Question 1

The net income (or loss) for the period

Accepted Answer

A)  is found by computing the difference between the income statement credit column and the statement of financial position credit column on the worksheet. 
B)  cannot be found on the worksheet. 
C)  is found by computing the difference between the income statement columns of the worksheet. 
D)  is found by computing the difference between the trial balance totals and the adjusted trial balance totals. 
A)  is found by computing the difference between the income statement credit column and the statement of financial position credit column on the worksheet. 
B)  cannot be found on the worksheet. 
C)  is found by computing the difference between the income statement columns of the worksheet. 
D)  is found by computing the difference between the trial balance totals and the adjusted trial balance totals.

Question 2

The Supplies account appears in which of the following debit columns of the worksheet?

Accepted Answer

A)  Trial balance 
B)  Adjusted trial balance 
C)  Statement of financial position 
D)  All of these answer choices are correct. 
A)  Trial balance 
B)  Adjusted trial balance 
C)  Statement of financial position 
D)  All of these answer choices are correct.

Question 3

The post-closing trial balance is entered in the first two columns of a worksheet.

Accepted Answer

A) True 
 B)False

Question 4

Which of the following steps in the accounting cycle may be performed most frequently?

Accepted Answer

A)  Prepare a post-closing trial balance 
B)  Journalize closing entries 
C)  Post closing entries 
D)  Prepare a trial balance 
A)  Prepare a post-closing trial balance 
B)  Journalize closing entries 
C)  Post closing entries 
D)  Prepare a trial balance

Question 5

Closing entries are journalized and posted

Accepted Answer

A)  before the financial statements are prepared. 
B)  after the financial statements are prepared. 
C)  at management's discretion. 
D)  at the end of each interim accounting period. 
A)  before the financial statements are prepared. 
B)  after the financial statements are prepared. 
C)  at management's discretion. 
D)  at the end of each interim accounting period.

Question 6

Use the following data, taken from the adjusted trial balance, for 70 and 71.  
-Which of the following permanent account is changed during the closing process?

Accepted Answer

A)  Share Capital-Ordinary. 
B)  Retained Earnings. 
C)  Unearned Service Revenue. 
D)  None of these answer choices are correct. 
A)  Share Capital-Ordinary. 
B)  Retained Earnings. 
C)  Unearned Service Revenue. 
D)  None of these answer choices are correct.

Question 7

Identify which of the following accounts would appear in a post-closing trial balance.
Accumulated Depreciation-Equip. Dividends
Depreciation Expense Service Revenue
Interest Payable Equipment

Accepted Answer

The following accounts would a

Question 8

The balance in the income summary account before it is closed will be equal to

Accepted Answer

A)  the net income or loss on the income statement. 
B)  the beginning balance in the retained earnings account. 
C)  the ending balance in the retained earnings account. 
D)  zero. 
A)  the net income or loss on the income statement. 
B)  the beginning balance in the retained earnings account. 
C)  the ending balance in the retained earnings account. 
D)  zero.

Question 9

What is the order in which assets are generally listed on a classified statement of financial position?

Accepted Answer

A)  Current and long-term. 
B)  Intangible assets; long-term investments; property, plant, and equipment; current. 
C)  Long-term investments; property, plant, and equipment; intangible assets; current 
D)  Intangible assets; property, plant, and equipment; long-term investments; current. 
A)  Current and long-term. 
B)  Intangible assets; long-term investments; property, plant, and equipment; current. 
C)  Long-term investments; property, plant, and equipment; intangible assets; current 
D)  Intangible assets; property, plant, and equipment; long-term investments; current.

Question 10

Which of the following statements is false?

Accepted Answer

A)  Under GAAP, the statement of financial position is usually referred to as the statement of assets and equity. 
B)  The FASB and IASB are working on a joint conceptual framework project. 
C)  Under IFRS, companies sometimes net liabilities against assets to report "net assets". 
D)  Assets equals liabilities plus stockholders' equity. 
A)  Under GAAP, the statement of financial position is usually referred to as the statement of assets and equity. 
B)  The FASB and IASB are working on a joint conceptual framework project. 
C)  Under IFRS, companies sometimes net liabilities against assets to report "net assets". 
D)  Assets equals liabilities plus stockholders' equity.

Question 11

In one closing entry, the Dividends account is credited and Income Summary is debited.

