Question 1

Withdrawals increase on the debit side of the account.

Accepted Answer

A) True 
 B)False  True

Question 2

The chart of accounts:

Accepted Answer

A) is a numbered list of all of the business' accounts. 
B) allows accounts to be located quickly. 
C) can be expanded as the business grows. 
D) All of the above are correct. 
A) is a numbered list of all of the business' accounts. 
B) allows accounts to be located quickly. 
C) can be expanded as the business grows. 
D) All of the above are correct. A

Question 3

Below is a chart of accounts. Following is a series of transactions. Indicate for each transaction the accounts that should be debited and credited by inserting the proper account number in the space provided.

Accepted Answer

The answer of Below is a chart of accounts. Following...

Question 4

The owner of BobCats R Us paid his personal MasterCard bill using a company check. The correct entry to record the transaction is:

Accepted Answer

A) credit Cash; debit Capital. 
B) credit Cash; debit Supplies Expense. 
C) credit Cash; debit Withdrawals. 
D) credit Cash; debit Accounts Receivable. 
A) credit Cash; debit Capital. 
B) credit Cash; debit Supplies Expense. 
C) credit Cash; debit Withdrawals. 
D) credit Cash; debit Accounts Receivable.

Question 5

Accounts Payable indicates monies owed to us by our clients or customers.

Accepted Answer

A) True 
 B)False

Question 6

For each of the following, identify in Column 1 the category to which the account belongs, in Column 2 the normal balance for the account, and in Column 3 the financial statement that the account appears upon.
-

Accepted Answer

The answer of For each of the following, identify in...

Question 7

Determine the ending owner's equity of a business having a beginning owner's equity of $9,500, additional investments of $450 withdrawals of $1,000, and net income of $1,400.
$ ________

Accepted Answer

$10,350 [$

Question 8

What is the proper entry to show the owner making an investment in the company?

Accepted Answer

A) A credit to Cash and a debit to Capital 
B) A debit to Cash and a credit to Capital 
C) A debit to Cash and a credit to Revenue 
D) A credit to Cash and a debit to Revenue 
A) A credit to Cash and a debit to Capital 
B) A debit to Cash and a credit to Capital 
C) A debit to Cash and a credit to Revenue 
D) A credit to Cash and a debit to Revenue

Question 9

The Accounts Receivable account has total debit postings of $1,900 and credit postings of $1100. The balance of the account is:

Accepted Answer

A) $800 debit. 
B) $800 credit. 
C) $2,600 credit. 
D) $2,600 debit. 
A) $800 debit. 
B) $800 credit. 
C) $2,600 credit. 
D) $2,600 debit.

Question 10

The following is a list of accounts and their balances for Benson Company for the month ended June 30, 20xx. Prepare a trial balance in good form.

Accepted Answer

The answer of The following is a list of accounts...

Question 11

Number the following types of accounts (1-6)as they would appear on the Trial Balance.

Accepted Answer

The answer of Number the following types of accounts (1-6)as...

Question 12

Which of the following accounts would be increased by a debit?

Accepted Answer

A) Cash 
B) Accounts Payable 
C) Capital 
D) Fees Earned 
A) Cash 
B) Accounts Payable 
C) Capital 
D) Fees Earned

Question 13

A T account is used for demonstration purposes.

Accepted Answer

A) True 
 B)False

Question 14

Double-entry accounting requires transactions to affect two or more accounts, and the total of the debits and credits must equal.

Accepted Answer

A) True 
 B)False

Question 15

A compound entry is:

Accepted Answer

A) a transaction involving more than one debit and/or credit. 
B) used to prepare the trial balance. 
C) the same as the chart of accounts. 
D) found on the income statement. 
A) a transaction involving more than one debit and/or credit. 
B) used to prepare the trial balance. 
C) the same as the chart of accounts. 
D) found on the income statement.

Question 16

Dennis, owner of Dennis' Golf Center, withdrew $900 in cash from the business. Record the transaction by:

Accepted Answer

A) debiting Dennis, Withdrawals, $900; crediting Cash, $900. 
B) debiting Accounts Receivable, $900; crediting Cash, $900. 
C) debiting Expense, $900; crediting Cash, $900. 
D) debiting Dennis, Withdrawals, $900; crediting Dennis, Capital, $900. 
A) debiting Dennis, Withdrawals, $900; crediting Cash, $900. 
B) debiting Accounts Receivable, $900; crediting Cash, $900. 
C) debiting Expense, $900; crediting Cash, $900. 
D) debiting Dennis, Withdrawals, $900; crediting Dennis, Capital, $900.

