Question 1

To close an expense account with a debit balance,debit the account for its balance and credit the income summary account.

Accepted Answer

A) True 
 B)False

Question 2

Match the terms with the definitions.
-A balance sheet in which the assets are on the left and the liabilities and the owner's equity sections are on the right.

Accepted Answer

A) account form of balance sheet 
B) accounting cycle 
C) classified balance sheet 
D) closing process 
E) current assets
F)current liabilities
G)Income Summary
H)long-term liabilities
I)operating cycle
J)permanent accounts
K)post-closing trial balance
L)property, plant, and equipment
M)report form of balance sheet
N)temporary accounts 
A) account form of balance sheet 
B) accounting cycle 
C) classified balance sheet 
D) closing process 
E) current assets
F)current liabilities
G)Income Summary
H)long-term liabilities
I)operating cycle
J)permanent accounts
K)post-closing trial balance
L)property, plant, and equipment
M)report form of balance sheet
N)temporary accounts

Question 3

From the following partial work sheet for Walter Searing,journalize the closing entries necessary for month-end and prepare a post-closing trial balance.
?
?
   ?
?
   ?
?
 $$\begin{array} { | l | l | l | } 
\hline \text { Account Title } & \text { Debit } & \text { Credit } \
\hline & & \
\hline & & \
\hline & & \
\hline & & \
\hline & & \
\hline & & \
\hline & & \
\hline & & \
\hline & & \
\hline & & \
\hline & & \
\hline & & \
\hline
\end{array}$$

Accepted Answer

? 11ea84ea_4

Question 4

Obligations that need not be paid for a long time,usually more than one year,are classified as current liabilities.

Accepted Answer

A) True 
 B)False

Question 5

To close the income summary account with a credit balance,debit the account for its balance and credit the drawing account.

Accepted Answer

A) True 
 B)False

Question 6

(Appendix)A company receives cash from a bank loan.This activity is classified as

Accepted Answer

A)  operating. 
B)  investing. 
C)  financing. 
D)  borrowing. 
A)  operating. 
B)  investing. 
C)  financing. 
D)  borrowing.

Question 7

Match the terms with the definitions.
-A temporary account used in the closing process to summarize the effects of all revenue and expense accounts.

Accepted Answer

A) account form of balance sheet 
B) accounting cycle 
C) classified balance sheet 
D) closing process 
E) current assets
F)current liabilities
G)Income Summary
H)long-term liabilities
I)operating cycle
J)permanent accounts
K)post-closing trial balance
L)property, plant, and equipment
M)report form of balance sheet
N)temporary accounts 
A) account form of balance sheet 
B) accounting cycle 
C) classified balance sheet 
D) closing process 
E) current assets
F)current liabilities
G)Income Summary
H)long-term liabilities
I)operating cycle
J)permanent accounts
K)post-closing trial balance
L)property, plant, and equipment
M)report form of balance sheet
N)temporary accounts

Question 8

Which of the following steps of the accounting cycle are in the correct order?

Accepted Answer

A)  prepare a trial balance,post to general ledger accounts,journalize adjusting and closing entries 
B)  make adjustments,complete a work sheet,post to general ledger accounts 
C)  prepare financial statements,make adjustments,prepare a trial balance 
D)  prepare a trial balance,make adjustments,prepare financial statements 
A)  prepare a trial balance,post to general ledger accounts,journalize adjusting and closing entries 
B)  make adjustments,complete a work sheet,post to general ledger accounts 
C)  prepare financial statements,make adjustments,prepare a trial balance 
D)  prepare a trial balance,make adjustments,prepare financial statements

Question 9

The owner's equity in a business amounted to $52,000 at the beginning of the year and $100,000 at the end of the year.The owner had made no additional investments and had withdrawn $19,000 during the year.The net income for the year amounted to

Accepted Answer

A)  $81,000. 
B)  $67,000. 
C)  $48,000. 
D)  $171,000. 
A)  $81,000. 
B)  $67,000. 
C)  $48,000. 
D)  $171,000.

Question 10

The journal entry to close revenue accounts includes

Accepted Answer

A)  debiting the revenue accounts and crediting Income Summary. 
B)  debiting Income Summary and crediting the revenue accounts. 
C)  debiting the revenue accounts and crediting Cash. 
D)  debiting the revenue accounts and crediting the drawing account. 
A)  debiting the revenue accounts and crediting Income Summary. 
B)  debiting Income Summary and crediting the revenue accounts. 
C)  debiting the revenue accounts and crediting Cash. 
D)  debiting the revenue accounts and crediting the drawing account.

Question 11

Match the terms with the definitions.
-Accounts that do not accumulate information across accounting periods but are closed,such as the drawing account and all income statement accounts.

Accepted Answer

A) account form of balance sheet 
B) accounting cycle 
C) classified balance sheet 
D) closing process 
E) current assets
F)current liabilities
G)Income Summary
H)long-term liabilities
I)operating cycle
J)permanent accounts
K)post-closing trial balance
L)property, plant, and equipment
M)report form of balance sheet
N)temporary accounts 
A) account form of balance sheet 
B) accounting cycle 
C) classified balance sheet 
D) closing process 
E) current assets
F)current liabilities
G)Income Summary
H)long-term liabilities
I)operating cycle
J)permanent accounts
K)post-closing trial balance
L)property, plant, and equipment
M)report form of balance sheet
N)temporary accounts

Question 12

The income summary account appears on the income statement at the end of the accounting period.

Accepted Answer

A) True 
 B)False

Question 13

What is the correct sequence for closing the temporary accounts?

