A company’s chart of accounts is a list of all the accounts used and includes an identification number assigned to each account.

On July 9, Muffler Company receives a $8,500, 90-day, 8% note from customer Summers Paxton as payment on account. Compute the maturity date for the note.

A post-closing trial balance is a list of permanent accounts and their balances from the ledger after all closing entries are journalized and posted.

A transaction that credits an asset account and credits a liability account must also affect one or more other accounts.

The revenue recognition principle is the basis for making adjusting entries that pertain to unearned and accrued revenues.

If a company uses $1,300 of its cash to purchase supplies, the effect on the accounting equation would be:

The cash basis of accounting recognizes revenues when cash payments from customers are received.

To include the personal assets and transactions of a business’s stockholders in the records and reports of the business would be in conflict with the:

A company’s balance sheet shows: cash $22,000, accounts receivable $16,000, office equipment $50,000, and accounts payable $17,000. What is the amount of stockholders’ equity?

An adjusting entry could be made for each of the following except: