Exam 4: The Recording Process: the Journal, the Ledger, and the Trial Balance

On July 7, JT Industries purchased supplies of $1,000 for cash. The entry to record the purchase will include

Prepare journal entries for each of the following transactions. 1. Performed services for customers on account $8,400. 2. Purchased $20,000 of equipment on account. 3. Received $3,800 from customers in transaction 1. 4. The owner, J. Dean, withdrew $2,900 cash for personal use.

A numbering system for a chart of accounts

Match the basic step in the recording process described by each of the following statements.

A chart of accounts usually starts with

Bertoli Company showed the following balances at the end of its first year: Cash \ 4,000 Prepaid insurance 7,000 Accounts receivable 8,000 Accounts payable 4,000 Notes payable 7,000 Owner's Capital 3,000 Owner's Drawings 2,000 Revenues 32,000 Expenses 25,000 What did Bertoli Company show as total credits on its trial balance?

In making a journal entry, the debit account and amount should be listed first and indented.

Prepare a trial balance from the ledger accounts of Black Diamond Express as of January 31, 2022. Accounts Payable \ 1,100 Rent Expense \ 500 Accounts Receivable 1,700 Service Revenue 3,000 Cash 1,400 Supplies 200 Owner's Capital 2,000 Salaries and Wages Expense 1,300 Owner's Drawings 1,000

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

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

Dollar signs normally do not appear in the

In Yani's Gyros trial balance, which type of balance should Yani expect for the type of account indicated?

Another name for a journal is

The trial balance will not balance if the total of the accounts with debit balances does not equal the total of the accounts with credit balances.

The ________________is a listing of the accounts maintained by the company

The first step in the recording process is to analyze the transaction for its effects on the accounts.

Jackson Tucker withdraws $2,700 cash from his business for personal use. The journal entry for this transaction will include a credit of $2,700 to

The procedure of transferring journal entries to the ledger accounts is called

The steps in preparing a trial balance include all of the following except

An examination of the ledger and journal reveals the following errors: 1. Each of the above listed accounts has a normal balance per the general ledger. 2. Cash of $270 received from a customer on account was debited to Cash $720 and credited to Accounts Receivable $720. 3. A withdrawal of $400 by the owner was posted as a credit to Owner's Drawings, $400 and credit to Cash $400. 4. A debit of $300 was not posted to Salaries and Wages Expense. 5. The purchase of equipment on account for $700 was recorded as a debit to Repair Expense and a credit to Accounts Payable for $700. 6. Services were performed on account for a customer, $510, for which Accounts Receivable was debited $510 and Service Revenue was credited $51. 7. A payment on account for $235 was credited to Cash for $235 and credited to Accounts Payable for $253. Instructions Prepare a correct trial balance.