Exam 6: Completing a Worksheet and Completing the Accounting Cycle

Which account listed below would be double ruled in the ledger as part of the closing process?

The account, Supplies, will appear in the following debit columns of the worksheet

A post-closing trial balance will show

In order to close the owner's drawings account, the

A permanent account that is part of owner's equity is ______________.

An unacceptable way to make a correcting entry is to

______________ entries are prepared whenever an error is discovered.

The income statement for the month of June, 2022 of Snap Shot, Inc. contains the following information: Revenues \7 ,300 Expenses: Salaries and Wages Expense \ 3,000 Rent Expense 1,300 Advertising Expense 700 Supplies Expense 200 Insurance Expense 100 Total expenses 5,300 Net income (loss) \2 ,000 The entry to close the expense accounts includes a

The post-closing trial balance is prepared to prove the equality of debits and credits in the ledger after closing entries have been journalized and posted.

After closing entries have been journalized and posted, all temporary accounts in the ledger should have zero balances.

The adjusted trial balance columns of a worksheet are obtained by subtracting the adjustment columns from the trial balance columns.

Which of these steps of the accounting cycle occur at the end of the accounting period (as opposed to during the accounting period, or at year-end only)?

The balance of the accumulated depreciation account will appear in the income statement debit column of a worksheet.

A worksheet is an optional working tool used by accountants to facilitate the preparation of financial statements. Consider the steps followed in preparing a worksheet. How does the use of a worksheet assist the accountant? Could financial statements be prepared without a worksheet? Evaluate how the process would differ. Consider factors such as timeliness, accuracy, and efficiency in your evaluation.

On March 8, Saltwater Taffy Company bought supplies on account from the Sweet Honey Company for $440. Saltwater Taffy Company incorrectly debited Equipment for $400 and credited Accounts Payable for $400. The entries have been posted to the ledger. The correcting entry should be:

Which is not a difference between adjusting and correcting entries?

The balance of Accounts Receivable will appear in the balance sheet debit column of a worksheet.

Closing entries are

Kenham Co. was organized on April 1, 2022. The company prepares monthly financial statements. The adjusted trial balance amounts in the April 30 worksheet are shown below. Debit Credit Cash \ 6,700 Accumulated Depreciation- Accounts Receivable 600 Equipment 850 Prepaid Insurance 1,800 Notes Payable 5,000 Supplies 1,000 Accounts Payable 1,510 Equipment 15,000 Salaries and Wages Payable 400 Owner's Drawings 600 Interest Payable 550 Salaries and Wages Expense 9,400 Owner's Capital 13,000 Insurance Expense 1,200 Service Revenue 15,800 Depreciation Expense 850 Rent Revenue 800 Supplies Expense 200 Utilities Expense 510 Interest Expense 50 \3 7,910 \3 7,910 What is net income for April?

Truffles Company paid $860 on account to a creditor. The transaction was erroneously recorded as a debit to Cash of $680 and a credit to Accounts Receivable, $680. The correcting entry is