Chapter 1/Unit 1 Review Sheet 1/Financial Position Answer or complete the following. KC 1. (a) A financial statement that lists assets, liabilities, and owner's equity as of a specific date is called an) (b) Items of value owned by a business are called (c) Debts of a business are called (d) The owner's claim on a company's assets is called (e) The balance sheet equation is (f) Customers who owe money to a business are called (g) Another term for accounts receivable is (h) is a debtor of a company an asset or a liability? (i) Companies to whom debts are owed are called G) Another term for accounts payable is (k) Is a creditor of a company an asset or a liability? K. A 2. Fill in the blanks. 1 Assets Liabilities + Owner's Equity (a) S20 000 S5000 + $ (b) S70 000 $ + S30 000 (c) s S50 000 S20 000 3. The three lines in the heading of a balance sheet answer the questions K.A K. T.C 4. The purpose of accounting is K.C 5. Explain the following terms and principles. liquidity order: cost principle: maturity date rule: K.C. A 6. Prepare a balance sheet for the C. Samji Co, using: - accepted accounting terminology and procedures: - the form on this review sheet: the following information for September 30, 20 Cash $2000: Bank Loan $10 000; Amounts Owed by Customers $8000, Office Supplies $900; C. Samji. Capital $105 900; Amounts Owed to Creditors $14 000: Building $200 000: Equipment $9000; Mortgage on Building $90 000. 1 Taranto, Ontario