Question 1

A worksheet is a multiple column form that facilitates the

Accepted Answer

A) identification of events. 
B) measurement process. 
C) preparation of financial statements. 
D) analysis process. 
A) identification of events. 
B) measurement process. 
C) preparation of financial statements. 
D) analysis process.

Question 2

In order to close the dividends account, the

Accepted Answer

A) income summary account should be debited. 
B) income summary account should be credited. 
C) retained earnings account should be credited. 
D) retained earnings account should be debited. 
A) income summary account should be debited. 
B) income summary account should be credited. 
C) retained earnings account should be credited. 
D) retained earnings account should be debited.

Question 3

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

Accepted Answer

A) Adjusting entries 
B) Closing entries 
C) Correcting entries 
D) Reversing entries 
A) Adjusting entries 
B) Closing entries 
C) Correcting entries 
D) Reversing entries

Question 4

The purpose of the post-closing trial balance is to

Accepted Answer

A) prove that no mistakes were made. 
B) prove the equality of the balance sheet account balances that are carried forward into the next accounting period. 
C) prove the equality of the income statement account balances that are carried forward into the next accounting period. 
D) list all the balance sheet accounts in alphabetical order for easy reference. 
A) prove that no mistakes were made. 
B) prove the equality of the balance sheet account balances that are carried forward into the next accounting period. 
C) prove the equality of the income statement account balances that are carried forward into the next accounting period. 
D) list all the balance sheet accounts in alphabetical order for easy reference.

Question 5

A post-closing trial balance will show

Accepted Answer

A) zero balances for all accounts. 
B) zero balances for balance sheet accounts. 
C) only balance sheet accounts. 
D) only income statement accounts. 
A) zero balances for all accounts. 
B) zero balances for balance sheet accounts. 
C) only balance sheet accounts. 
D) only income statement accounts.

Question 6

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

Accepted Answer

A) True 
 B)False

Question 7

The following items are taken from the financial statements of the Postal Service for the year ending December 31, 2015:   What is total liabilities and stockholders' equity at December 31, 2015?

Accepted Answer

A) $176,000 
B) $218,000 
C) $190,000 
D) $232,000 
A) $176,000 
B) $218,000 
C) $190,000 
D) $232,000

Question 8

When using a worksheet, adjusting entries are journalized

Accepted Answer

A) after the worksheet is completed and before financial statements are prepared. 
B) before the adjustments are entered on to the worksheet. 
C) after the worksheet is completed and after financial statements have been prepared. 
D) before the adjusted trial balance is extended to the proper financial statement columns. 
A) after the worksheet is completed and before financial statements are prepared. 
B) before the adjustments are entered on to the worksheet. 
C) after the worksheet is completed and after financial statements have been prepared. 
D) before the adjusted trial balance is extended to the proper financial statement columns.

Question 9

The income statement for the month of June, 2015 of Camera Obscura Enterprises contains the following information:   At June 1, 2015, Camera Obscura reported retained earnings of $35,000. The company had no dividends during June. At June 30, 2015, the company will report retained earnings of

Accepted Answer

A) $29,300. 
B) $35,000. 
C) $36,300. 
D) $42,000. 
A) $29,300. 
B) $35,000. 
C) $36,300. 
D) $42,000.

Question 10

The classified balance sheet is

Accepted Answer

A) required under GAAP but not under IFRS. 
B) required under IFRS in the same format as under GAAP. 
C) required under IFRS but not under GAAP. 
D) required under IFRS with certain variations in format as compared to GAAP. 
A) required under GAAP but not under IFRS. 
B) required under IFRS in the same format as under GAAP. 
C) required under IFRS but not under GAAP. 
D) required under IFRS with certain variations in format as compared to GAAP.

Question 11

The final closing entry to be journalized is typically the entry that closes the

Accepted Answer

A) revenue accounts. 
B) dividends account. 
C) retained earnings account. 
D) expense accounts. 
A) revenue accounts. 
B) dividends account. 
C) retained earnings account. 
D) expense accounts.

Question 12

A company's operating cycle and fiscal year are usually the same length of time.

Accepted Answer

A) True 
 B)False

Question 13

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

Accepted Answer

A) income statement account balances after adjustments. 
B) balance sheet account balances after closing entries. 
C) income statement account balances after closing entries. 
D) balance sheet account balances after adjustments. 
A) income statement account balances after adjustments. 
B) balance sheet account balances after closing entries. 
C) income statement account balances after closing entries. 
D) balance sheet account balances after adjustments.