Accepted Answer

A) True 
 B)False

Question 12

The income statement for the month of June, 2014 of Taylor Enterprises contains the following information:   The entry to close the revenue account includes a

Accepted Answer

A)  debit to Income Summary for ₤3,900. 
B)  credit to Income Summary for ₤3,900. 
C)  debit to Income Summary for ₤8,000. 
D)  credit to Income Summary for ₤8,000. 
A)  debit to Income Summary for ₤3,900. 
B)  credit to Income Summary for ₤3,900. 
C)  debit to Income Summary for ₤8,000. 
D)  credit to Income Summary for ₤8,000.

Question 13

An unacceptable way to make a correcting entry is to

Accepted Answer

A)  reverse the incorrect entry. 
B)  erase the incorrect entry. 
C)  compare the incorrect entry with the correct entry and make a correcting entry to correct the accounts. 
D)  correct it immediately upon discovery. 
A)  reverse the incorrect entry. 
B)  erase the incorrect entry. 
C)  compare the incorrect entry with the correct entry and make a correcting entry to correct the accounts. 
D)  correct it immediately upon discovery.

Question 14

The following information (in thousands) is for Zháng Office Supplies:   The total amount of assets to be classified as property, plant, and equipment is

Accepted Answer

A)  ¥640,000. 
B)  ¥340,000. 
C)  ¥490,000. 
D)  ¥380,000. 
A)  ¥640,000. 
B)  ¥340,000. 
C)  ¥490,000. 
D)  ¥380,000.

Question 15

The ledger of Hunter Company contains the following balances: Retained Earnings $60,000; Dividends $4,000; Service Revenue $95,000; Salaries and Wages Expense $59,000; and Rent Expense $18,000. Prepare the closing entries at December 31.

Accepted Answer

The answer of The ledger of Hunter Company contains the...

Question 16

The operating cycle of a company is the average time required to collect the receivables resulting from producing revenues.

Accepted Answer

A) True 
 B)False

Question 17

The following information (in thousands) is for Zháng Office Supplies:   The total amount of assets to be classified as current assets is

Accepted Answer

A)  ¥580,000. 
B)  ¥430,000. 
C)  ¥360,000. 
D)  ¥290,000. 
A)  ¥580,000. 
B)  ¥430,000. 
C)  ¥360,000. 
D)  ¥290,000.

Question 18

The following items (in thousands) are taken from the financial statements of Huang Company for the year ending December 31, 2014:   The current assets should be listed on Huang's statement of financial position in the following order

Accepted Answer

A)  accounts receivable, prepaid insurance, equipment, cash. 
B)  accounts receivable, prepaid insurance, supplies, cash. 
C)  prepaid insurance, supplies, accounts, receivable, cash. 
D)  equipment, supplies, prepaid insurance, accounts receivable, cash. 
A)  accounts receivable, prepaid insurance, equipment, cash. 
B)  accounts receivable, prepaid insurance, supplies, cash. 
C)  prepaid insurance, supplies, accounts, receivable, cash. 
D)  equipment, supplies, prepaid insurance, accounts receivable, cash.

Question 19

The income statement for the year 2014 of Poole Co. contains the following information:   At January 1, 2014, Poole reported Retained Earnings of $50,000. Dividends for the year totalled $10,000. At December 31, 2014, the company will report Retained Earnings of

Accepted Answer

A)  $17,500. 
B)  $37,500. 
C)  $40,000. 
D)  $42,500. 
A)  $17,500. 
B)  $37,500. 
C)  $40,000. 
D)  $42,500.

Question 20

The post-closing trial balance contains only

Accepted Answer

A)  income statement accounts. 
B)  statement of financial position accounts. 
C)  statement of financial position and income statement accounts. 
D)  income statement, statement of financial position, and equity statement accounts. 
A)  income statement accounts. 
B)  statement of financial position accounts. 
C)  statement of financial position and income statement accounts. 
D)  income statement, statement of financial position, and equity statement accounts.

The net income (or loss) for the period

The Supplies account appears in which of the following debit columns of the worksheet?

The post-closing trial balance is entered in the first two columns of a worksheet.

Which of the following steps in the accounting cycle may be performed most frequently?

Closing entries are journalized and posted

Use the following data, taken from the adjusted trial balance, for 70 and 71. -Which of the following permanent account is changed during the closing process?

