A Balance Column Account Is

question 88

Multiple Choice

A balance column account is:

• A)An account entered on the balance sheet.
• B)An account with debit and credit columns for posting entries and another column for showing the balance of the account after each entry is posted.
• C)An alternate name for the retained earnings account.
• D)An account used to record the transfers of assets from a business to its stockholders.
• E)A simple form of account that is widely used in accounting to illustrate the debits and credits required in recording a transaction.

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Definitions:

M3

M2 plus large-denomination time deposits.

M1

A category of the money supply that includes physical currency and coins, demand deposits, traveler’s checks, and other checkable deposits.

M2

A measure of the money supply that includes cash, checking deposits, and easily convertible near money.

M3

A measure of the money supply that includes M2 plus large time deposits, institutional money market funds, and short-term repurchase and other larger liquid assets.