Accepted Answer

A)  revenue accounts,expense accounts,Income Summary,drawing account 
B)  expense accounts,revenue accounts,Income Summary,drawing account 
C)  revenue accounts,expense accounts,drawing account,Income Summary 
D)  drawing account,revenue accounts,expense accounts,Income Summary 
A)  revenue accounts,expense accounts,Income Summary,drawing account 
B)  expense accounts,revenue accounts,Income Summary,drawing account 
C)  revenue accounts,expense accounts,drawing account,Income Summary 
D)  drawing account,revenue accounts,expense accounts,Income Summary

Question 14

A separate explanation of each closing entry is necessary.

Accepted Answer

A) True 
 B)False

Question 15

The ____________________ balance sheet shows the liabilities and owner's equity sections below the asset section.

Accepted Answer

The answer of The ____________________ balance sheet shows the liabilities...

Question 16

Adjusting entries are recorded and posted after closing entries.

Accepted Answer

A) True 
 B)False

Question 17

To close the drawing account with a debit balance,credit the account for its balance and debit the owner's capital account.

Accepted Answer

A) True 
 B)False

Question 18

____________________ accounts do not accumulate information across accounting periods but are closed.

Accepted Answer

The answer of ____________________ accounts do not accumulate information across...

Question 19

Long-term liabilities are liabilities that are due in a period longer than one year.

Accepted Answer

A) True 
 B)False

Question 20

____________________ accounts accumulate information across accounting periods and are reported on the balance sheet.

Accepted Answer

The answer of ____________________ accounts accumulate information across accounting periods...

To close an expense account with a debit balance,debit the account for its balance and credit the income summary account.

Match the terms with the definitions. -A balance sheet in which the assets are on the left and the liabilities and the owner's equity sections are on the right.

Obligations that need not be paid for a long time,usually more than one year,are classified as current liabilities.

To close the income summary account with a credit balance,debit the account for its balance and credit the drawing account.

(Appendix)A company receives cash from a bank loan.This activity is classified as

Match the terms with the definitions. -A temporary account used in the closing process to summarize the effects of all revenue and expense accounts.

Which of the following steps of the accounting cycle are in the correct order?

The owner's equity in a business amounted to $52,000 at the beginning of the year and $100,000 at the end of the year.The owner had made no additional investments and had withdrawn $19,000 during the year.The net income for the year amounted to

The journal entry to close revenue accounts includes

Match the terms with the definitions. -Accounts that do not accumulate information across accounting periods but are closed,such as the drawing account and all income statement accounts.

The income summary account appears on the income statement at the end of the accounting period.

What is the correct sequence for closing the temporary accounts?

A separate explanation of each closing entry is necessary.

The ____________________ balance sheet shows the liabilities and owner's equity sections below the asset section.

Adjusting entries are recorded and posted after closing entries.

To close the drawing account with a debit balance,credit the account for its balance and debit the owner's capital account.

____________________ accounts do not accumulate information across accounting periods but are closed.

Long-term liabilities are liabilities that are due in a period longer than one year.

____________________ accounts accumulate information across accounting periods and are reported on the balance sheet.

Introduction to Accounting

Analyzing Transactions: the Accounting Equation

The Double-Entry Framework

Journalizing and Posting Transactions

Adjusting Entries and the Work Sheet

Accounting for Cash

Payroll Accounting: Employee Earnings and Deductions

Payroll Accounting: Employer Taxes and Reports

Module Accounting For A Professional Service Business The Combination Journal

Filters

Exam 6: Financial Statements and the Closing Process

To close an expense account with a debit balance,debit the account for its balance and credit the income summary account.

Match the terms with the definitions. -A balance sheet in which the assets are on the left and the liabilities and the owner's equity sections are on the right.

From the following partial work sheet for Walter Searing,journalize the closing entries necessary for month-end and prepare a post-closing trial balance. ? ? ? ? ? ? Account Title Debit Credit

Obligations that need not be paid for a long time,usually more than one year,are classified as current liabilities.

To close the income summary account with a credit balance,debit the account for its balance and credit the drawing account.

(Appendix)A company receives cash from a bank loan.This activity is classified as

Match the terms with the definitions. -A temporary account used in the closing process to summarize the effects of all revenue and expense accounts.

Which of the following steps of the accounting cycle are in the correct order?

The owner's equity in a business amounted to $52,000 at the beginning of the year and $100,000 at the end of the year.The owner had made no additional investments and had withdrawn $19,000 during the year.The net income for the year amounted to

The journal entry to close revenue accounts includes

Match the terms with the definitions. -Accounts that do not accumulate information across accounting periods but are closed,such as the drawing account and all income statement accounts.

The income summary account appears on the income statement at the end of the accounting period.

What is the correct sequence for closing the temporary accounts?

A separate explanation of each closing entry is necessary.

The ____________________ balance sheet shows the liabilities and owner's equity sections below the asset section.

Adjusting entries are recorded and posted after closing entries.

To close the drawing account with a debit balance,credit the account for its balance and debit the owner's capital account.

____________________ accounts do not accumulate information across accounting periods but are closed.

Long-term liabilities are liabilities that are due in a period longer than one year.

____________________ accounts accumulate information across accounting periods and are reported on the balance sheet.

Introduction to Accounting

Analyzing Transactions: the Accounting Equation

The Double-Entry Framework

Journalizing and Posting Transactions

Adjusting Entries and the Work Sheet

Accounting for Cash

Payroll Accounting: Employee Earnings and Deductions

Payroll Accounting: Employer Taxes and Reports

Module Accounting For A Professional Service Business The Combination Journal

Filters