Question 1

The normal balance of revenue accounts is a credit.

Accepted Answer

A) True 
 B)False

Question 2

Which of the following types of accounts have a normal credit balance?

Accepted Answer

A) assets and liabilities 
B) liabilities and expenses 
C) revenues and liabilities 
D) capital stock and dividends 
A) assets and liabilities 
B) liabilities and expenses 
C) revenues and liabilities 
D) capital stock and dividends

Question 3

Net income will result when

Accepted Answer

A) revenues (credits)> expenses (debits) 
B) revenues (credits) revenues (credits) 
A) revenues (credits)> expenses (debits) 
B) revenues (credits) revenues (credits)

Question 4

Record the following selected transactions for April in a two-column journal,identifying each entry by letter:

Accepted Answer

The answer of Record the following selected transactions for April...

Question 5

The cash account will always be debited

Accepted Answer

A) True 
 B)False

Question 6

When a company issues new shares of stock,the capital stock account increases due to revenue being earned.

Accepted Answer

A) True 
 B)False

Question 7

Which of the following entries records the receipt of a utility bill from the water company?

Accepted Answer

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

Question 8

What is the best explanation for this journal entry?

Accepted Answer

A) Purchased supplies with cash. 
B) Returned supplies previously purchased. 
C) Purchased supplies on account. 
D) Paid accounts payable. 
A) Purchased supplies with cash. 
B) Returned supplies previously purchased. 
C) Purchased supplies on account. 
D) Paid accounts payable.

Question 9

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;Retained Earnings,credit 
B) Accounts Payable,debit;Cash,credit 
C) Accounts Receivable,debit;Cash,credit 
D) Accounts Payable,debit;Account Receivable,credit 
A) Cash,debit;Retained Earnings,credit 
B) Accounts Payable,debit;Cash,credit 
C) Accounts Receivable,debit;Cash,credit 
D) Accounts Payable,debit;Account Receivable,credit

Question 10

Which of the following entries records the receipt of cash for two months' rent? The cash was received in advance of providing the service.

Accepted Answer

A) Prepaid Rent,debit;Rent Revenue,credit. 
B) Cash,debit;Unearned Rent,credit. 
C) Cash,debit;Prepaid Rent,credit. 
D) Cash,debit;Rent Expense credit. 
A) Prepaid Rent,debit;Rent Revenue,credit. 
B) Cash,debit;Unearned Rent,credit. 
C) Cash,debit;Prepaid Rent,credit. 
D) Cash,debit;Rent Expense credit.

Question 11

Which is the best explanation for this journal entry?

Accepted Answer

A) Purchased equipment,paid cash of $5,000,with the remainder to be paid in the future. 
B) Purchased equipment,paid cash of $10,000,with the remainder to be received in the future. 
C) Purchased equipment,paid cash for the entire amount. 
D) Purchased equipment on credit. 
A) Purchased equipment,paid cash of $5,000,with the remainder to be paid in the future. 
B) Purchased equipment,paid cash of $10,000,with the remainder to be received in the future. 
C) Purchased equipment,paid cash for the entire amount. 
D) Purchased equipment on credit.

Question 12

Which of the following describes the classification and normal balance of the fees earned account?

Accepted Answer

A) an asset with a credit balance 
B) a liability with a credit balance 
C) an expense with a debit balance 
D) a revenue with a credit balance 
A) an asset with a credit balance 
B) a liability with a credit balance 
C) an expense with a debit balance 
D) a revenue with a credit balance

Question 13

Expenses can result from

Accepted Answer

A) paying dividends 
B) consuming services 
C) using up liabilities 
D) all of these 
A) paying dividends 
B) consuming services 
C) using up liabilities 
D) all of these

Question 14

The erroneous moving of an entire number one or more spaces to the right or left,such as writing $85 as $850,is called a transposition.

Accepted Answer

A) True 
 B)False

Question 15

The balance of the account is determined by

Accepted Answer

A) adding all of the debits to all of the credits. 
B) always subtracting the debits from the credits. 
C) always subtracting the credits from the debits. 
D) adding all of the debits,adding all of the credits,and then subtracting the smaller sum from the larger sum. 
A) adding all of the debits to all of the credits. 
B) always subtracting the debits from the credits. 
C) always subtracting the credits from the debits. 
D) adding all of the debits,adding all of the credits,and then subtracting the smaller sum from the larger sum.

