Question 1

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 2

Normal balances are the side that increase the account balance.

Accepted Answer

A) True 
 B)False

Question 3

Which of the following entries records the investment of cash by Ron York, owner of a proprietorship?

Accepted Answer

A)  debit Ron York, Capital; credit Accounts Receivable 
B)  debit Cash; credit Ron York, Capital 
C)  debit Ron York, Drawing; credit Cash 
D)  debit Cash; credit Ron York, Drawing 
A)  debit Ron York, Capital; credit Accounts Receivable 
B)  debit Cash; credit Ron York, Capital 
C)  debit Ron York, Drawing; credit Cash 
D)  debit Cash; credit Ron York, Drawing

Question 4

The process of transferring the journal entries to the accounts is known as

Accepted Answer

A)  posting 
B)  updating 
C)  journalizing 
D)  summarizing 
A)  posting 
B)  updating 
C)  journalizing 
D)  summarizing

Question 5

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

Accepted Answer

A)  Cash, debit; Ari Fleish, Capital, credit 
B)  Accounts Payable, debit; Cash, credit 
C)  Accounts Receivable, debit; Cash, credit 
D)  Accounts Payable, debit; Account Receivable, credit 
A)  Cash, debit; Ari Fleish, Capital, credit 
B)  Accounts Payable, debit; Cash, credit 
C)  Accounts Receivable, debit; Cash, credit 
D)  Accounts Payable, debit; Account Receivable, credit

Question 6

Of the following which istrue about assets?

Accepted Answer

A)  Assets include physical and intangible assets. 
B)  Assets include only physical assets. 
C)  Assets are owned solely by the owner of the company. 
D)  Assets are the result of selling products or services to customers. 
A)  Assets include physical and intangible assets. 
B)  Assets include only physical assets. 
C)  Assets are owned solely by the owner of the company. 
D)  Assets are the result of selling products or services to customers.

Question 7

The classification and normal balance of the drawing account is

Accepted Answer

A)  an expense with a credit balance 
B)  an expense with a debit balance 
C)  a liability with a credit balance 
D)  owner's equity with a debit balance 
A)  an expense with a credit balance 
B)  an expense with a debit balance 
C)  a liability with a credit balance 
D)  owner's equity with a debit balance

Question 8

The posting process will include the transfer of the following information from the journal to the account.

Accepted Answer

A)  date, amount (debit or credit) 
B)  date, amount (debit or credit), journal page number 
C)  amount (debit or credit), account number 
D)  date, amount (debit or credit) account number 
A)  date, amount (debit or credit) 
B)  date, amount (debit or credit), journal page number 
C)  amount (debit or credit), account number 
D)  date, amount (debit or credit) account number

Question 9

Which of the following entries records the payment of rent for the current month?

Accepted Answer

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

Question 10

Several transactions are listed below, with the accounting equation stated to the right side of each. Use the following identification codes to indicate the effects of each transaction on the accounting equation. Write your answers in the space provided under the accounting equation. You need an identification code for each element of the accounting equation. An example is given before the first transaction.

Accepted Answer

@#IMG-DLM&_TB2085_00

Question 11

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 12

Which of the following accounts is an owner's equity account?

Accepted Answer

A)  Cash 
B)  Accounts Payable 
C)  Prepaid Insurance 
D)  Ross Morris, Capital 
A)  Cash 
B)  Accounts Payable 
C)  Prepaid Insurance 
D)  Ross Morris, Capital

Question 13

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.

Accepted Answer

@#IMG-DLM&_TB2085_00

Question 14

The process of recording a transaction in the journal is called journalizing.

Accepted Answer

A) True 
 B)False

Question 15

A debit balance in which of the following accounts would indicate a likely error?

Accepted Answer

A)  Salaries Expense 
B)  Notes Payable 
C)  Edgar Martin, Drawing 
D)  Supplies 
A)  Salaries Expense 
B)  Notes Payable 
C)  Edgar Martin, Drawing 
D)  Supplies

Question 16

Prepare a trial balance, listing the following accounts in proper sequence. The accounts (all normal balances) were taken from the ledger of Sophie Designs Co. on April 30, 2014.

Accepted Answer

@#IMG-DLM&_TB2085_00

Question 17

Calculate the following:

Accepted Answer

@#IMG-DLM&_TB2085_00

Question 18

A trial balance determines the accuracy of the numbers.

Accepted Answer

A) True 
 B)False

Question 19

On October 30th Damien Lawson withdraws $3,330 from JumpStart for personal use. Journalize this event.

Accepted Answer

@#IMG-DLM&_TB2085_00

Question 20

A group of related accounts that make up a complete unit is called a trial balance.

Accepted Answer

A) True 
 B)False

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

Normal balances are the side that increase the account balance.

Which of the following entries records the investment of cash by Ron York, owner of a proprietorship?

The process of transferring the journal entries to the accounts is known as

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

Of the following which istrue about assets?

The classification and normal balance of the drawing account is

The posting process will include the transfer of the following information from the journal to the account.

Which of the following entries records the payment of rent for the current month?

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

Which of the following accounts is an owner's equity 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.

The process of recording a transaction in the journal is called journalizing.

A debit balance in which of the following accounts would indicate a likely error?

Prepare a trial balance, listing the following accounts in proper sequence. The accounts (all normal balances) were taken from the ledger of Sophie Designs Co. on April 30, 2014.

Calculate the following:

A trial balance determines the accuracy of the numbers.

On October 30th Damien Lawson withdraws $3,330 from JumpStart for personal use. Journalize this event.

A group of related accounts that make up a complete unit is called a trial balance.

Introduction to Accounting and Business

The Adjusting Process

Completing the Accounting Cycle

Accounting Systems

Accounting for Merchandising Businesses

Inventories

Sarbanes-Oxley, Internal Control, and Cash

Receivables

Fixed Assets and Intangible Assets

Current Liabilities and Payroll

Accounting for Partnerships and Limited Liability Companies

Corporations: Organization, Stock Transactions, and Dividends

Long-Term Liabilities: Bonds and Notes

Investments and Fair Value Accounting

Statement of Cash Flows

Financial Statement Analysis

Filters

Exam 2: Analyzing Transactions

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

Normal balances are the side that increase the account balance.

Which of the following entries records the investment of cash by Ron York, owner of a proprietorship?

The process of transferring the journal entries to the accounts is known as

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

Of the following which istrue about assets?

The classification and normal balance of the drawing account is

The posting process will include the transfer of the following information from the journal to the account.

Which of the following entries records the payment of rent for the current month?

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

Which of the following accounts is an owner's equity 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.

The process of recording a transaction in the journal is called journalizing.

A debit balance in which of the following accounts would indicate a likely error?

Prepare a trial balance, listing the following accounts in proper sequence. The accounts (all normal balances) were taken from the ledger of Sophie Designs Co. on April 30, 2014.

Calculate the following:

A trial balance determines the accuracy of the numbers.

On October 30th Damien Lawson withdraws $3,330 from JumpStart for personal use. Journalize this event.

A group of related accounts that make up a complete unit is called a trial balance.

Introduction to Accounting and Business

The Adjusting Process

Completing the Accounting Cycle

Accounting Systems

Accounting for Merchandising Businesses

Inventories

Sarbanes-Oxley, Internal Control, and Cash

Receivables

Fixed Assets and Intangible Assets

Current Liabilities and Payroll

Accounting for Partnerships and Limited Liability Companies

Corporations: Organization, Stock Transactions, and Dividends

Long-Term Liabilities: Bonds and Notes

Investments and Fair Value Accounting

Statement of Cash Flows

Financial Statement Analysis

Filters