Question 1

The business provided services to a cash customer. To record this:

Accepted Answer

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

Question 2

The Accounts Receivable account is increased by a debit.

Accepted Answer

A) True 
 B)False

Question 3

A debit to a liability account was posted to a revenue account. This error would cause:

Accepted Answer

A) revenues to be understated. 
B) liabilities to be understated. 
C) capital to be overstated. 
D) None of the above are correct. 
A) revenues to be understated. 
B) liabilities to be understated. 
C) capital to be overstated. 
D) None of the above are correct.

Question 4

The debit side is always the right side of the account.

Accepted Answer

A) True 
 B)False

Question 5

Which of the following groups of accounts have a normal debit balance?

Accepted Answer

A) Revenue, liabilities, and capital 
B) Assets, capital, and withdrawals 
C) Liabilities, expenses, and assets 
D) Assets, expenses, and withdrawals 
A) Revenue, liabilities, and capital 
B) Assets, capital, and withdrawals 
C) Liabilities, expenses, and assets 
D) Assets, expenses, and withdrawals

The business provided services to a cash customer. To record this:

The Accounts Receivable account is increased by a debit.

A debit to a liability account was posted to a revenue account. This error would cause:

The debit side is always the right side of the account.

Which of the following groups of accounts have a normal debit balance?

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

Filters

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

The business provided services to a cash customer. To record this:

The Accounts Receivable account is increased by a debit.

A debit to a liability account was posted to a revenue account. This error would cause:

The debit side is always the right side of the account.

Which of the following groups of accounts have a normal debit balance?

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

Filters