Question 1

Which of the following errors would cause the trial balance totals to be unequal?

Accepted Answer

A)  A transaction was not posted. 
B)  A payment of $67 for insurance was posted as a debit of $42 to Prepaid Insurance and a credit of $42 to Cash. 
C)  A payment of $1,311 to a creditor was posted as a debit of $3,111 to Accounts Payable and a debit of $311 to Accounts Receivable. 
D)  Cash received from customers on account was posted as a debit of $680 to Cash and a credit of $680 to Accounts Payable. 
A)  A transaction was not posted. 
B)  A payment of $67 for insurance was posted as a debit of $42 to Prepaid Insurance and a credit of $42 to Cash. 
C)  A payment of $1,311 to a creditor was posted as a debit of $3,111 to Accounts Payable and a debit of $311 to Accounts Receivable. 
D)  Cash received from customers on account was posted as a debit of $680 to Cash and a credit of $680 to Accounts Payable.

Question 2

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

Accepted Answer

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

Question 3

Which of the following entries records the collection of cash from cash customers?

Accepted Answer

A)  Fees Earned, debit; Cash, credit 
B)  Fees Earned, debit; Accounts Receivable, credit 
C)  Cash, debit; Fees Earned, credit 
D)  Accounts Receivable, debit; Fees Earned, credit 
A)  Fees Earned, debit; Cash, credit 
B)  Fees Earned, debit; Accounts Receivable, credit 
C)  Cash, debit; Fees Earned, credit 
D)  Accounts Receivable, debit; Fees Earned, credit

Question 4

Randomly listed below are the steps for preparing a trial balance:   What is the proper order of these steps?

Accepted Answer

A)  (3), (2), (4), (1) 
B)  (2), (3), (4), (1) 
C)  (3), (2), (1), (4) 
D)  (4), (3), (2), (1) 
A)  (3), (2), (4), (1) 
B)  (2), (3), (4), (1) 
C)  (3), (2), (1), (4) 
D)  (4), (3), (2), (1)

Question 5

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 6

When an accounts payable account is paid in cash, company expenses increase.

Accepted Answer

A) True 
 B)False

Question 7

Supplies purchased on account were incorrectly recorded as Office Equipment. The correcting entry would be

Accepted Answer

A)  Supplies, debit; Office Equipment, credit. 
B)  Accounts Receivable, debit; Supplies, credit. 
C)  Office Equipment, debit; Supplies Expense, credit. 
D)  Supplies, debit; Accounts Payable, credit. 
A)  Supplies, debit; Office Equipment, credit. 
B)  Accounts Receivable, debit; Supplies, credit. 
C)  Office Equipment, debit; Supplies Expense, credit. 
D)  Supplies, debit; Accounts Payable, credit.

Question 8

The right hand side of a T account is known as a debit and the left hand side is known as a credit.

Accepted Answer

A) True 
 B)False

Question 9

What effect does this journal entry have on the accounts?

Accepted Answer

A)  Increase to Cash and increase to Land 
B)  Increase to Land and decrease to Cash 
C)  Decrease to Cash and decrease to Land 
D)  Increase to Cash and decrease to Land 
A)  Increase to Cash and increase to Land 
B)  Increase to Land and decrease to Cash 
C)  Decrease to Cash and decrease to Land 
D)  Increase to Cash and decrease to Land

Question 10

Liabilities are debts owed by the business entity.

Accepted Answer

A) True 
 B)False

Question 11

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

Accepted Answer

A)  Salaries Expense 
B)  Notes Payable 
C)  Dividends 
D)  Supplies 
A)  Salaries Expense 
B)  Notes Payable 
C)  Dividends 
D)  Supplies

Question 12

McMann Company has condensed income statements as follows:
   REQUIRED:
Prepare a horizontal analysis of McMann Company's income statements. Comment on the trends, both favorable and unfavorable.

Accepted Answer

@#IMG-DLM& While the trend in sales reve

Question 13

Organize the following accounts into the usual sequence of a chart of accounts.
Miscellaneous Expense
Accounts Payable
Retained Earnings
Accounts Receivable
Cash
Capital Stock
Fees Earned
Prepaid Rent
Salaries Expense
Unearned Revenue
Dividends

Accepted Answer

Cash
Accounts Receivable
Prepa

Question 14

Which of the following entries records the receipt of cash from patients on account?

