A(n) ____________________ is a reduction in owner’s equity as a result of the owner
taking cash or other assets out of the business for personal use.
The historical cost principle allows for assets to be recorded at actual cost.
____________________ are due within either one year or the normal operating cycle of
the business, whichever is longer, and are to be paid out of current assets.
From the combination journal, the total of the Cash Debit column is posted as one
amount to the debit side of the Cash account and the total of the Cash Credit column is
posted as one amount to the credit side of the Cash account.
Assets, liabilities, and the owner’s capital account are closed at the end of the
accounting period.