Question 14

All of the following statements about the post-closing trial balance are correct except it

Accepted Answer

A) shows that the accounting equation is in balance. 
B) provides evidence that the journalizing and posting of closing entries have been properly completed. 
C) contains only permanent accounts. 
D) proves that all transactions have been recorded. 
A) shows that the accounting equation is in balance. 
B) provides evidence that the journalizing and posting of closing entries have been properly completed. 
C) contains only permanent accounts. 
D) proves that all transactions have been recorded.

Question 15

The income summary account

Accepted Answer

A) is a permanent account. 
B) appears on the balance sheet. 
C) appears on the income statement. 
D) is a temporary account. 
A) is a permanent account. 
B) appears on the balance sheet. 
C) appears on the income statement. 
D) is a temporary account.

Question 16

To close net income to retained earnings, Income Summary is debited and Retained Earnings is credited.

Accepted Answer

A) True 
 B)False

Question 17

Most companies that follow IFRS present balance sheet (statement of financial position) information in this order:

Accepted Answer

A) current assets; investments; property, plant and equipment; intangible assets; current liabilities; long term liabilities; equity. 
B) intangible assets; property, plant and equipment; investments; current assets; current liabilities; equity; long term liabilities. 
C) current assets; noncurrent assets; current liabilities; noncurrent liabilities; equity. 
D) noncurrent assets; current assets; equity; noncurrent liabilities; current liabilities. 
A) current assets; investments; property, plant and equipment; intangible assets; current liabilities; long term liabilities; equity. 
B) intangible assets; property, plant and equipment; investments; current assets; current liabilities; equity; long term liabilities. 
C) current assets; noncurrent assets; current liabilities; noncurrent liabilities; equity. 
D) noncurrent assets; current assets; equity; noncurrent liabilities; current liabilities.

Question 18

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 19

Preparing a worksheet involves

Accepted Answer

A) two steps. 
B) three steps. 
C) four steps. 
D) five steps. 
A) two steps. 
B) three steps. 
C) four steps. 
D) five steps.

Question 20

The first item listed under current liabilities is usually

Accepted Answer

A) accounts payable. 
B) notes payable. 
C) salaries and wages payable. 
D) taxes payable. 
A) accounts payable. 
B) notes payable. 
C) salaries and wages payable. 
D) taxes payable.

A worksheet is a multiple column form that facilitates the

In order to close the dividends account, the

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

The purpose of the post-closing trial balance is to

A post-closing trial balance will show

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

The following items are taken from the financial statements of the Postal Service for the year ending December 31, 2015: What is total liabilities and stockholders' equity at December 31, 2015?

When using a worksheet, adjusting entries are journalized

The income statement for the month of June, 2015 of Camera Obscura Enterprises contains the following information: At June 1, 2015, Camera Obscura reported retained earnings of $35,000. The company had no dividends during June. At June 30, 2015, the company will report retained earnings of

The classified balance sheet is

The final closing entry to be journalized is typically the entry that closes the

A company's operating cycle and fiscal year are usually the same length of time.

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

All of the following statements about the post-closing trial balance are correct except it

The income summary account

To close net income to retained earnings, Income Summary is debited and Retained Earnings is credited.

Most companies that follow IFRS present balance sheet (statement of financial position) information in this order:

Closing entries are journalized and posted

Preparing a worksheet involves

The first item listed under current liabilities is usually

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, Stock Transactions, Dividends, and Retained Earnings

Investments

Statement of Cash Flows

Financial Statement Analysis

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Exam 4: Completing the Accounting Cycle

A worksheet is a multiple column form that facilitates the

In order to close the dividends account, the

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

The purpose of the post-closing trial balance is to

A post-closing trial balance will show

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

The following items are taken from the financial statements of the Postal Service for the year ending December 31, 2015: What is total liabilities and stockholders' equity at December 31, 2015?

When using a worksheet, adjusting entries are journalized

The income statement for the month of June, 2015 of Camera Obscura Enterprises contains the following information: At June 1, 2015, Camera Obscura reported retained earnings of $35,000. The company had no dividends during June. At June 30, 2015, the company will report retained earnings of

The classified balance sheet is

The final closing entry to be journalized is typically the entry that closes the

A company's operating cycle and fiscal year are usually the same length of time.

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

All of the following statements about the post-closing trial balance are correct except it

The income summary account

To close net income to retained earnings, Income Summary is debited and Retained Earnings is credited.

Most companies that follow IFRS present balance sheet (statement of financial position) information in this order:

Closing entries are journalized and posted

Preparing a worksheet involves

The first item listed under current liabilities is usually

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, Stock Transactions, Dividends, and Retained Earnings

Investments

Statement of Cash Flows

Financial Statement Analysis

Filters