The position of the total asset line on the balance sheet is determined after the Equities section is prepared. (p. 202)
true
Information needed to prepare an income statement comes from the Account Title column and the Income Statement columns of a work sheet. (p. 192)
true
The date on a monthly balance sheet prepared on July 31 is written as
July 31, 20--
When a business has two different sources of revenue, both revenue accounts are listed on the income statement. (p. 197)
true
A budgeting strategy of setting aside at least 10% of after-tax income for saving and investing.
pay yourself first
The net income on an income statement is verified by checking the balance sheet. (p. 194)
false
A balance sheet reports information about the elements of the accounting equation. (p. 201)
true
Information needed to prepare a balance sheet's Liabilities section is obtained from a work sheet's Account Title column and
Balance Sheet Credit column.
The owner's capital amount reported on a balance sheet is calculated as: capital account balance plus drawing account balance less net income. (p. 202)
