Exam 2: Debits and Credits: Analyzing and Recording Business Transactions

Which type of account would NOT be reported on the balance sheet?

For each of the following, identify in Column 1 the category to which the account belongs, in Column 2 the normal balance for the account, and in Column 3 the financial statement that the account appears upon. -

One asset would be debited and another credited if:

For each of the following, identify in Column 1 the category to which the account belongs, in Column 2 the normal balance for the account, and in Column 3 the financial statement that the account appears upon. -

For each of the following, identify in Column 1 the category to which the account belongs, in Column 2 the normal balance for the account, and in Column 3 the financial statement that the account appears upon. -

Accounts Payable had a normal starting balance of $900. There were debit postings of $100 and credit postings of $450 during the month. The ending balance is:

Accounts Payable has a normal balance of $1,100. After paying to creditors $300, the balance in the account is:

A formal account that has columns for date, explanation, posting reference, debit, and credit is called the:

Which of the following entries would be used to record the billing of fees earned?

A credit to an asset account was posted as a credit to the Revenue account. This error would cause:

Accounts Payable appears on the income statement.

A debit may signify a(n):

Identify whether a debit or credit would be correct for each of the following account changes. Use a Dr. (debit) or Cr. (credit) in the space provided. ________ 1. Increase Truck ________ 2. Increase Accounts Receivable ________ 3. Increase Accounts Payable ________ 4. Increase Salaries Expense ________ 5. Increase Service Fees Earned ________ 6. Decrease Cash ________ 7. Increase S. McCrae, Capital ________ 8. Increase S. McCrae, Withdrawals ________ 9. Increase Rent Expense ________ 10. Increase Equipment

A credit to an asset account was posted as a credit to a revenue account. This error would cause:

The Accounts Payable account is:

Identify the normal balance for each of the following accounts by placing a Dr. (debit) or a Cr. (credit) in the space provided. ________ 1. Truck ________ 2. B. James, Withdrawals ________ 3. B. James, Capital ________ 4. Accounting Fees Earned ________ 5. Cash ________ 6. Accounts Receivable ________ 7. Accounts Payable ________ 8. Rent Expense ________ 9. Office Equipment ________ 10. Supplies

A credit to a liability account was posted as a credit to an expense account. This error would cause:

Bill, owner of Bill's Golf Center, withdrew $1,600 in cash from the business. Record the transaction by:

An account that would be increased by a debit is:

The Salaries Payable account has total debit postings of $1,100 and credit postings of $1,500. The ending balance of the account is: