Match the Terms with the Definitions

question 92

Multiple Choice

Match the terms with the definitions.
-The work sheet columns that show the amounts that will be reported in the statement of owner's equity and balance sheet.

• A)Adjusted Trial Balance columns
• B)Adjusting entries
• C)Balance Sheet columns
• D)book value
• E)contra-asset
• F)depreciable cost
• G)depreciation
• H)fiscal year
• I)historical cost principle
• J)Income Statement columns
• K)market value
• L)matching principle
• M)plant assets
• N)salvage value
• O)straight-line method
• P)undepreciated cost
• Q)useful life
• R)work sheet

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Definitions:

Market Shortage

A situation where the demand for a product exceeds its supply in the market, leading to scarcity.

Equilibrium Price

The price at which the supply of an item equals the demand for it, resulting in no excess supply or demand.

Binding Price Ceiling

A maximum price set by the government below the equilibrium price, leading to shortages as the demand exceeds supply.

Quantity Demanded

The total amount of a good or service that consumers are willing and able to purchase at a given price level in a given time period.