Payment of salary expense will result in: I. Decrease in asset. II. Decrease in owner's equity. III. Increase in liability. II only. III only. O I only. O Both I and II.

Wages refers to both pay and benefits. True false

3. High employee turnover, employer's, a) Increases b) Decreases c) Does not affect d) Payroll taxable income e) Income f) SUTA g) FUTA labor burden because it

An encumbrance represents the estimated future liabilities for goods or services resulting from placing a purchase order or signing a contract. a. True b. False

Question 12 Costs that are capitalized: O Show up as an expense on the income statement without ever being recorded on the balance sheet O None of the possible choices O Will initially be recorded as an asset on the balance sheet O Never exist as part of accrual accounting

Revenue generally should be recognized   Select one: when realized. when the performance obligation is satisfied. at the time of cash collection. at the end of production.