Self Assessment Quizzes

CHAPTER 5: Section 1 Relationship of Revenue, Expenses, and Withdrawals to Owner’s Equity

	1.	Withdrawals is increased on the

		a.	debit side
		b.	credit side
		c.	does not have a normal balance
		d.	does not increase

	2.	The Utilities Expense account would

		a.	decrease on the debit side
		b.	increase on the credit side
		c.	not show a debit or credit
		d.	increase on the debit side

	3.	Revenue is increased on the

		a.	debit side
		b.	credit side
		c.	depends on the revenue source
		d.	asset account

	4.	Revenue, expense, and withdrawals accounts are called

		a.	permanent accounts
		b.	capital accounts
		c.	I could use a pizza about now
		d.	temporary capital accounts

	5.	The accounts used to collect information for a single accounting period are

		a.	revenue, owner`s capital, and liability
		b.	asset, owner`s capital, and liability
		c.	revenue, expense, and owner`s withdrawal
		d.	revenue, expense, and owner`s capital

	6.	Revenue

		a.	increases owner`s capital
		b.	decreases owner`s capital
		c.	has no effect on owner`s capital
		d.	is affected by owner`s contribution

	7.	When an account balance continues from one accounting period to the next, it is called a

		a.	continuous balance
		b.	relative balance
		c.	permanent account
		d.	temporary capital account