Accepted Answer

A)  Accounts Payable, debit; Fees Earned, credit 
B)  Accounts Receivable, debit; Fees Earned, credit 
C)  Accounts Receivable, debit; Cash, credit 
D)  Cash, debit; Accounts Receivable, credit 
A)  Accounts Payable, debit; Fees Earned, credit 
B)  Accounts Receivable, debit; Fees Earned, credit 
C)  Accounts Receivable, debit; Cash, credit 
D)  Cash, debit; Accounts Receivable, credit

Question 15

What effect does this journal entry have on the accounts?

Accepted Answer

A)  Decrease accounts payable, increase cash 
B)  Increase cash, decrease accounts payable 
C)  Increase accounts payable, increase cash 
D)  Decrease accounts payable, decrease cash 
A)  Decrease accounts payable, increase cash 
B)  Increase cash, decrease accounts payable 
C)  Increase accounts payable, increase cash 
D)  Decrease accounts payable, decrease cash

Question 16

A list of the accounts is called

Accepted Answer

A)  ledger 
B)  chart of accounts 
C)  T account 
D)  debit 
A)  ledger 
B)  chart of accounts 
C)  T account 
D)  debit

Question 17

Accepted Answer

The answer of    ...

Question 18

The classification and normal balance of the accounts payable account is

Accepted Answer

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

Question 19

On January 1, 2010, Cary Parsons established a catering service. Listed below are accounts she would like to open in the general ledger. List the accounts in the order in which they should appear in the ledger and propose a two-digit account numbering scheme that is consistent with the rules of a proper chart of accounts.

Accepted Answer

11 Cash
12 Accounts Receivable
13 Suppli

Question 20

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

Accepted Answer

A) True 
 B)False

Which of the following errors would cause the trial balance totals to be unequal?

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

Which of the following entries records the collection of cash from cash customers?

Randomly listed below are the steps for preparing a trial balance: What is the proper order of these steps?

Expenses can result from

When an accounts payable account is paid in cash, company expenses increase.

Supplies purchased on account were incorrectly recorded as Office Equipment. The correcting entry would be

The right hand side of a T account is known as a debit and the left hand side is known as a credit.

What effect does this journal entry have on the accounts?

Liabilities are debts owed by the business entity.

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

McMann Company has condensed income statements as follows: REQUIRED: Prepare a horizontal analysis of McMann Company's income statements. Comment on the trends, both favorable and unfavorable.

Organize the following accounts into the usual sequence of a chart of accounts. Miscellaneous Expense Accounts Payable Retained Earnings Accounts Receivable Cash Capital Stock Fees Earned Prepaid Rent Salaries Expense Unearned Revenue Dividends

Which of the following entries records the receipt of cash from patients on account?

What effect does this journal entry have on the accounts?

A list of the accounts is called

The classification and normal balance of the accounts payable account is

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

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

Filters

Exam 2: Analyzing Transactions

Which of the following errors would cause the trial balance totals to be unequal?

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

Which of the following entries records the collection of cash from cash customers?

Randomly listed below are the steps for preparing a trial balance: What is the proper order of these steps?

Expenses can result from

When an accounts payable account is paid in cash, company expenses increase.

Supplies purchased on account were incorrectly recorded as Office Equipment. The correcting entry would be

The right hand side of a T account is known as a debit and the left hand side is known as a credit.

What effect does this journal entry have on the accounts?

Liabilities are debts owed by the business entity.

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

McMann Company has condensed income statements as follows: REQUIRED: Prepare a horizontal analysis of McMann Company's income statements. Comment on the trends, both favorable and unfavorable.

Organize the following accounts into the usual sequence of a chart of accounts. Miscellaneous Expense Accounts Payable Retained Earnings Accounts Receivable Cash Capital Stock Fees Earned Prepaid Rent Salaries Expense Unearned Revenue Dividends

Which of the following entries records the receipt of cash from patients on account?

What effect does this journal entry have on the accounts?

A list of the accounts is called

The classification and normal balance of the accounts payable account is

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

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

Filters