Assume That You Are Creating a Chart of Accounts for a Company

question 113

Multiple Choice

Assume that you are creating a chart of accounts for a company. Each account number will have two digits. The first digit indicates the major account group to which the account belongs. Which of the following correctly identifies the major account groups typically represented by the numbers 1 through 5?

• A) 1-Assets, 2-Liabilities, 3-Owner's Equity, 4-Expenses, 5-Revenues
• B) 1-Assets, 2-Liabilities, 3-Owner's Equity, 4-Revenues, 5-Expenses
• C) 1-Assets, 2-Owner's Equity, 3-Revenues, 4-Expenses, 5-Drawing
• D) 1-Owner's Equity, 2-Drawing, 3-Revenues, 4-Expenses

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Definitions:

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A specific procedure or method used to address a disease, condition, or injury.

Excludable

A characteristic of a good or service that allows its owner to prevent others from using it without permission, typically through legal or physical means.

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Air that is free from pollutants and contaminants, ensuring environmental quality and public health.

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The use of goods and services by households or individuals for personal satisfaction or to fulfill their needs.