Reference no: EM132785358

TRUE if the statement is correct. Write FALSE if the statement is incorrect and identify the word/group of words that made the statement incorrect.

Question 1. The income statement shows the types and amounts of revenues and expenses for the accounting period.

Question 2. The amount for owner's Withdrawals will appear in the Income Statement columns of a worksheet.

Question 3. The Adjusted Trial Balance columns of the worksheet are prepared by combining the Trial Balance and Adjustments columns of the worksheet.

Question 4. The balances of the Accumulated Depreciation accounts will appear on the credit side of the worksheet's Balance Sheet columns.

Question 5. Financial statements are confidential documents which are available only to the owner of the business.

Question 6. Income and expense accounts are moved to the balance sheet columns of the worksheet.

Question 7. The balance sheet provides the financial statement user the type and amounts of each asset, liability and capital account at a particular date.

Question 8. Cash flow statement reports the amount of cash received and disbursed during the period.

Question 9. The worksheet is a type of accountant's working paper.

Question 10. Buying and producing goods and services are examples of operating activities.