17. Purchasing supplies on account increases the balance of the Accounts Receivable account. FALSE The balance of Accounts Payable increases. AACSB: Reflective Thinking AICPA: FN Measurement Accessibility: Keyboard Navigation Blooms: Understand Difficulty: 2 Medium Learning Objective: 02-02 Analyze the impact of external transactions on the accounting equation. Topic: Effects of Transactions on the Basic Accounting Equation 18. Amounts owed from customers are recorded in the Accounts Receivable account. TRUE AACSB: Reflective Thinking AICPA: FN Measurement Accessibility: Keyboard Navigation Blooms: Understand Difficulty: 2 Medium Learning Objective: 02-02 Analyze the impact of external transactions on the accounting equation. Topic: Effects of Transactions on the Basic Accounting Equation 19. The two components of stockholders' equity are Debits and Credits. FALSE The two components of stockholders' equity are Common Stock and Retained Earnings. AACSB: Reflective Thinking AICPA: FN Measurement Accessibility: Keyboard Navigation Blooms: Understand Difficulty: 2 Medium Learning Objective: 02-02 Analyze the impact of external transactions on the accounting equation. Topic: Effects of Transactions on the Basic Accounting Equation
17. Purchasing supplies on account increases the balance of the Accounts Receivable account. FALSE The balance of Accounts Payable increases. AACSB: Reflective Thinking AICPA: FN Measurement Accessibility: Keyboard Navigation Blooms: Understand Difficulty: 2 Medium Learning Objective: 02-02 Analyze the impact of external transactions on the accounting equation. Topic: Effects of Transactions on the Basic Accounting Equation 18. Amounts owed from customers are recorded in the Accounts Receivable account. TRUE AACSB: Reflective Thinking AICPA: FN Measurement Accessibility: Keyboard Navigation Blooms: Understand Difficulty: 2 Medium Learning Objective: 02-02 Analyze the impact of external transactions on the accounting equation. Topic: Effects of Transactions on the Basic Accounting Equation 19. The two components of stockholders' equity are Debits and Credits. FALSE The two components of stockholders' equity are Common Stock and Retained Earnings. AACSB: Reflective Thinking AICPA: FN Measurement Accessibility: Keyboard Navigation Blooms: Understand Difficulty: 2 Medium Learning Objective: 02-02 Analyze the impact of external transactions on the accounting equation. Topic: Effects of Transactions on the Basic Accounting Equation
Financial-Accounting-4th-Edition-SpicelandTBChap002-1.docx