Question 1

Which of the following situations increase stockholders' equity?

Accepted Answer

A)  ​Supplies are purchased on account. 
B)  ​Services are provided on account. 
C)  ​Cash is received from customers on account. 
D)  ​Utility bill will be paid next month. 
A)  ​Supplies are purchased on account. 
B)  ​Services are provided on account. 
C)  ​Cash is received from customers on account. 
D)  ​Utility bill will be paid next month.

Question 2

On January 1,Merry Walker and other stockholders established a catering service.Listed below are accounts to use for transactions (a)through (f),each identified by a number.Following this list are the transactions that occurred in Walker's 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 3

​The accounts in the ledger of Monroe Entertainment Co.are listed below.All accounts have normal balances. ​
​
  Total assets are

Accepted Answer

A)  ​$10,000 
B)  ​$8,000 
C)  ​$9,700 
D)  ​$9,800 
A)  ​$10,000 
B)  ​$8,000 
C)  ​$9,700 
D)  ​$9,800

Question 4

Which of the following entries records the acquisition of office supplies on account?

Accepted Answer

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

Question 5

Prepare a journal entry for the purchase of a truck on April 4 for $85,700,paying $15,000 cash and the remainder on account.Omit explanation.

Accepted Answer

The answer of Prepare a journal entry for the purchase...

Question 6

A list of the accounts used by a business is called the

Accepted Answer

A)  journal 
B)  chart of accounts 
C)  T chart 
D)  debit listing 
A)  journal 
B)  chart of accounts 
C)  T chart 
D)  debit listing

Question 7

What posting references will be found in the journal entry?

Accepted Answer

A)  15,11 
B)  15,3 
C)  11,3 
D)  3,15 
A)  15,11 
B)  15,3 
C)  11,3 
D)  3,15

Question 8

Journalizing is the process of entering amounts in the ledger.

Accepted Answer

A) True 
 B)False

Question 9

The process of transferring the debits and credits from the journal entries to the accounts is known as posting.

Accepted Answer

A) True 
 B)False

Question 10

All of the following accounts are increased with a debit except

Accepted Answer

A)  Unearned Revenues 
B)  Land 
C)  Accounts Receivable 
D)  Cash 
A)  Unearned Revenues 
B)  Land 
C)  Accounts Receivable 
D)  Cash

Question 11

An account in its simplest form has three parts to it: a title,an increase side,and a decrease side.

Accepted Answer

A) True 
 B)False

Question 12

The ____ is where a transaction can first be found in the accounting records.

Accepted Answer

A)  chart of accounts 
B)  income statement 
C)  balance sheet 
D)  journal 
A)  chart of accounts 
B)  income statement 
C)  balance sheet 
D)  journal

Question 13

Liabilities are increased with debits and decreased with credits.

Accepted Answer

A) True 
 B)False

Question 14

Expenses result from selling services or products to customers.

Accepted Answer

A) True 
 B)False

Question 15

Which are the parts of the T account?

Accepted Answer

A)  title,date,total 
B)  date,debit side,credit side 
C)  title,debit side,credit side 
D)  title,debit side,total 
A)  title,date,total 
B)  date,debit side,credit side 
C)  title,debit side,credit side 
D)  title,debit side,total

Question 16

Which of the following is not a useful step in finding errors on the trial balance?

Accepted Answer

A)  Determine the difference between debits and credits and look for the amount. 
B)  Determine the difference between debits and credits and change any account to make the trial balance correct. 
C)  Determine the difference between debits and credits,divide the amount by 2,and look for the amount. 
D)  Determine the difference between debits and credits,divide the amount by 9,and if it divides evenly,look for a transposition or slide error. 
A)  Determine the difference between debits and credits and look for the amount. 
B)  Determine the difference between debits and credits and change any account to make the trial balance correct. 
C)  Determine the difference between debits and credits,divide the amount by 2,and look for the amount. 
D)  Determine the difference between debits and credits,divide the amount by 9,and if it divides evenly,look for a transposition or slide error.

Question 17

Cash was paid by Janer's Cleaning Service to creditors on account.Which of the following entries for Janer's Cleaning Service records this transaction?

Accepted Answer

A)  Cash,debit; Common Stock,credit 
B)  Accounts Payable,debit; Cash,credit 
C)  Accounts Receivable,debit; Cash,credit 
D)  Accounts Payable,debit; Accounts Receivable,credit 
A)  Cash,debit; Common Stock,credit 
B)  Accounts Payable,debit; Cash,credit 
C)  Accounts Receivable,debit; Cash,credit 
D)  Accounts Payable,debit; Accounts Receivable,credit

Question 18

A transaction that is recorded in the journal is called a journal entry.

Accepted Answer

A) True 
 B)False

Question 19

On January 12,JumpStart Co.purchased $870 in office supplies.
​
(a)Journalize this transaction as if JumpStart paid cash.
​
(b)(1)Journalize this transaction as if JumpStart purchased the supplies on account.
​
(b)(2)On January 18,JumpStart pays the amount due.Journalize this event.

Accepted Answer

The answer of On January 12,JumpStart Co.purchased $870 in office...

Question 20

The stockholders' equity will be reduced by all of the following except

Accepted Answer

A)  revenues 
B)  expenses 
C)  dividends 
D)  all of these 
A)  revenues 
B)  expenses 
C)  dividends 
D)  all of these

Exam 2: Analyzing Transactions

Which of the following situations increase stockholders' equity?

​The accounts in the ledger of Monroe Entertainment Co.are listed below.All accounts have normal balances. ​ ​ Total assets are

Which of the following entries records the acquisition of office supplies on account?

Prepare a journal entry for the purchase of a truck on April 4 for $85,700,paying $15,000 cash and the remainder on account.Omit explanation.

A list of the accounts used by a business is called the

What posting references will be found in the journal entry?

Journalizing is the process of entering amounts in the ledger.

The process of transferring the debits and credits from the journal entries to the accounts is known as posting.

All of the following accounts are increased with a debit except

An account in its simplest form has three parts to it: a title,an increase side,and a decrease side.

The ____ is where a transaction can first be found in the accounting records.

Liabilities are increased with debits and decreased with credits.

Expenses result from selling services or products to customers.

Which are the parts of the T account?

Which of the following is not a useful step in finding errors on the trial balance?

Cash was paid by Janer's Cleaning Service to creditors on account.Which of the following entries for Janer's Cleaning Service records this transaction?

A transaction that is recorded in the journal is called a journal entry.

On January 12,JumpStart Co.purchased $870 in office supplies. ​ (a)Journalize this transaction as if JumpStart paid cash. ​ (b)(1)Journalize this transaction as if JumpStart purchased the supplies on account. ​ (b)(2)On January 18,JumpStart pays the amount due.Journalize this event.

The stockholders' equity will be reduced by all of the following except

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

The accounts in the ledger of Monroe Entertainment Co.are listed below.All accounts have normal balances. Total assets are

On January 12,JumpStart Co.purchased $870 in office supplies. (a)Journalize this transaction as if JumpStart paid cash. (b)(1)Journalize this transaction as if JumpStart purchased the supplies on account. (b)(2)On January 18,JumpStart pays the amount due.Journalize this event.