Question 17

The business incurred an expense and paid it immediately. To record this:

Accepted Answer

A) an expense is debited and a liability is credited. 
B) an expense is debited and an asset is credited. 
C) an expense is debited and Capital is credited. 
D) None of these are correct. 
A) an expense is debited and a liability is credited. 
B) an expense is debited and an asset is credited. 
C) an expense is debited and Capital is credited. 
D) None of these are correct.

Question 18

What would be the effect on accounts if the business provided services to a customer collecting cash?

Accepted Answer

A) An asset would be debited and an expense credited. 
B) Capital would be debited and revenue credited. 
C) An asset would be debited and revenue credited. 
D) An asset would be debited and Capital credited. 
A) An asset would be debited and an expense credited. 
B) Capital would be debited and revenue credited. 
C) An asset would be debited and revenue credited. 
D) An asset would be debited and Capital credited.

Question 19

For each of the following, identify in Column 1 the category to which the account belongs, in Column 2 the normal balance for the account, and in Column 3 the financial statement that the account appears upon.
-

Accepted Answer

The answer of For each of the following, identify in...

Question 20

Which type of account would not be reported on the balance sheet?

Accepted Answer

A) Expense 
B) Cash 
C) Accounts Payable 
D) Accounts Receivable 
A) Expense 
B) Cash 
C) Accounts Payable 
D) Accounts Receivable

Exam 2: Debits and Credits: Analyzing and Recording Business Transactions

Withdrawals increase on the debit side of the account.

The chart of accounts:

Below is a chart of accounts. Following is a series of transactions. Indicate for each transaction the accounts that should be debited and credited by inserting the proper account number in the space provided.

The owner of BobCats R Us paid his personal MasterCard bill using a company check. The correct entry to record the transaction is:

Accounts Payable indicates monies owed to us by our clients or customers.

For each of the following, identify in Column 1 the category to which the account belongs, in Column 2 the normal balance for the account, and in Column 3 the financial statement that the account appears upon. -

Determine the ending owner's equity of a business having a beginning owner's equity of $9,500, additional investments of $450 withdrawals of $1,000, and net income of $1,400. $ ________

What is the proper entry to show the owner making an investment in the company?

The Accounts Receivable account has total debit postings of $1,900 and credit postings of $1100. The balance of the account is:

The following is a list of accounts and their balances for Benson Company for the month ended June 30, 20xx. Prepare a trial balance in good form.

Number the following types of accounts (1-6)as they would appear on the Trial Balance.

Which of the following accounts would be increased by a debit?

A T account is used for demonstration purposes.

Double-entry accounting requires transactions to affect two or more accounts, and the total of the debits and credits must equal.

A compound entry is:

Dennis, owner of Dennis' Golf Center, withdrew $900 in cash from the business. Record the transaction by:

The business incurred an expense and paid it immediately. To record this:

What would be the effect on accounts if the business provided services to a customer collecting cash?

For each of the following, identify in Column 1 the category to which the account belongs, in Column 2 the normal balance for the account, and in Column 3 the financial statement that the account appears upon. -

Which type of account would not be reported on the balance sheet?

Accounting Concepts and Procedures

Beginning the Accounting Cycle

The Accounting Cycle Continued

The Accounting Cycle Completed

Banking Procedure and Control of Cash

Calculating Pay and Payroll Taxes: The Beginning of the Payroll Process

Paying, Recording, and Reporting Payroll and Payroll Taxes: the Conclusion of the Payroll Process

Sales and Cash Receipts

Purchases and Cash Payments

Preparing a Worksheet for a Merchandise Company

Completion of the Accounting Cycle for a Merchandise Company

Accounting for Bad Debts

Notes Receivable and Notes Payable

Accounting for Merchandise Inventory

Accounting for Property, Plant, Equipment, and Intangible Assets

Partnership

Corporations: Organizations and Stock

Corporations: Stock Values, Dividends, Treasury Stocks, and Retained Earnings

Corporations and Bonds Payable

Statement of Cash Flows

Analyzing Financial Statements

The Voucher System

Departmental Accounting

Manufacturing Accounting

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