Question 1

Brownstone Company has a current ratio of 4.00.This indicates that the company has $4 in ________.

Accepted Answer

A) current liabilities for every $1 of current assets 
B) total assets for every $1 of current liabilities 
C) current assets for every $1 of current liabilities 
D) total assets for every $1 of current assets 
A) current liabilities for every $1 of current assets 
B) total assets for every $1 of current liabilities 
C) current assets for every $1 of current liabilities 
D) total assets for every $1 of current assets

Question 2

Only temporary accounts appear on the post-closing trial balance.

Accepted Answer

A) True 
 B)False

Question 3

Which of the following entries is necessary to close the appropriate depreciation account at the end of the year?

Accepted Answer

A) debit Accumulated Depreciation and credit Income Summary 
B) debit Depreciation Expense and credit Income Summary 
C) debit Income Summary and credit Accumulated Depreciation 
D) debit Income Summary and credit Depreciation Expense 
A) debit Accumulated Depreciation and credit Income Summary 
B) debit Depreciation Expense and credit Income Summary 
C) debit Income Summary and credit Accumulated Depreciation 
D) debit Income Summary and credit Depreciation Expense

Question 4

Which of the following accounts would appear in the income statement debit column of the worksheet?

Accepted Answer

A) Unearned Revenue 
B) Service Revenue 
C) Depreciation Expense 
D) Prepaid Insurance 
A) Unearned Revenue 
B) Service Revenue 
C) Depreciation Expense 
D) Prepaid Insurance

Question 5

Which of the following account's balance is carried forward to the next accounting period?

Accepted Answer

A) Accumulated Depreciation 
B) Depreciation Expense 
C) Owner,Withdrawals 
D) Service Revenue 
A) Accumulated Depreciation 
B) Depreciation Expense 
C) Owner,Withdrawals 
D) Service Revenue

Question 6

The smaller the current ratio,the higher the firm's ability to repay its current debts.

Accepted Answer

A) True 
 B)False

Question 7

The formula for computing the current ratio is ________.

Accepted Answer

A) Current ratio = Total Current assets / Total assets 
B) Current ratio = Total Current assets / Total liabilities 
C) Current ratio = Total Current assets / Total Owner's Equity 
D) Current ratio = Total Current assets / Total Current liabilities 
A) Current ratio = Total Current assets / Total assets 
B) Current ratio = Total Current assets / Total liabilities 
C) Current ratio = Total Current assets / Total Owner's Equity 
D) Current ratio = Total Current assets / Total Current liabilities

Question 8

The worksheet helps accountants to ________.

Accepted Answer

A) prepare the trial balance 
B) prepare the financial statements 
C) prepare the unadjusted trial balance 
D) maintain books of accounts without a journal 
A) prepare the trial balance 
B) prepare the financial statements 
C) prepare the unadjusted trial balance 
D) maintain books of accounts without a journal

Question 9

Which of the following are NOT included in a post-closing trial balance?

Accepted Answer

A) Assets and liabilities 
B) Owner,Capital and assets 
C) Owner,Capital and liabilities 
D) Revenues and expenses 
A) Assets and liabilities 
B) Owner,Capital and assets 
C) Owner,Capital and liabilities 
D) Revenues and expenses

Question 10

When a business uses a computerized accounting system,the closing entries must be manually recorded.

Accepted Answer

A) True 
 B)False

Question 11

Assets and liabilities are presented in a different order on a balance sheet prepared following IFRS than on a balance sheet prepared following U.S.GAAP.

Accepted Answer

A) True 
 B)False

Question 12

The Gonzalez,Capital account is a temporary account.

Accepted Answer

A) True 
 B)False

Question 13

Asset and liability accounts may be closed to the Income Summary account.

Accepted Answer

A) True 
 B)False

Question 14

The beginning balance in the Woodlands,Capital account of Woodlands Technologies Company was $74,000.The revenues and expenses amounted to $55,000 and $37,000,respectively.During the year,the owner did not make withdrawals or capital contributions.The Woodlands,Capital account will have $129,000 at the end of the year.

Accepted Answer

A) True 
 B)False

Question 15

The following is the adjusted trial balance as of December 31,2019 of Barone Brothers Company:
   Prepare the closing entry for expenses.Omit explanation.

Accepted Answer

The answer of The following is the adjusted trial balance...

Question 16

Which of the following is TRUE of a completed worksheet?

Accepted Answer

A) The total debits in the unadjusted trial balance column equal the total debits in the adjusted trial balance column. 
B) The total debits in the income statement column equal the total credits in the balance sheet column. 
C) The total debits in the income statement column equal the total debits in the balance sheet column. 
D) The total of all the debit columns is equal to the total of all the credit columns. 
A) The total debits in the unadjusted trial balance column equal the total debits in the adjusted trial balance column. 
B) The total debits in the income statement column equal the total credits in the balance sheet column. 
C) The total debits in the income statement column equal the total debits in the balance sheet column. 
D) The total of all the debit columns is equal to the total of all the credit columns.

Question 17

Which of the following are temporary accounts that are closed at the end of the year?

