Exam 2: A Review of the Accounting Cycle

Scott Co. reported an allowance for doubtful accounts of $28,000 (credit) at December 31, 2011, before performing an aging of accounts receivable. As a result of the aging, Scott determined that an estimated $27,000 of the December 31, 2011, accounts receivable would prove uncollectible. The adjusting entry required at December 31, 2011, would be

The use of computers in processing accounting data

On December 31 of the current year, Holmgren Company's bookkeeper made an entry debiting Supplies Expense and crediting Supplies on Hand for $12,600. The Supplies on Hand account had a $15,300 debit balance on January 1. The December 31 balance sheet showed Supplies on Hand of $11,400. Only one purchase of supplies was made during the month, on account. The entry for that purchase was

Failure to record salaries owed but not paid at the end of an accounting period results in

Which of the following accounts most likely would not appear in a post-closing trial balance?

If an inventory account is understated at year end, the effect will be to overstate the

Montague Company reported the following balances: Montague paid suppliers $122,500 during the year. What is Montague's cost of goods sold for the year?

The allowance for doubtful accounts is an example of a(n)

The following account balances pertain to the Henryville Manufacturing Co. at September 30, 2011 (before adjusting entries). Additional information: Prepare adjusting entries to Henryville Co.'s accounts at September 30, 2011. Each entry should be made in general journal format. Identify each entry by using the letter of the paragraph containing the additional information for the entry.

A chart of accounts is a

Which of the following accounts would not appear on a post-closing trial balance?

The basic financial statements are listed below: In which of the following sequences does the accountant ordinarily prepare the statements?

Total net income over the life of an enterprise is

Beginning and ending Accounts Receivable balances were $28,000 and $24,000, respectively. If collections from clients during the period were $80,000, then total services rendered on account were apparently