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Problem 1: Which of the following statement is correct?
A Under the accrual basis the effects of all transactions and events are recognised in accounting records when the cash is received or paid and not when they occur. B Under the accrual basis the effects of all transactions and events are recognised in accounting records when they occur and not when the cash is received or paid. C Under the accrual basis the effects of all transactions and events are recognised in specified time periods. D None of the above
Problem 2: The post-closing trial balance contains only:
A asset and liability accounts B income statement accounts C income and expense accounts. D balance sheet accounts
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