Exam 2: Analyzing and Recording Business Transactions

A cash payment was made to pay for delivery expenses, but was mistakenly charged to advertising expenses. What effect will this have on the balance of the trial balance?

Credit means:

Which of the following would start with a 2 in the chart of accounts?

On the trial balance, which should have their balances listed in the debit column?

Dividends, accounts receivable, and buildings have normal balances of __________, __________, and __________, respectively.

A trial balance contains the name of the company, the words "trial balance," and the date of the statement.

Toys, Inc. paid one of its creditors $678 on their balance due. The journal entry would require a __________.

Which of the following is a revenue account?

Net income and dividends are part of __________.

Emily Ma started an Energy Saving Service in June 2013. The account balances on June 30, 2013 are provided below. All accounts have normal balances. One hundred (100) common shares were issued in June 2013. Requirements Prepare a trial balance using the correct financial presentation.

Brandon Company sold season tickets for $700 on account. The journal entry would be to __________.

Casey Corporation purchased a $600 two-year insurance policy for cash. The journal entry would require a __________.

Which of the following is an unofficial tool of accounting?

Accounts starting with the number 4 would typically represent __________.

The debit (left) side of an account always indicates an increase in the value of the account.

The posting reference column of the general journal provides a cross-reference between the:

A trial balance will determine if:

Which of the following is an expense account?

Obligations that are owed to others due to past transactions are categorized as __________.

The shareholders' equity section would include the accounts such as retained earnings and revenues.