Fill in the Blank Questions
223. ______________________ are required at the end of the accounting period because certain internal transactions and events remain unrecorded.
224. Accrual accounting and the adjusting process rely on two principles: the ___________________ principle and the ________________________ principle.
225. ______________________ basis accounting means that revenues are recognized when cash is received and that expenses are recorded when cash is paid. ______________________ basis accounting means that the financial effects of revenues and expenses are recorded when earned or incurred.
226. The ______________ refers to the steps in preparing financial statements for users.
227. Intangible assets are long-term resources used to produce or sell products and services; they generally lack ______________ and their benefits are highly ____________.
228. The current portion of long-term debt is classified with the _________________________.
229. If a prepaid expense account were not adjusted for the amount used, on the balance sheet assets would be _______________ and equity would be __________.
230. Profit margin equals ___________________ divided by net sales.
231. __________________________ is the process of allocating the cost of plant assets to their expected useful lives.
232. A _____________ account is an account linked with another account, having an opposite normal balance and reported as a subtraction from that other account's balance.
233. __________________ expenses are those costs that are incurred in a period but are both unpaid and unrecorded.
234. A(n) _______________________ is a listing of all of the accounts in the ledger with their account balances adjustments are made.
235. A ____________________ is useful in preparing interim statements and in showing the effects of proposed transactions.