Question 1

A trial balance may balance even when each of the following occurs except when

Accepted Answer

A) a transaction is not journalized. 
B) a journal entry is posted twice. 
C) incorrect accounts are used in journalizing. 
D) a transposition error is made. 
A) a transaction is not journalized. 
B) a journal entry is posted twice. 
C) incorrect accounts are used in journalizing. 
D) a transposition error is made.

Question 2

Which one of the following is not a part of an account?

Accepted Answer

A) Credit side 
B) Trial balance 
C) Debit side 
D) Title 
A) Credit side 
B) Trial balance 
C) Debit side 
D) Title

Question 3

The primary purpose of a trial balance is to prove the mathematical equality of the debits and credits after posting.

Accepted Answer

A) True 
 B)False

Question 4

European companies rely

Accepted Answer

A) less on historical cost and more on fair values than U.S.companies. 
B) less on fair values and more on historical cost than U.S.companies. 
C) completely on fair values for financial reporting. 
D) completely on historical cost for financial reporting. 
A) less on historical cost and more on fair values than U.S.companies. 
B) less on fair values and more on historical cost than U.S.companies. 
C) completely on fair values for financial reporting. 
D) completely on historical cost for financial reporting.

Question 5

The double-entry system of accounting refers to the placement of a double line at the end of a column of figures.

Accepted Answer

A) True 
 B)False

Question 6

The account titles used in journalizing transactions need not be identical to the account titles in the ledger.

Accepted Answer

A) True 
 B)False

Question 7

In recording an accounting transaction in a double-entry system

Accepted Answer

A) the number of debit accounts must equal the number of credit accounts. 
B) there must always be entries made on both sides of the accounting equation. 
C) the amount of the debits must equal the amount of the credits. 
D) there must only be two accounts affected by any transaction. 
A) the number of debit accounts must equal the number of credit accounts. 
B) there must always be entries made on both sides of the accounting equation. 
C) the amount of the debits must equal the amount of the credits. 
D) there must only be two accounts affected by any transaction.

Question 8

Which of the following is true?

Accepted Answer

A) Transaction analysis is completely different under IFRS and GAAP. 
B) Most transactions are recorded differently under IFRS and GAAP. 
C) Transaction analysis is the same under IFRS and GAAP, but some transactions are recorded differently. 
D) All transactions are recorded the same under IFRS and GAAP. 
A) Transaction analysis is completely different under IFRS and GAAP. 
B) Most transactions are recorded differently under IFRS and GAAP. 
C) Transaction analysis is the same under IFRS and GAAP, but some transactions are recorded differently. 
D) All transactions are recorded the same under IFRS and GAAP.

Question 9

An account consists of

Accepted Answer

A) a title, a debit balance, and a credit balance. 
B) a title, a left side, and a debit balance. 
C) a title, a debit side, and a credit side. 
D) a title, a right side, and a debit balance. 
A) a title, a debit balance, and a credit balance. 
B) a title, a left side, and a debit balance. 
C) a title, a debit side, and a credit side. 
D) a title, a right side, and a debit balance.

Question 10

When three or more accounts are required in one journal entry, the entry is referred to as a

Accepted Answer

A) compound entry. 
B) triple entry. 
C) multiple entry. 
D) simple entry. 
A) compound entry. 
B) triple entry. 
C) multiple entry. 
D) simple entry.

Question 11

An accountant has debited an asset account for $1,200 and credited a liability account for $500. What can be done to complete the recording of the transaction?

Accepted Answer

A) Nothing further must be done. 
B) Debit a Stockholders' equity account for $700. 
C) Debit another asset account for $700. 
D) Credit a different asset account for $700. 
A) Nothing further must be done. 
B) Debit a Stockholders' equity account for $700. 
C) Debit another asset account for $700. 
D) Credit a different asset account for $700.

A trial balance may balance even when each of the following occurs except when

Which one of the following is not a part of an account?

The primary purpose of a trial balance is to prove the mathematical equality of the debits and credits after posting.

European companies rely

The double-entry system of accounting refers to the placement of a double line at the end of a column of figures.

The account titles used in journalizing transactions need not be identical to the account titles in the ledger.

In recording an accounting transaction in a double-entry system

Which of the following is true?

An account consists of

When three or more accounts are required in one journal entry, the entry is referred to as a

An accountant has debited an asset account for $1,200 and credited a liability account for $500. What can be done to complete the recording of the transaction?

Accounting in Action

Adjusting the Accounts

Completing the Accounting Cycle

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 2: The Recording Process

A trial balance may balance even when each of the following occurs except when

Which one of the following is not a part of an account?

The primary purpose of a trial balance is to prove the mathematical equality of the debits and credits after posting.

European companies rely

The double-entry system of accounting refers to the placement of a double line at the end of a column of figures.

The account titles used in journalizing transactions need not be identical to the account titles in the ledger.

In recording an accounting transaction in a double-entry system

Which of the following is true?

An account consists of

When three or more accounts are required in one journal entry, the entry is referred to as a

An accountant has debited an asset account for $1,200 and credited a liability account for $500. What can be done to complete the recording of the transaction?

Accounting in Action

Adjusting the Accounts

Completing the Accounting Cycle

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