Exam 4: Completing the Accounting Cycle

When constructing a worksheet, accounts are often needed that are not listed in the trial balance already entered on the worksheet from the ledger. Where should these additional accounts be shown on the worksheet?

The closing entry process consists of closing

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

The trial balances of Barola 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 Barola Company.

Preparing a worksheet involves

The following account balances appeared in the adjusted trial balance for Nguyen Inc.: Supplies ¥2,500; Inventories ¥3,000; Accounts Receivable ¥13,200; Cash ¥11,500; Prepaid Insurance ¥6,300; and Short-term Investments ¥7,600. Prepare the current assets section of the 2014 statement of financial position in proper format.

The following data (in thousands) is available for Chang Company. The subtotal of the first asset classification on the 2014 Statement of Financial Position is:

Use the following income statement for the year 2014 for Melges Company to prepare entries to close the revenue and expense accounts for the company. Service revenue €85,300 Expenses:

Current liabilities are obligations that the company is to pay within the coming year.

The following accounts were included on Haircut 101's adjusted trial balance at December 31, 2014: (a) What are total current assets? (b) What are total current liabilities?

Two permanent accounts that are part of the equity are ______________ and ______________.

The adjustments entered in the adjustments columns of a worksheet are

The income statement for the year 2014 of Poole Co. contains the following information: After all closing entries have been posted, the Income Summary account will have a balance of

Which of the following is an optional step in the accounting cycle?

A business entity has only one accounting cycle over its economic existence.

Current assets are the first category of assets reported on the Statement of Financial Position.

The first required step in the accounting cycle is

At March 31, account balances after adjustments for Blowing Rock Stage Theatre are as follows: Instructions Prepare the closing journal entries for Blowing Rock Stage Theatre.

A post-closing trial balance will show

The following items (in thousands) were taken from the financial statements of Zhao Company. (All dollars are in thousands.) Instructions Prepare a classified statement of financial position in good form as of December 31, 2014.