Author Question: Team Shirts, Inc. pays 600 for insurance. This transaction ________. A) causes total assets to ... (Read 54 times)

Beheh · **on:** Jul 5, 2018

Team Shirts, Inc. pays 600 for insurance. This transaction ________.

A) causes total assets to increase and total liabilities to increase
B) causes total liabilities to increase and retained earnings to decrease
C) is an investing activity
D) is an operating activity

Question 2

Comparing a company's cash balance in its accounting records with the bank statement is called ________.

A) a bank reconciliation
B) an external audit
C) an internal audit
D) adjusting the books