Question 1

Journalizing a transaction with both the debit and the credit for $69 instead of $96 will cause the trial balance to be out of balance.

Accepted Answer

A) True 
 B)False

Question 2

Which of the following entries records the receipt of cash from clients on account?

Accepted Answer

A)  Accounts Payable,debit; Fees Earned,credit 
B)  Accounts Receivable,debit; Fees Earned,credit 
C)  Accounts Receivable,debit; Cash,credit 
D)  Cash,debit; Accounts Receivable,credit 
A)  Accounts Payable,debit; Fees Earned,credit 
B)  Accounts Receivable,debit; Fees Earned,credit 
C)  Accounts Receivable,debit; Cash,credit 
D)  Cash,debit; Accounts Receivable,credit

Question 3

The chart of accounts should be the same for each business.

Accepted Answer

A) True 
 B)False

Question 4

Which statement(s)concerning cash is (are)true?

Accepted Answer

A)  cash will always have more debits than credits 
B)  cash will never have a credit balance 
C)  cash is increased by debiting 
D)  all are true 
A)  cash will always have more debits than credits 
B)  cash will never have a credit balance 
C)  cash is increased by debiting 
D)  all are true

Question 5

Revenues are equal to the difference between cash receipts and cash payments.

Accepted Answer

A) True 
 B)False

Question 6

Which side of the account increases the cash account?

Accepted Answer

A)  credit 
B)  neither a debit nor a credit 
C)  debit 
D)  either a debit or a credit 
A)  credit 
B)  neither a debit nor a credit 
C)  debit 
D)  either a debit or a credit

Question 7

Which of the following statements is not true about liabilities?

Accepted Answer

A)  Liabilities are debts owed to outsiders. 
B)  Account titles of liabilities often include the term "payable." 
C)  Cash received before a service is performed creates a liability. 
D)  Liabilities do not include wages owed to employees of the company. 
A)  Liabilities are debts owed to outsiders. 
B)  Account titles of liabilities often include the term "payable." 
C)  Cash received before a service is performed creates a liability. 
D)  Liabilities do not include wages owed to employees of the company.

Question 8

Which of the following is true regarding normal balances of accounts?

Accepted Answer

A)  ​All accounts have a normal debit balance. 
B)  ​The normal balance of all accounts will have either a positive or negative balance. 
C)  ​Accounts that have a normal debit balance will only have debit entries,never credit entries. 
D)  ​The normal balance is on the increase side of the account. 
A)  ​All accounts have a normal debit balance. 
B)  ​The normal balance of all accounts will have either a positive or negative balance. 
C)  ​Accounts that have a normal debit balance will only have debit entries,never credit entries. 
D)  ​The normal balance is on the increase side of the account.

Question 9

Which of the following entries records the payment of an account payable?

Accepted Answer

A)  debit Cash; credit Accounts Payable 
B)  debit Accounts Receivable; credit Cash 
C)  debit Cash; credit Supplies Expense 
D)  debit Accounts Payable; credit Cash 
A)  debit Cash; credit Accounts Payable 
B)  debit Accounts Receivable; credit Cash 
C)  debit Cash; credit Supplies Expense 
D)  debit Accounts Payable; credit Cash

Question 10

On January 7,stockholders invest $45,000 to initiate the operation of a business,JumpStart.Provide the journal entry for this transaction.

Accepted Answer

The answer of On January 7,stockholders invest $45,000 to initiate...

Question 11

On January 1,Merry Walker and other stockholders established a catering service.Listed below are accounts to use for transactions (a)through (d),each identified by a number.Following this list are the transactions that occurred during the first month of operations.You are to indicate for each transaction the accounts that should be debited and credited by placing the account number(s)in the appropriate box.
​

Accepted Answer

The answer of On January 1,Merry Walker and other stockholders...

Question 12

On September 1,Erika Company purchased land for $47,500 cash.Provide the journal entry for this transaction.

Accepted Answer

The answer of On September 1,Erika Company purchased land for...

Question 13

In which of the following types of accounts are decreases recorded by debits?

