Question 1

The double entry system of accounting ensures that all the debits will equal all the credits in an entry.

Accepted Answer

A) True 
 B)False

Question 2

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

Accepted Answer

A)  A debit balance in an asset account 
B)  A credit balance in an expense account 
C)  A credit balance in a liabilities account 
D)  A credit balance in a revenue account 
A)  A debit balance in an asset account 
B)  A credit balance in an expense account 
C)  A credit balance in a liabilities account 
D)  A credit balance in a revenue account

Question 3

A trial balance may be done at any time during the accounting cycle.

Accepted Answer

A) True 
 B)False

Question 4

The chart of accounts used by Quick Copy Company is listed below. You are to indicate the proper accounts to be debited and credited for the following transactions by writing the account number(s) in the appropriate columns.

Accepted Answer

The answer of The chart of accounts used by Quick...

Question 5

Marshwinds Wind Farm is producing its first financial statements for its bank. The trial balance does NOT balance. The company should

Accepted Answer

A)  create a new account called "suspense" and use it to balance the trial balance. 
B)  give the incorrect trial balance to the bank. 
C)  ask the bank for more time to find the error. 
D)  increase one of the larger accounts so that the trial balance will balance. 
A)  create a new account called "suspense" and use it to balance the trial balance. 
B)  give the incorrect trial balance to the bank. 
C)  ask the bank for more time to find the error. 
D)  increase one of the larger accounts so that the trial balance will balance.

Question 6

Eloise King is the accountant for King's Jewellery Store. She has just prepared the company's trial balance and discovered that the total debits are $9,257 and total credits are $9,230. Lisa has likely made which of the following errors?

Accepted Answer

A)  Posted the journal entries to the wrong accounts. 
B)  Posted a debit as a credit. 
C)  Transposed two numbers during posting. 
D)  Forgotten to make a journal entry. 
A)  Posted the journal entries to the wrong accounts. 
B)  Posted a debit as a credit. 
C)  Transposed two numbers during posting. 
D)  Forgotten to make a journal entry.

Question 7

Match between columns
                        Premises: An accounting record of increases and decreases in specific assets, liabilities, and owner's equity items.
An entry that involves only two accounts.
The side which increases an account.
A list of all the accounts used by an enterprise.
An entry that involves three or more accounts.
A book of original entry.
A list of accounts and their balances at a given time.
Left side of an account.
Transferring journal entries to ledger accounts.
Has a credit normal balance.

Accepted Answer

The Answer of Chart of accounts and Normal account balance is...

Question 8

After transaction information has been recorded in the journal, it is transferred to the

Accepted Answer

A)  trial balance. 
B)  balance sheet. 
C)  posting journal. 
D)  ledger. 
A)  trial balance. 
B)  balance sheet. 
C)  posting journal. 
D)  ledger.

Question 9

Which of the following journal entries correctly records the cash payment of salaries and advertising expenses?

Accepted Answer

The answer of Which of the following journal entries correctly...

Question 10

Which of the following statements about the tabular summary and account form of the cash account is correct?

Accepted Answer

A)  All negative amounts in a tabular summary are cash payments and are recorded as debits under the account form. 
B)  All positive amounts in the tabular summary are cash receipts and are recorded as credits under the account form. 
C)  A positive cash balance in a tabular summary is reflected as a debit balance under the account form. 
D)  Companies are required to use both a tabular summary and the account form. 
A)  All negative amounts in a tabular summary are cash payments and are recorded as debits under the account form. 
B)  All positive amounts in the tabular summary are cash receipts and are recorded as credits under the account form. 
C)  A positive cash balance in a tabular summary is reflected as a debit balance under the account form. 
D)  Companies are required to use both a tabular summary and the account form.

Question 11

The first step in designing an accounting system is the creation of the

Accepted Answer

A)  general ledger. 
B)  general journal. 
C)  trial balance. 
D)  chart of accounts. 
A)  general ledger. 
B)  general journal. 
C)  trial balance. 
D)  chart of accounts.

Question 12

A debit is NOT the normal balance for

Accepted Answer

A)  an expense account. 
B)  a supplies account. 
C)  an accounts payable account. 
D)  a drawings account. 
A)  an expense account. 
B)  a supplies account. 
C)  an accounts payable account. 
D)  a drawings account.

Question 13

The transactions of the Coronation Baked Goods Delivery are recorded in the general journal below.   Instructions 
a. Post the journal entries to the accounts using the following general ledger.
b. Prepare a trial balance on the form provided.

Accepted Answer

The answer of The transactions of the Coronation Baked Goods...

Question 14

Management could determine the amounts owing to suppliers by examining which ledger account?

Accepted Answer

A)  Supplies 
B)  Cash 
C)  Accounts Payable 
D)  Supplies expense 
A)  Supplies 
B)  Cash 
C)  Accounts Payable 
D)  Supplies expense

Question 15

Which of the following statements is NOT true?

Accepted Answer

A)  Expenses increase owner's equity. 
B)  Expenses have normal debit balances. 
C)  Expenses decrease owner's equity. 
D)  Expenses are a negative factor in the calculation of profit. 
A)  Expenses increase owner's equity. 
B)  Expenses have normal debit balances. 
C)  Expenses decrease owner's equity. 
D)  Expenses are a negative factor in the calculation of profit.

