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The description of the relation between a company’s assets, liabilities, and equity, which is expressed as Assets = Liabilities + Equity, is known as the:

A general journal gives a complete record of each transaction in one place, and shows the debits and credits for each transaction.

Current liabilities include accounts receivable, unearned revenues, and salaries payable.

An advantage of common-size statements is that they reflect the dollar magnitude (size) of the different companies under analysis.

Sing Sing Company reported Cost of goods sold of $835,000 and ending Inventory of $41,750. The Days’ sales in inventory (rounded to whole days) is:

The base amount for a common-size balance sheet is usually total assets.

When there is a net loss, the Income Summary account would have a credit balance.

In a business decision where there are ethical concerns, the preferred course of action should be one that:

How long a company holds inventory before selling it can be measured by dividing cost of goods sold by the average inventory balance to determine the:

The purpose of reversing entries is to: