the ending balance in retained earnings must have been:

On June 1, Year 1, Jack Associates collected $48,000 cash for consulting services to be provided for one year beginning immediately. Based on this information, which of the following shows how the required adjustment on December 31, Year 1, would affect Jack’s balance sheet? Balance SheetAssets=Liabilities+Stockholders’ EquityCash+Prepaid Rent=Unearned Revenue+Common Stock+Retained EarningsA. + =(28,000)+ +28,000B. + =20,000+ +(20,000)C. + =(20,000)+ +20,000D. + =28,000+ +(28,000)

Make the following transformation and fill in the blanks in the order they appear.

When advertisers attempt to answer the question, “Who will be effective in getting consumers’ attention?” they are addressing the ________component.