Accepted Answer

A)  assets 
B)  liabilities 
C)  expenses 
D)  dividends 
A)  assets 
B)  liabilities 
C)  expenses 
D)  dividends

Question 14

Of the following,which is true about assets?

Accepted Answer

A)  Assets include both physical and intangible items. 
B)  Assets include only physical items. 
C)  Assets are the personal property of the stockholders of the company. 
D)  Assets are the result of selling products or services to customers. 
A)  Assets include both physical and intangible items. 
B)  Assets include only physical items. 
C)  Assets are the personal property of the stockholders of the company. 
D)  Assets are the result of selling products or services to customers.

Question 15

Debiting the cash account will increase the account.

Accepted Answer

A) True 
 B)False

Question 16

On June 1,the cash account balance was $96,750.During June,cash receipts totaled $305,000 and the June 30 balance was $75,880.Determine the cash payments made during June.

Accepted Answer

$75,880 = $96,750 +

Question 17

Depending on the account title,the right side of the account is referred to as the credit side.

Accepted Answer

A) True 
 B)False

Question 18

Listed below are accounts to use for transactions (a)through (d),each identified by a number.Following this list are the transactions.You are to indicate for each transaction the accounts that should be debited and credited by placing the account number(s)in the appropriate box.
​

Accepted Answer

The answer of Listed below are accounts to use for...

Question 19

The recording of cash payments from the cash account is done by entering the amount as a credit.

Accepted Answer

A) True 
 B)False

Question 20

A debit may signify a(n)

Accepted Answer

A)  decrease in asset accounts 
B)  decrease in liability accounts 
C)  increase in the common stock account 
D)  decrease in the dividends account 
A)  decrease in asset accounts 
B)  decrease in liability accounts 
C)  increase in the common stock account 
D)  decrease in the dividends account

Exam 2: Analyzing Transactions

Journalizing a transaction with both the debit and the credit for $69 instead of $96 will cause the trial balance to be out of balance.

Which of the following entries records the receipt of cash from clients on account?

The chart of accounts should be the same for each business.

Which statement(s)concerning cash is (are)true?

Revenues are equal to the difference between cash receipts and cash payments.

Which side of the account increases the cash account?

Which of the following statements is not true about liabilities?

Which of the following is true regarding normal balances of accounts?

Which of the following entries records the payment of an account payable?

On January 7,stockholders invest $45,000 to initiate the operation of a business,JumpStart.Provide the journal entry for this transaction.

On September 1,Erika Company purchased land for $47,500 cash.Provide the journal entry for this transaction.

In which of the following types of accounts are decreases recorded by debits?

Of the following,which is true about assets?

Debiting the cash account will increase the account.

On June 1,the cash account balance was $96,750.During June,cash receipts totaled $305,000 and the June 30 balance was $75,880.Determine the cash payments made during June.

Depending on the account title,the right side of the account is referred to as the credit side.

Listed below are accounts to use for transactions (a)through (d),each identified by a number.Following this list are the transactions.You are to indicate for each transaction the accounts that should be debited and credited by placing the account number(s)in the appropriate box. ​

The recording of cash payments from the cash account is done by entering the amount as a credit.

A debit may signify a(n)

Introduction to Accounting and Business

The Adjusting Process

Completing the Accounting Cycle

Accounting for Merchandising Businesses

Inventories

Internal Control and Cash

Receivables

Long-Term Assets: Fixed and Intangible

Liabilities: Current,installment Notes,and Contingencies

Liabilities: Bonds Payable

Corporations: Organization, stock Transactions, and Dividends

Statement of Cash Flows

Financial Statement Analysis

Introduction to Managerial Accounting

Job Order Costing

Process Cost Systems

Activity-Based Costing

Cost-Volume-Profit Analysis

Variable Costing for Management Analysis

Budgeting

Evaluating Variances From Standard Costs

Evaluating Decentralized Operations

Differential Analysis and Product Pricing

Capital Investment Analysis

Lean Manufacturing and Activity Analysis

Filters

Listed below are accounts to use for transactions (a)through (d),each identified by a number.Following this list are the transactions.You are to indicate for each transaction the accounts that should be debited and credited by placing the account number(s)in the appropriate box.