Assets created by selling goods and services on credit are:

The financial statement that reports whether the business earned a profit and also lists the revenues and expenses is called the:

The difference between a company’s assets and its liabilities, or net assets is:

Cash paid for merchandise is an operating activity.

A company made no adjusting entry for accrued and unpaid employee wages of $28,000 on December 31. This oversight would:

A net loss occurs when revenues exceed expenses.

Depreciation expense is an example of an accrued expense.

Revenue is properly recognized:

The chief executive officer earns $20,000 per month. As of May 31, her gross pay was $100,000. The tax rate for Social Security is 6.2% of the first $118,500 earned each calendar year and the FICA tax rate for Medicare is 1.45% of all earnings. The current FUTA tax rate is 0.6%, and the SUTA tax rate is 5.4%. Both unemployment taxes are applied to the first $7,000 of an employee’s pay. What is the amount of FICA – Medicare withheld from this employee for the month of June?

Comparative financial statements are reports that show financial amounts in side by side columns on a single statement for analysis purposes.