Fill in the Blanks: Chapter Four
1. The ____________ worksheet is a large columnar form that assists in the preparation of an entity's financial statements.
2. Amounts in the adjusted trial balance columns of the worksheet are extended to the ____________income statement, ____________retained earnings or ____________balance sheetcolumns of the work sheet.
3. Revenue, expense, and dividend accounts must be closed or reduced to zero so amounts are not carried over from one period to the next. These accounts are appropriately known as ____________temporary or ____________nominalaccounts.
4. Accounts whose balances are carried forward from period to period are commonly called ____________real (or permanent) accounts.
5. The ____________income summary account is used only in closing, and summarizes the net income or net loss of a business.
6. The ____________ income summaryaccount is closed directly to retained earnings.
7. To determine whether the accounts are still in balance after closing entries have been journalized and posted, accountants often prepare a ____________post-closing trial balance.
8. A ____________reversing entry is the exact opposite of an adjusting entry.
9. The ____________operating cycle is the length of time it takes a company to turn cash back into cash via investing in inventory and accepting accounts receivable.
10. Current assets should be listed on a balance sheet in order of ____________liquidity .
11. ____________Intangible assets usually follow property, plant, and equipment on a classified balance sheet.