FIN/571 ________ are items owed to a creditor. ________ are items owned by a company.

1. ________ are items owed to a creditor. ________ are items owned by a company. ________ represents owners’ claims to company resources.Expenses; Revenues; Net income Expenses; Revenues; Stockholders’ equity Liabilities; Assets; Stockholders’ equity Liabilities; Assets; Net income2. Under ________ accounting, revenues are recorded when earned and expenses are recorded with related revenues. Under ________ accounting, revenues are recorded when cash is received and expenses are recorded when cash is paid out. Financial statements are prepared using ________; accrual-basis; accrual-basis cash-basis; accrual-basis; cash-basis accrual-basis; cash-basis; cash-basis accrual-basis; cash-basis; accrual-basis3. The ________ retains the power and authority to set accounting standards. Currently, this responsibility has been delegated to the________.Securities and Exchange Commission; International Accounting Standards Board International Accounting Standards Board; Financial Accounting Standards Board Securities and Exchange Commission; Financial Accounting Standards Board Financial Accounting Standards Board; Securities and Exchange Commission4. In what order are the four primary financial statements prepared?Statement of stockholders’ equity > Income statement > Balance sheet > Statement of cash flows Balance sheet> Income statement > Statement of cash flows> Statement of stockholders’ equity Income statement > Statement of stockholders’ equity > Balance sheet > Statement of cash flows Income statement > Balance sheet > Statement of stockholders’ equity > Statement of cash flows5. The difference between net income and dividends paid is known as what?Addition to retained earnings Ending balance in retained earnings Gross profit Total stockholders’ equity

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