Accepted Answer

A) assets,liabilities,and Owner,Withdrawals 
B) revenues,expenses,and Owner,Withdrawals 
C) assets,liabilities,and owner's equity 
D) revenues,expenses,and owner's equity 
A) assets,liabilities,and Owner,Withdrawals 
B) revenues,expenses,and Owner,Withdrawals 
C) assets,liabilities,and owner's equity 
D) revenues,expenses,and owner's equity

Question 18

List the steps of the accounting cycle that take place at the end of the period.

Accepted Answer

The answer of List the steps of the accounting cycle...

Question 19

Which of the following should not be considered when comparing the Adjusted Trial Balance to the Post-Closing Trial Balance to ensure that no errors were made in the closing process?

Accepted Answer

A) Account balances above Owner,Capital are the same on the Adjusted Trial Balance and the Post-Closing Trial Balance. 
B) The account balances on each of the trial balances are the same. 
C) Account balances below Owner,Capital are zero on the Post-Closing Trial Balance but not the Adjusted Trial Balance. 
D) The Owner,Capital account balance on the post-closing trial balance matches the Owner,Capital account balance on the balance sheet. 
A) Account balances above Owner,Capital are the same on the Adjusted Trial Balance and the Post-Closing Trial Balance. 
B) The account balances on each of the trial balances are the same. 
C) Account balances below Owner,Capital are zero on the Post-Closing Trial Balance but not the Adjusted Trial Balance. 
D) The Owner,Capital account balance on the post-closing trial balance matches the Owner,Capital account balance on the balance sheet.

Question 20

In a balance sheet,prepared under IFRS guidelines,cash is often shown as one of the last assets listed.

Accepted Answer

A) True 
 B)False

Brownstone Company has a current ratio of 4.00.This indicates that the company has $4 in ________.

Only temporary accounts appear on the post-closing trial balance.

Which of the following entries is necessary to close the appropriate depreciation account at the end of the year?

Which of the following accounts would appear in the income statement debit column of the worksheet?

Which of the following account's balance is carried forward to the next accounting period?

The smaller the current ratio,the higher the firm's ability to repay its current debts.

The formula for computing the current ratio is ________.

The worksheet helps accountants to ________.

Which of the following are NOT included in a post-closing trial balance?

When a business uses a computerized accounting system,the closing entries must be manually recorded.

Assets and liabilities are presented in a different order on a balance sheet prepared following IFRS than on a balance sheet prepared following U.S.GAAP.

The Gonzalez,Capital account is a temporary account.

Asset and liability accounts may be closed to the Income Summary account.

The following is the adjusted trial balance as of December 31,2019 of Barone Brothers Company: Prepare the closing entry for expenses.Omit explanation.

Which of the following is TRUE of a completed worksheet?

Which of the following are temporary accounts that are closed at the end of the year?

List the steps of the accounting cycle that take place at the end of the period.

Which of the following should not be considered when comparing the Adjusted Trial Balance to the Post-Closing Trial Balance to ensure that no errors were made in the closing process?

In a balance sheet,prepared under IFRS guidelines,cash is often shown as one of the last assets listed.

Accounting and the Business Environment

Recording Business Transactions

The Adjusting Process

Merchandising Operations

Merchandise Inventory

Accounting Information Systems

Internal Control and Cash

Receivables

Plant Assets, natural Resources, and Intangibles

Current Liabilities and Payroll

Partnerships

Corporations

Long-Term Liabilities

Investments

The Statement of Cash Flows

Financial Statement Analysis

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Exam 4: Completing the Accounting Cycle

Brownstone Company has a current ratio of 4.00.This indicates that the company has $4 in ________.

Only temporary accounts appear on the post-closing trial balance.

Which of the following entries is necessary to close the appropriate depreciation account at the end of the year?

Which of the following accounts would appear in the income statement debit column of the worksheet?

Which of the following account's balance is carried forward to the next accounting period?

The smaller the current ratio,the higher the firm's ability to repay its current debts.

The formula for computing the current ratio is ________.

The worksheet helps accountants to ________.

Which of the following are NOT included in a post-closing trial balance?

When a business uses a computerized accounting system,the closing entries must be manually recorded.

Assets and liabilities are presented in a different order on a balance sheet prepared following IFRS than on a balance sheet prepared following U.S.GAAP.

The Gonzalez,Capital account is a temporary account.

Asset and liability accounts may be closed to the Income Summary account.

The following is the adjusted trial balance as of December 31,2019 of Barone Brothers Company: Prepare the closing entry for expenses.Omit explanation.

Which of the following is TRUE of a completed worksheet?

Which of the following are temporary accounts that are closed at the end of the year?

List the steps of the accounting cycle that take place at the end of the period.

Which of the following should not be considered when comparing the Adjusted Trial Balance to the Post-Closing Trial Balance to ensure that no errors were made in the closing process?

In a balance sheet,prepared under IFRS guidelines,cash is often shown as one of the last assets listed.

Accounting and the Business Environment

Recording Business Transactions

The Adjusting Process

Merchandising Operations

Merchandise Inventory

Accounting Information Systems

Internal Control and Cash

Receivables

Plant Assets, natural Resources, and Intangibles

Current Liabilities and Payroll

Partnerships

Corporations

Long-Term Liabilities

Investments

The Statement of Cash Flows

Financial Statement Analysis

Filters