Question 1

The process of copying the information from the journal to the ledger is called:

Accepted Answer

A) posting. 
B) summarizing. 
C) journalizing. 
D) preparing the financial statements. 
A) posting. 
B) summarizing. 
C) journalizing. 
D) preparing the financial statements.

Question 2

Credits to revenue accounts ultimately result in a(n):

Accepted Answer

A) decrease in stockholders' equity and assets. 
B) increase in stockholders' equity and assets. 
C) decrease in assets and liabilities. 
D) increase in liabilities and assets. 
A) decrease in stockholders' equity and assets. 
B) increase in stockholders' equity and assets. 
C) decrease in assets and liabilities. 
D) increase in liabilities and assets.

Question 3

The process of recording a transaction in the journal is called:

Accepted Answer

A) posting. 
B) summarizing. 
C) journalizing. 
D) preparing the financial statements. 
A) posting. 
B) summarizing. 
C) journalizing. 
D) preparing the financial statements.

Question 4

Transactions affecting stockholders' equity include:

Accepted Answer

A) common stock, revenues, expenses and collection of an account receivable. 
B) retained earnings, revenues, expenses, and liabilities. 
C) common stock, revenues, expenses, dividends and retained earnings. 
D) common stock, retained earnings, revenues and assets. 
A) common stock, revenues, expenses and collection of an account receivable. 
B) retained earnings, revenues, expenses, and liabilities. 
C) common stock, revenues, expenses, dividends and retained earnings. 
D) common stock, retained earnings, revenues and assets.

Question 5

The purchase of office computers for cash would include a debit to:

Accepted Answer

A) Cash and a credit to Office Equipment. 
B) Office Equipment and a credit to Accounts Payable. 
C) Accounts Receivable and credit to Office Equipment. 
D) Office Equipment and a credit to Cash. 
A) Cash and a credit to Office Equipment. 
B) Office Equipment and a credit to Accounts Payable. 
C) Accounts Receivable and credit to Office Equipment. 
D) Office Equipment and a credit to Cash.

Question 6

Which of the following is NOT a business transaction?

Accepted Answer

A) The company buys land for cash. 
B) The company sells goods for cash. 
C) The company hires a new president. 
D) The company pays a dividend to its stockholders. 
A) The company buys land for cash. 
B) The company sells goods for cash. 
C) The company hires a new president. 
D) The company pays a dividend to its stockholders.

Question 7

The left hand side of a T account is the debit side and the right hand side is the credit side.

Accepted Answer

A) True 
 B)False

Question 8

In accounting, the process of posting involves transferring data from the:

Accepted Answer

A) ledger to the journal. 
B) journal to the ledger. 
C) source documents to the ledger. 
D) source documents to the journal. 
A) ledger to the journal. 
B) journal to the ledger. 
C) source documents to the ledger. 
D) source documents to the journal.

Question 9

Goods purchased on account for future use in the business, such as Office Supplies, are called:

Accepted Answer

A) Accrued liabilities. 
B) Prepaid expenses. 
C) Revenues. 
D) Expenses. 
A) Accrued liabilities. 
B) Prepaid expenses. 
C) Revenues. 
D) Expenses.

Question 10

Receiving a check from a customer on account would include a credit to:

Accepted Answer

A) Cash. 
B) Accounts Payable. 
C) Sales Revenue. 
D) Accounts Receivable. 
A) Cash. 
B) Accounts Payable. 
C) Sales Revenue. 
D) Accounts Receivable.

Question 11

The entry to record the purchase of supplies on account would include a debit to:

Accepted Answer

A) Supplies. 
B) Accounts Payable. 
C) Supplies Expense. 
D) Retained Earnings. 
A) Supplies. 
B) Accounts Payable. 
C) Supplies Expense. 
D) Retained Earnings.

The process of copying the information from the journal to the ledger is called:

Credits to revenue accounts ultimately result in a(n):

The process of recording a transaction in the journal is called:

Transactions affecting stockholders' equity include:

The purchase of office computers for cash would include a debit to:

Which of the following is NOT a business transaction?

The left hand side of a T account is the debit side and the right hand side is the credit side.

In accounting, the process of posting involves transferring data from the:

Goods purchased on account for future use in the business, such as Office Supplies, are called:

Receiving a check from a customer on account would include a credit to:

The entry to record the purchase of supplies on account would include a debit to:

The Financial Statements

Accrual Accounting Income

Internal Control Cash

Short-Term Investments Receivables

Inventory and Cost of Goods Sold

Plant Assets Intangibles

Liabilities

Stockholders Equity

Long-Term Investments International Operations

The Income Statement the Statement of Stockholders Equity

The Statement of Cash Flows

Financial Statement Analysis

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Exam 2: Transaction Analysis

The process of copying the information from the journal to the ledger is called:

Credits to revenue accounts ultimately result in a(n):

The process of recording a transaction in the journal is called:

Transactions affecting stockholders' equity include:

The purchase of office computers for cash would include a debit to:

Which of the following is NOT a business transaction?

The left hand side of a T account is the debit side and the right hand side is the credit side.

In accounting, the process of posting involves transferring data from the:

Goods purchased on account for future use in the business, such as Office Supplies, are called:

Receiving a check from a customer on account would include a credit to:

The entry to record the purchase of supplies on account would include a debit to:

The Financial Statements

Accrual Accounting Income

Internal Control Cash

Short-Term Investments Receivables

Inventory and Cost of Goods Sold

Plant Assets Intangibles

Liabilities

Stockholders Equity

Long-Term Investments International Operations

The Income Statement the Statement of Stockholders Equity

The Statement of Cash Flows

Financial Statement Analysis

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