Transaction Analysis and the Accounting Equation Have Been Used to Record

question 52

Multiple Choice

Transaction analysis and the accounting equation have been used to record several transactions for a company.The transactions are now recorded on a multi-column spreadsheet.When preparing an income statement with this spreadsheet,which column would be used?

• A)Cash
• B)Accounts Payable
• C)Dividends
• D)Retained Earnings

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Definitions:

Moral Standards

Rules or principles governing what is considered right or wrong behavior.

Superego

In Sigmund Freud’s theory, the internalization of the moral standards of society inculcated by the child’s parents.

Reality Principles

The ability of the mind to assess the external world and act upon it rather than based on internal desires.

Internalization

The psychological process by which individuals integrate beliefs, values, standards, or norms into their own value system, making them their own.