Listed are elements of the financial statements discussed in this chapter. Match each element with the descriptions (use each as many times as necessary).
a. Assets
b. Liabilities
c. Shareholders’ equity
d. Revenues
e. Expenses
f. Retained earnings
g. Common stock
1. ___________ Note signed with a bank
2. ___________ Rent paid a year in advance
3. ___________ Items that make up net income that appear on the income statement
4. ___________ Items that appear on the balance sheet
5. ___________ A share of ownership in a corporation
6. ___________ Equity that results from doing business and is kept in the company rather than paid out to stockholders
7. ___________ Shareholders’ interest in the company
8. ___________ Costs of the daily operations of a business
9. ___________ Salaries owed to employees
10. ___________ Cost of inventory when it is sold
11. ___________ Revenue received for services not yet provided
12. ___________ Interest received on notes receivable