Question

1) Complete the below table listing Debit and Credit rules: C- E L- A- E- D R- 2) The Revenue Recognition Principle says that companies recognize revenue when (when the is satisfied). It does not matter when is received (it could be before, during, or after). You should match with revenues when the company makes efforts to generate those revenues. 3) Accrual-basis accounting means that transactions that change a company's financial statements are recorded in the periods in which the events occur: a. only if cash is exchanged b. only if cash is not exchanged C. even if cash was not exchanged 4) Blue Airlines Company sells airline tickets online in July, collects the cash from customers in August, and provides the flight service in September. Following the revenue recognition principle, in which month should Blue Airlines Company recognize the revenue? 5) List and define the two types of Deferral Adjusting Entries: 6) List and define the two types of Accrual Adjusting Entries: 7) List the nine steps of the accounting cycle: 1- 2- 3- 4- 5- 6- 7- 8- 9- Noo a

Answer 1

answer 2 :--The revenue recognition principle says that revenue should be recorded when it has been earned,it doesnt matter when the money is recieved . you should match expenses with revenue

answer 3 :- even if the cash is not exchanged

answer 4 :- they should ecognise it in september

answer 5: deferal of expense:-  deferred expense refers to a cost that has occurred but it will be reported as an expense in one or more future accounting periods.

deferal of revenue:-deferred revenue is a liability on a company's balance sheet that represents a prepayment by its customers for goods or services that have yet to be delivered