BASICS OF ACCOUNTING - SECTION 02 REVIEW QUIZ

What is an example of an ASSET?

Correct! Inventory is an example of an ASSET.

That's incorrect. A mortgage is an example of a LIABILITY.

That's incorrect. An office field trip is a good time well spent but is not an example of an asset.

Which of the below are usually not seen on a balance sheet?

Incorrect. Total assets are always listed on a balance sheet.

Correct! Intangible assets usually not listed on a balance sheet.

Incorrect. Cash is always listed on a balance sheet.

True or False? Financial Accounting is based on the BALANCE SHEET, the INCOME STATEMENT, and CASH FLOW.

That's correct! Financial Accounting is based on the BALANCE SHEET, the INCOME STATEMENT, and CASH FLOW.

Your answer is incorrect because that statement is true. Financial Accounting is based on the BALANCE SHEET, the INCOME STATEMENT, and CASH FLOW.