Question

Match the following with each others

a. Operating activity
b. Investing activity
c. Financing activity
d. Fixed assets
e. Long-term investments
f. Common stock
g. Dividends
h. Long-term debt
i. Bank deposit
j. Journal entry

1. Long-term tangible property that a firm owns
2. Distribution of earnings to shareholders
3. A stockholders' equity account
4. Used to record purchase of a fixed asset for a note
5. A 5-year note payable
6. Sales receipt
7. A financial instrument that matures in more than I year
8. Used to record amounts received from a note payable
9. Sale of common stock
10. Purchase of common stock

Answer 1

1. Long-term tangible property that a firm owns

Correct match: Fixed assets

2. Distribution of earnings to shareholders

Correct match: Dividend

3. A stockholders' equity account

Correct match: Common stock

4. Used to record purchase of a fixed asset for a note

Correct match: Journal entry

5. A 5-year note payable

Correct match: Long term debt

6. Sales receipt

Correct match: Operating activity

7. A financial instrument that matures in more than I year

Correct match: Long term investment

8. Used to record amounts received from a note payable

Correct match: Bank deposit

9. Sale of common stock

Correct match: Financing activity

10. Purchase of common stock

Correct match: Investing activity