Question 16

Funds received before the delivery of goods and services would be shown as

Accepted Answer

A)  unearned revenue on the statement of earnings. 
B)  unearned revenue on the balance sheet. 
C)  a credit to cash. 
D)  sales or service revenue on the statement of earnings. 
A)  unearned revenue on the statement of earnings. 
B)  unearned revenue on the balance sheet. 
C)  a credit to cash. 
D)  sales or service revenue on the statement of earnings.

Question 17

If the sum of the debit column equals the sum of the credit column in a trial balance, it indicates

Accepted Answer

A)  no errors have been made. 
B)  no errors can be discovered. 
C)  all entries have been posted. 
D)  the mathematical equality of the accounting equation. 
A)  no errors have been made. 
B)  no errors can be discovered. 
C)  all entries have been posted. 
D)  the mathematical equality of the accounting equation.

Question 18

The ledger accounts should be arranged in

Accepted Answer

A)  chronological order. 
B)  alphabetical order. 
C)  statement order. 
D)  debit accounts first and then credit accounts. 
A)  chronological order. 
B)  alphabetical order. 
C)  statement order. 
D)  debit accounts first and then credit accounts.

Question 19

All of the following transactions should be recorded EXCEPT for

Accepted Answer

A)  providing services to customers. 
B)  purchasing supplies on account. 
C)  ordering equipment. 
D)  incurring expenses. 
E)  all of the above should be recorded. 
A)  providing services to customers. 
B)  purchasing supplies on account. 
C)  ordering equipment. 
D)  incurring expenses. 
E)  all of the above should be recorded.

Question 20

An asset is increased by a debit.

Accepted Answer

A) True 
 B)False

The double entry system of accounting ensures that all the debits will equal all the credits in an entry.

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

A trial balance may be done at any time during the accounting cycle.

The chart of accounts used by Quick Copy Company is listed below. You are to indicate the proper accounts to be debited and credited for the following transactions by writing the account number(s) in the appropriate columns.

Marshwinds Wind Farm is producing its first financial statements for its bank. The trial balance does NOT balance. The company should

Eloise King is the accountant for King's Jewellery Store. She has just prepared the company's trial balance and discovered that the total debits are $9,257 and total credits are $9,230. Lisa has likely made which of the following errors?

After transaction information has been recorded in the journal, it is transferred to the

Which of the following journal entries correctly records the cash payment of salaries and advertising expenses?

Which of the following statements about the tabular summary and account form of the cash account is correct?

The first step in designing an accounting system is the creation of the

A debit is NOT the normal balance for

The transactions of the Coronation Baked Goods Delivery are recorded in the general journal below. Instructions a. Post the journal entries to the accounts using the following general ledger. b. Prepare a trial balance on the form provided.

Management could determine the amounts owing to suppliers by examining which ledger account?

Which of the following statements is NOT true?

Funds received before the delivery of goods and services would be shown as

If the sum of the debit column equals the sum of the credit column in a trial balance, it indicates

The ledger accounts should be arranged in

All of the following transactions should be recorded EXCEPT for

An asset is increased by a debit.

Accounting in Action

Adjusting the Accounts

Completion of the Accounting Cycle

Accounting for Merchandising Operations

Inventory Costing

Internal Control and Cash

Long-Lived Assets

Current Liabilities

Accounting Principles

Accounting for Partnerships

Introduction to Corporations

Corporations: Additional Topics and Ifrs

Non-Current Liabilities

The Cash Flow Statement

Financial Statement Analysis

Investments

Filters

Exam 2: The Recording Process

The double entry system of accounting ensures that all the debits will equal all the credits in an entry.

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

A trial balance may be done at any time during the accounting cycle.

The chart of accounts used by Quick Copy Company is listed below. You are to indicate the proper accounts to be debited and credited for the following transactions by writing the account number(s) in the appropriate columns.

Marshwinds Wind Farm is producing its first financial statements for its bank. The trial balance does NOT balance. The company should

Eloise King is the accountant for King's Jewellery Store. She has just prepared the company's trial balance and discovered that the total debits are $9,257 and total credits are $9,230. Lisa has likely made which of the following errors?

After transaction information has been recorded in the journal, it is transferred to the

Which of the following journal entries correctly records the cash payment of salaries and advertising expenses?

Which of the following statements about the tabular summary and account form of the cash account is correct?

The first step in designing an accounting system is the creation of the

A debit is NOT the normal balance for

The transactions of the Coronation Baked Goods Delivery are recorded in the general journal below. Instructions a. Post the journal entries to the accounts using the following general ledger. b. Prepare a trial balance on the form provided.

Management could determine the amounts owing to suppliers by examining which ledger account?

Which of the following statements is NOT true?

Funds received before the delivery of goods and services would be shown as

If the sum of the debit column equals the sum of the credit column in a trial balance, it indicates

The ledger accounts should be arranged in

All of the following transactions should be recorded EXCEPT for

An asset is increased by a debit.

Accounting in Action

Adjusting the Accounts

Completion of the Accounting Cycle

Accounting for Merchandising Operations

Inventory Costing

Internal Control and Cash

Long-Lived Assets

Current Liabilities

Accounting Principles

Accounting for Partnerships

Introduction to Corporations

Corporations: Additional Topics and Ifrs

Non-Current Liabilities

The Cash Flow Statement

Financial Statement Analysis

Investments

Filters