Question 16

The purchase of supplies on account was recorded and posted as a debit to Supplies for $500 and a credit to Accounts Receivable for $500.The correcting entry would include a:

Accepted Answer

A) credit to Accounts Receivable for $500 
B) credit to Accounts Receivable for $1,000 
C) credit to Accounts Payable for $500 
D) credit to Accounts Payable for $1,000 
A) credit to Accounts Receivable for $500 
B) credit to Accounts Receivable for $1,000 
C) credit to Accounts Payable for $500 
D) credit to Accounts Payable for $1,000

Question 17

Accounts are records of increases and decreases in individual financial statement items.

Accepted Answer

A) True 
 B)False

Question 18

Calculate the following:

Accepted Answer

The answer of Calculate the following:
  ...

Question 19

Journalizing is the process of entering amounts in the ledger.

Accepted Answer

A) True 
 B)False

Question 20

A cash payment is recorded on the cash account as a

Accepted Answer

A) neither a debit or a credit 
B) credit 
C) debit 
D) both a debit and a credit 
A) neither a debit or a credit 
B) credit 
C) debit 
D) both a debit and a credit

The normal balance of revenue accounts is a credit.

Which of the following types of accounts have a normal credit balance?

Net income will result when

Record the following selected transactions for April in a two-column journal,identifying each entry by letter:

The cash account will always be debited

When a company issues new shares of stock,the capital stock account increases due to revenue being earned.

Which of the following entries records the receipt of a utility bill from the water company?

What is the best explanation for this journal entry?

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?

Which of the following entries records the receipt of cash for two months' rent? The cash was received in advance of providing the service.

Which is the best explanation for this journal entry?

Which of the following describes the classification and normal balance of the fees earned account?

Expenses can result from

The erroneous moving of an entire number one or more spaces to the right or left,such as writing $85 as $850,is called a transposition.

The balance of the account is determined by

The purchase of supplies on account was recorded and posted as a debit to Supplies for $500 and a credit to Accounts Receivable for $500.The correcting entry would include a:

Accounts are records of increases and decreases in individual financial statement items.

Calculate the following:

Journalizing is the process of entering amounts in the ledger.

A cash payment is recorded on the cash account as a

Introduction to Accounting and Business

The Adjusting Process

Completing the Accounting Cycle

Accounting for Merchandising Businesses

Inventories

Sarbanes-Oxley, internal Control, and Cash

Receivables

Fixed Assets and Intangible Assets

Current Liabilities and Payroll

Corporations: Organization, stock Transactions, and Dividends

Long-Term Liabilities: Bonds and Notes

Investments and Fair Value Accounting

Statement of Cash Flows

Financial Statement Analysis

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Exam 2: Analyzing Transactions

The normal balance of revenue accounts is a credit.

Which of the following types of accounts have a normal credit balance?

Net income will result when

Record the following selected transactions for April in a two-column journal,identifying each entry by letter:

The cash account will always be debited

When a company issues new shares of stock,the capital stock account increases due to revenue being earned.

Which of the following entries records the receipt of a utility bill from the water company?

What is the best explanation for this journal entry?

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?

Which of the following entries records the receipt of cash for two months' rent? The cash was received in advance of providing the service.

Which is the best explanation for this journal entry?

Which of the following describes the classification and normal balance of the fees earned account?

Expenses can result from

The erroneous moving of an entire number one or more spaces to the right or left,such as writing $85 as $850,is called a transposition.

The balance of the account is determined by

The purchase of supplies on account was recorded and posted as a debit to Supplies for $500 and a credit to Accounts Receivable for $500.The correcting entry would include a:

Accounts are records of increases and decreases in individual financial statement items.

Calculate the following:

Journalizing is the process of entering amounts in the ledger.

A cash payment is recorded on the cash account as a

Introduction to Accounting and Business

The Adjusting Process

Completing the Accounting Cycle

Accounting for Merchandising Businesses

Inventories

Sarbanes-Oxley, internal Control, and Cash

Receivables

Fixed Assets and Intangible Assets

Current Liabilities and Payroll

Corporations: Organization, stock Transactions, and Dividends

Long-Term Liabilities: Bonds and Notes

Investments and Fair Value Accounting

Statement of Cash Flows

Financial Statement Analysis

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