Exam 2: The Recording Process

The usual sequence of steps in the recording process is to analyze each transaction enter the transaction in the

Debits

A numbering system for a chart of accounts

Which of the following are the same under both GAAP and IFRS?

Another name for a journal is

Journalize the following business transactions in general journal form. Identify each transaction by number. You may omit explanations of the transactions. 1. The owner Mai Li invests $40000 in cash in starting a real estate office operating as a sole proprietorship. 2. Purchased $500 of supplies on credit. 3. Purchased equipment for $9000 paying $4000 in cash and signed a 30-day $5000 note payable. 4. Real estate commissions billed to clients amount to $4000. 5. Paid $800 in cash for the current month's rent. 6. Paid $200 cash on account for supplies purchased in transaction 2. 7. Received a bill for $600 for advertising for the current month. 8. Paid $2500 cash for office salaries and wages. 9. Li withdrew $1800 from the business for living expenses. 10. Received a check for $2500 from a client in payment on account for commissions billed in transaction 4.

A trial balance is a listing of

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

An accounting record where transactions are initially recorded in chronological order is called a ________________.

Assets normally show

A general ledger should be arranged in the order in which accounts are presented in the financial statements beginning with the balance sheet accounts.

An awareness of the normal balances of accounts would help you spot which of the following as an error in recording?

A journal is also known as a book of original entry.

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

The ledger account balances for Galaxie 500 Company are listed below. Instructions Prepare a trial balance in proper form for Galaxie at December 31 2016.

Journalize the following transactions for Tanaka Company for June 2016 the company's first month of operations. You may omit explanations for the transactions. 1. Purchased equipment on account for $9800. 2. Billed customers $5600 for services performed. 3. Made payment of $2400 on account for equipment purchased earlier in month. 4. Collected $3900 on customer accounts.

The owner's drawings account

Boise Co. pays its employees twice a month on the 7^th and the 21^st. On June 21 Boise Co. paid employee salaries of $6000. This transaction would

Match the items below by entering the appropriate code letter in the space provided.