Exam 4: Completing the Accounting Cycle

An intangible asset

The balances that appear on the post-closing trial balance will match the

The trial balances of Orton Company follow with the accounts arranged in alphabetic order. Analyze the data and prepare (a) the adjusting entries and (b) the closing entries made by Orton Company.

The income statement for the month of June, 2018 of Camera Obscura Enterprises contains the following information: Revenues \7 ,000 Expenses: Salaries and Wages Expense \ 3,000 Rent Expense 1,500 Advertising Expense 800 Supplies Expense 300 Insurance Expense 100 Total expenses 5,700 Net income \1 ,300 The entry to close Income Summary to Retained Earnings includes

The income statement for the year 2018 of Fugazi Co. contains the following information: Revenues \7 0,000 Expenses: Salaries and Wages Expense \ 45,000 Rent Expense 12,000 Advertising Expense 10,000 Supplies Expense 6,000 Utilities Expense 2,500 Insurance Expense 2,000 Total expenses 77,500 Net income \7 ,500 The entry to close the expense accounts includes a

The most important information needed to determine if companies can pay their current obligations is the

The Dividends account is closed to the ______________ account at the end of the accounting period.

Presented below is an adjusted trial balance for Shawn Company, at December 31, 2018. Instructions (a) Prepare closing entries for December 31, 2018. (b) Determine the balance in the Retained Earnings account after the entries have been posted.

The income statement for the year 2018 of Fugazi Co. contains the following information: Revenues \7 0,000 Expenses: Salaries and Wages Expense \ 45,000 Rent Expense 12,000 Advertising Expense 10,000 Supplies Expense 6,000 Utilities Expense 2,500 Insurance Expense 2,000 Total expenses 77,500 Net income \7 ,500 After all closing entries have been posted, the Income Summary account will have a balance of

A post-closing trial balance will show

The worksheet for Montoya Company has been completed through the adjusted trial balance. You are ready to extend each amount to the appropriate financial statement column. Indicate for each account, the financial statement column to which the account should be extended by placing a check mark () in the appropriate column.

Long-term investments would appear in the property, plant, and equipment section of the balance sheet.

Each of the following accounts is closed to Income Summary except

The account, Supplies, will appear in the following debit columns of the worksheet.

The first step in preparing a worksheet is to prepare a ______________ from the general ledger accounts.

A worksheet is a mandatory form that must be prepared along with an income statement and balance sheet.

Liabilities are generally classified on a balance sheet as

Assets that do not have a physical substance yet often are very valuable are called ______________ assets.

A current asset is

An incorrect debit to Accounts Receivable instead of the correct account Notes Receivable does not require a correcting entry because total assets will not be misstated.