Accounting Basics Definitions Quiz

Which method recognizes the unearned portion as a liability at the end of the period?

Which accounts have both real and nominal components?

Under the liability method of initial recording of income, where are cash receipts initially credited?

What is the key characteristic of mixed accounts?

In which account are cash disbursements for expenses initially debited under the asset method?

What remains as a liability at the end of the period in the liability method of income recording?

Under what method are cash receipts from items of income initially credited to an income account?

What is recognized as an expense at the end of the period under the asset method for recording expenses?

'Real Accounts' have components that are related to which accounting aspect?

_____________ – the information helps users in identifying similarities and differences between different sets of information.

_____________ – different users could reach consensus as to what the information purports to represent.

_____________ – the information is available to users in time to be able to influence their decisions.

_____________ – users are expected to have: a. reasonable knowledge of business activities; and b. willingness to analyze the information diligently.

_____________ – information is selected or presented without bias.