Identify which of the following accounts would appear in a post-closing trial balance. Accumulated Depreciation-Equip. Dividends Depreciation Expense Service Revenue Interest Payable Equipment

The balance in the income summary account before it is closed will be equal to

What is the order in which assets are generally listed on a classified statement of financial position?

Which of the following statements is false?

In one closing entry, the Dividends account is credited and Income Summary is debited.

The income statement for the month of June, 2014 of Taylor Enterprises contains the following information: The entry to close the revenue account includes a

An unacceptable way to make a correcting entry is to

The following information (in thousands) is for Zháng Office Supplies: The total amount of assets to be classified as property, plant, and equipment is

The ledger of Hunter Company contains the following balances: Retained Earnings $60,000; Dividends $4,000; Service Revenue $95,000; Salaries and Wages Expense $59,000; and Rent Expense $18,000. Prepare the closing entries at December 31.

The operating cycle of a company is the average time required to collect the receivables resulting from producing revenues.

The following information (in thousands) is for Zháng Office Supplies: The total amount of assets to be classified as current assets is

The following items (in thousands) are taken from the financial statements of Huang Company for the year ending December 31, 2014: The current assets should be listed on Huang's statement of financial position in the following order

The income statement for the year 2014 of Poole Co. contains the following information: At January 1, 2014, Poole reported Retained Earnings of $50,000. Dividends for the year totalled $10,000. At December 31, 2014, the company will report Retained Earnings of

The post-closing trial balance contains only

Accounting in Action

The Recording Process

Adjusting the Accounts

Accounting for Merchandising Operations

Inventories

Fraud, Internal Control, and Cash

Accounting for Receivables

Plant Assets, Natural Resources, and Intangible Assets

Liabilities

Corporations: Organization, Share Transactions, Dividends, and Retained Earnings

Investments

Statement of Cash Flows

Financial Statement Analysis

Accounting Principles and Contingent Liabilities in Business Operations

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Exam 4: Completing the Accounting Cycle

The net income (or loss) for the period

The Supplies account appears in which of the following debit columns of the worksheet?

The post-closing trial balance is entered in the first two columns of a worksheet.

Which of the following steps in the accounting cycle may be performed most frequently?

Closing entries are journalized and posted

Use the following data, taken from the adjusted trial balance, for 70 and 71. -Which of the following permanent account is changed during the closing process?

Identify which of the following accounts would appear in a post-closing trial balance. Accumulated Depreciation-Equip. Dividends Depreciation Expense Service Revenue Interest Payable Equipment

The balance in the income summary account before it is closed will be equal to

What is the order in which assets are generally listed on a classified statement of financial position?

Which of the following statements is false?

In one closing entry, the Dividends account is credited and Income Summary is debited.

The income statement for the month of June, 2014 of Taylor Enterprises contains the following information: The entry to close the revenue account includes a

An unacceptable way to make a correcting entry is to

The following information (in thousands) is for Zháng Office Supplies: The total amount of assets to be classified as property, plant, and equipment is

The ledger of Hunter Company contains the following balances: Retained Earnings $60,000; Dividends $4,000; Service Revenue $95,000; Salaries and Wages Expense $59,000; and Rent Expense $18,000. Prepare the closing entries at December 31.

The operating cycle of a company is the average time required to collect the receivables resulting from producing revenues.

The following information (in thousands) is for Zháng Office Supplies: The total amount of assets to be classified as current assets is

The following items (in thousands) are taken from the financial statements of Huang Company for the year ending December 31, 2014: The current assets should be listed on Huang's statement of financial position in the following order

The income statement for the year 2014 of Poole Co. contains the following information: At January 1, 2014, Poole reported Retained Earnings of $50,000. Dividends for the year totalled $10,000. At December 31, 2014, the company will report Retained Earnings of

The post-closing trial balance contains only

Accounting in Action

The Recording Process

Adjusting the Accounts

Accounting for Merchandising Operations

Inventories

Fraud, Internal Control, and Cash

Accounting for Receivables

Plant Assets, Natural Resources, and Intangible Assets

Liabilities

Corporations: Organization, Share Transactions, Dividends, and Retained Earnings

Investments

Statement of Cash Flows

Financial Statement Analysis

Accounting Principles and Contingent Liabilities in Business Operations

Filters