Understanding Accounting: Effects of Land Purchase, Dividends,

Here are the questions from [ACC 200 Ch 2 6e.mp4 - Quiz] 1. What would be the effect on total assets if a company purchased land for $200,000 cash? Optional Answers: 1. Total assets would go up by $200,000. 2. Total assets would go down by $200,000. 3. There would be zero effect on total assets. 2. What effect does the payment of dividends have on the accounting equation? Optional Answers: 1. Assets decrease and equity increases 2. Assets decrease and equity decreases 3. Assets decrease and liabilities increase 4. Assets increase and equity increases 3. What does the word Debit mean? Optional Answers: 1. Left side 2. Right side 3. Increase 4. Decrease 4. Which of the following is used to provide a chronological record of all transactions affecting a firm? Optional Answers: 1. The General Ledger 2. The journal 3. The trial balance 4. The income statement 5. Which of the following accounts would be debited when a company pays $12,000 in advance for one year of rent? Optional Answers: 1. Cash 2. Prepaid rent 3. Rent expense 4. Rental income 6. Which of the following accounts would appear in the credit column of a trial balance? Optional Answers: 1. Prepaid rent 2. Dividends 3. Common stock 4. Salaries expense