Question 1

Reversing entries are made to correct errors in the accounts.

Accepted Answer

A) True 
 B)False

Question 2

Which of the following accounts will have an amount in the Adjustments columns of the work sheet but probably not in the Trial Balance columns?

Accepted Answer

A) Owner's Capital 
B) Revenue from Services 
C) Depreciation Expense-Machinery 
D) Utilities Expense 
A) Owner's Capital 
B) Revenue from Services 
C) Depreciation Expense-Machinery 
D) Utilities Expense

Question 3

The owner's Capital,Withdrawals,and Income Summary accounts for Laurel Repair Company for the accounting period are presented below in T account form after the recording and posting of closing entries:   
-The total amount of revenue earned for the period is

Accepted Answer

A) $900. 
B) $500. 
C) $400. 
D) $200. 
A) $900. 
B) $500. 
C) $400. 
D) $200.

Question 4

The only accounts that are closed are income statement accounts.

Accepted Answer

A) True 
 B)False

Question 5

Below are the adjusted accounts of Carter Harper Co.for the month ended July 31,20x5,listed in alphabetical order:
   Prepare a post-closing trial balance.

Accepted Answer

@#IMG-DLM& *$89,000+ $47,500 n

Question 6

Briefly distinguish between adjusting and closing entries.

Accepted Answer

Adjusting entries update the a

Question 7

Which of the following accounts most likely would have an amount contained in the Income Statement columns of a work sheet but not in Balance Sheet columns of work sheet?

Accepted Answer

A) Office Supplies Expense 
B) Property Taxes Payable 
C) Owner's Capital 
D) Withdrawals 
A) Office Supplies Expense 
B) Property Taxes Payable 
C) Owner's Capital 
D) Withdrawals

Question 8

All of the following items are associated with a purpose of the work sheet except

Accepted Answer

A) Recording adjusting entries. 
B) Preparing financial statements. 
C) Preparing budgets. 
D) Recording closing entries. 
A) Recording adjusting entries. 
B) Preparing financial statements. 
C) Preparing budgets. 
D) Recording closing entries.

Question 9

A reversing entry could include a

Accepted Answer

A) debit to a revenue account. 
B) debit to an expense account. 
C) credit to a revenue account. 
D) debit or a credit to Cash. 
A) debit to a revenue account. 
B) debit to an expense account. 
C) credit to a revenue account. 
D) debit or a credit to Cash.

Question 10

Presented below are the owner's Capital,Withdrawals,and Income Summary accounts for Brookman Medical Supplies for the year ended December 31,20x5.
  In the journal provided,prepare the closing entries that resulted in the T accounts above.Assume that the only revenue is Service Revenue and the only expense is Advertising Expense.Omit explanations.

Accepted Answer

The answer of Presented below are the owner's Capital,Withdrawals,and Income...

Question 11

A reversing entry is acceptable for which of the following?

Accepted Answer

A) Depreciation of building 
B) Allocation of prepaid rent to the current period 
C) Correction of an error 
D) Accrual of interest expense 
A) Depreciation of building 
B) Allocation of prepaid rent to the current period 
C) Correction of an error 
D) Accrual of interest expense

Question 12

In the accounting cycle,closing entries are prepared before adjusting entries.

Accepted Answer

A) True 
 B)False

Question 13

What does the preparation of reversing entries accomplish?

Accepted Answer

Reversing entries enable the b

Question 14

Which of the following could not possibly be a closing entry?

Accepted Answer

A) Debit Income Summary and credit owner's Capital 
B) Debit Income Summary and credit Withdrawals 
C) Debit owner's Capital and credit Withdrawals 
D) Debit owner's Capital and credit Income Summary 
A) Debit Income Summary and credit owner's Capital 
B) Debit Income Summary and credit Withdrawals 
C) Debit owner's Capital and credit Withdrawals 
D) Debit owner's Capital and credit Income Summary

Question 15

Which of the following items is used in preparing the statement of owner's equity?

Accepted Answer

A) Withdrawals. 
B) Net income. 
C) Additional investments. 
D) All of these choices. 
A) Withdrawals. 
B) Net income. 
C) Additional investments. 
D) All of these choices.

Question 16

Use the following adjusted trial balance to answer the question below.   
-The entry to close the Jet Ski Rentals account is

Accepted Answer

A)   
B)   
C)   
D)   
A)   
B)   
C)   
D)

Question 17

Which of the following accounts does not appear in the Balance Sheet columns of a work sheet?

Accepted Answer

A) Withdrawals 
B) Unearned Revenue 
C) Wages Payable 
D) Depreciation Expense-Equipment 
A) Withdrawals 
B) Unearned Revenue 
C) Wages Payable 
D) Depreciation Expense-Equipment

Question 18

Which of the following is a nominal account?

Accepted Answer

A) Interest Payable 
B) Property Taxes Expense 
C) Owner's Capital 
D) Cash 
A) Interest Payable 
B) Property Taxes Expense 
C) Owner's Capital 
D) Cash

Question 19

The purpose of reversing entries is to simplify the bookkeeping process.

Accepted Answer

A) True 
 B)False

Question 20

The amount placed opposite the owner's Capital account in the Balance Sheet columns of the work sheet is the amount to be reflected for owner's Capital on the balance sheet.

Accepted Answer

A) True 
 B)False

Exam 4: Completing the Accounting Cycle

Reversing entries are made to correct errors in the accounts.

Which of the following accounts will have an amount in the Adjustments columns of the work sheet but probably not in the Trial Balance columns?

The owner's Capital,Withdrawals,and Income Summary accounts for Laurel Repair Company for the accounting period are presented below in T account form after the recording and posting of closing entries: -The total amount of revenue earned for the period is

The only accounts that are closed are income statement accounts.

Below are the adjusted accounts of Carter Harper Co.for the month ended July 31,20x5,listed in alphabetical order: Prepare a post-closing trial balance.

Briefly distinguish between adjusting and closing entries.

Which of the following accounts most likely would have an amount contained in the Income Statement columns of a work sheet but not in Balance Sheet columns of work sheet?

All of the following items are associated with a purpose of the work sheet except

A reversing entry could include a

A reversing entry is acceptable for which of the following?

In the accounting cycle,closing entries are prepared before adjusting entries.

What does the preparation of reversing entries accomplish?

Which of the following could not possibly be a closing entry?

Which of the following items is used in preparing the statement of owner's equity?

Use the following adjusted trial balance to answer the question below. -The entry to close the Jet Ski Rentals account is

Which of the following accounts does not appear in the Balance Sheet columns of a work sheet?

Which of the following is a nominal account?

The purpose of reversing entries is to simplify the bookkeeping process.

The amount placed opposite the owner's Capital account in the Balance Sheet columns of the work sheet is the amount to be reflected for owner's Capital on the balance sheet.

Accounting Principles and the Financial Statements

Analyzing and Recording Business Transactions

Adjusting the Accounts

Foundations of Financial Reporting and the Classified Balance Sheet

Accounting for Merchandising Operations

Inventories

Cash and Internal Control

Receivables

Long -Term Assets

Current Liabilities and Fair Value Accounting

Accounting for Partnerships

Accounting for Corporations

Long Term Liabilities

The Statement of Cash Flows

Financial Statement Analysis

Managerial Accounting and Cost Concepts

Costing Systems: Job Order Costing

Costing Systems Process Costing

Value-Based Systems: Activity-Based Costing and Lean Accounting

Cost-Volume-Profit Analysis

The Budgeting Process

Flexible Budgets and Performance Analysis

Standard Costing and Variance Analysis

Short-Run Decision Analysis and Capital Budgeting

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