Compare the List of Accounts Below and Choose the List

question 88

Multiple Choice

Compare the list of accounts below and choose the list that contains only accounts that would be classified as asset accounts on the Chart of Accounts.

• A)Accounts Payable;Cash;Supplies.
• B)Unearned Revenue;Accounts Payable;Owner's Withdrawals.
• C)Building;Prepaid Insurance;Supplies Expense.
• D)Cash;Prepaid Insurance;Equipment.
• E)Notes Payable;Cash;Owner's Withdrawals.

---

Definitions:

Accounting Record

A documented transaction or financial event that is used in the process of accounting.

Owner's Equity

Owner's equity represents the owner's claim on the assets of a business, calculated as the business's assets minus its liabilities.

Assets Liabilities

Assets are resources owned by a business that have economic value, while liabilities are obligations of a business to transfer resources to another entity in the future.

Accounting Period

A specific period of time used for financial reporting purposes, usually a quarter or a year, to measure business activities and prepare financial statements.