Question 1

A trial balance prepared before any adjustments have been recorded is:

Accepted Answer

A)  An adjusted trial balance. 
B)  Used to prepare financial statements. 
C)  An unadjusted trial balance. 
D)  Correct with respect to proper balance sheet and income statement amounts. 
E)  Only prepared once a year. 
A)  An adjusted trial balance. 
B)  Used to prepare financial statements. 
C)  An unadjusted trial balance. 
D)  Correct with respect to proper balance sheet and income statement amounts. 
E)  Only prepared once a year.

Question 2

Describe a work sheet and explain why it is useful.

Accepted Answer

A work sheet is a useful tool that prepa

Question 3

An account linked with another account that has an opposite normal balance and is subtracted from the balance of the related account is a(n):

Accepted Answer

A)  Accrued expense. 
B)  Contra account. 
C)  Accrued revenue. 
D)  Intangible asset. 
E)  Adjunct account. 
A)  Accrued expense. 
B)  Contra account. 
C)  Accrued revenue. 
D)  Intangible asset. 
E)  Adjunct account.

Question 4

Based on the following information from Schrute Company's balance sheet,calculate the current ratio.
$$\begin{array} { | l | r | } 
\hline \text { Current assets } & \$ 87,000 \
\hline \text { Investments } & 50,000 \
\hline \text { Plant assets } & 220,000 \
\hline \text { Current liabilities } & 39,000 \
\hline \text { Long-term liabilities } & 90,000 \
\hline \text { Retained earnings } & 228,000 \
\hline
\end{array}$$

Accepted Answer

A)  .44. 
B)  3.51. 
C)  3.33. 
D)  1.06. 
E)  2.23. 
A)  .44. 
B)  3.51. 
C)  3.33. 
D)  1.06. 
E)  2.23.

Question 5

Match the following terms with the appropriate definition.
-A listing of accounts and balances prepared after adjustments are recorded and posted to the ledger.

Accepted Answer

A) Adjusting entry 
B) Unadjusted trial balance 
C) Prepaid expenses 
D) Natural business year 
E) Accrued expenses
F)Adjusted trial balance
G)Report form balance sheet
H)Accounting period
I)Profit margin
J)Contra account 
A) Adjusting entry 
B) Unadjusted trial balance 
C) Prepaid expenses 
D) Natural business year 
E) Accrued expenses
F)Adjusted trial balance
G)Report form balance sheet
H)Accounting period
I)Profit margin
J)Contra account

A trial balance prepared before any adjustments have been recorded is:

Describe a work sheet and explain why it is useful.

An account linked with another account that has an opposite normal balance and is subtracted from the balance of the related account is a(n):

Based on the following information from Schrute Company's balance sheet,calculate the current ratio. Current assets \ 87,000 Investments 50,000 Plant assets 220,000 Current liabilities 39,000 Long-term liabilities 90,000 Retained earnings 228,000

Match the following terms with the appropriate definition. -A listing of accounts and balances prepared after adjustments are recorded and posted to the ledger.

Accounting in Business

Analyzing for Business Transactions

Accounting for Merchandising Operations

Inventories and Cost of Sales

Cash, fraud, and Internal Controls

Accounting for Receivables

Accounting for Long-Term Assets

Accounting for Current Liabilities

Accounting for Long-Term Liabilities

Corporate Reporting and Analysis

Reporting Cash Flows

Analysis of Financial Statements

Time Value of Money

Investments

Partnership Accounting

Filters

Exam 3: Adjusting Accounts for Financial Statements

A trial balance prepared before any adjustments have been recorded is:

Describe a work sheet and explain why it is useful.

An account linked with another account that has an opposite normal balance and is subtracted from the balance of the related account is a(n):

Based on the following information from Schrute Company's balance sheet,calculate the current ratio. Current assets \ 87,000 Investments 50,000 Plant assets 220,000 Current liabilities 39,000 Long-term liabilities 90,000 Retained earnings 228,000

Match the following terms with the appropriate definition. -A listing of accounts and balances prepared after adjustments are recorded and posted to the ledger.

Accounting in Business

Analyzing for Business Transactions

Accounting for Merchandising Operations

Inventories and Cost of Sales

Cash, fraud, and Internal Controls

Accounting for Receivables

Accounting for Long-Term Assets

Accounting for Current Liabilities

Accounting for Long-Term Liabilities

Corporate Reporting and Analysis

Reporting Cash Flows

Analysis of Financial Statements

Time Value of Money

Investments

Partnership Accounting

Filters