Distributions of cash or other resources by a business to its stockholders are called:

If a company records prepayment of expenses in an asset account, the adjusting entry when all or part of the prepaid asset is used or expired would:

When expenses exceed revenues, the resulting change in equity is called:

Dave’s Pizza had beginning equity of $52,000; net income of $35,000, and dividends of $12,000. There were no stockholder investments during the year.  Calculate the ending equity.

Using the following year-end information for Callaway, LLC, calculate the current ratio and acid-test ratio:    Cash $ 48,000 Short-term investments   12,000 Accounts receivable   45,000 Inventory   225,000 Prepaid expenses   12,500 Accounts payable   86,500 Other current payables   22,000

All of the following are classified as assets except:

Under the accrual basis of accounting, adjustments are often made for prepaid expenses and unearned revenues.

Interim financial statements report a company’s business activities for a one-year period.

On April 1, Penthouse Publishing Company received $1,548 from Taos, Inc. for 36-month subscriptions to several different magazines. The subscriptions started immediately. What is the amount of revenue that should be recorded by Penthouse Publishing Company for the second year of the subscription assuming the company uses a calendar-year reporting period?

On October 1, Stansel Co. rented warehouse space to a tenant for $2,500 per month and received $12,500 for five months’ rent in advance on that date, with the lease beginning immediately. The cash receipt was credited to the Unearned Rent account. The company’s annual accounting period ends on December 31. The Unearned Rent account balance at the end of December, after adjustment, should be: