Exam 3: Processing Accounting Information

The acquisition of a computer for $1,200,with a downpayment of $200 cash and the signing of a $1,000 note payable for the balance increases both assets and ____________________.

Parachute Country Club Use the selected accounts for Parachute Country Club presented below to answer the following question(s). Read the information about Parachute Country Club. Which of the following describes the transaction which occurred on August 7?

Dora's Flower Shop began business as a corporation in 2013.Several transactions which occurred early in 2013 are described below.Record each transaction in proper form,excluding written explanations,in the general journal provided.

Four journal entries are presented below.Write an explanation for each entry in the space provided below the entry.

If the business has an _________ from a customer,then the customer has an ________ to the business.

Blecker Corp.made cash sales to customers.What effect does this transaction have on the accounting equation?

Briefly explain what accountants mean when they refer to the double-entry system of accounting.

An abbreviated version of an account which is useful for analyzing the effects of business transactions is the

A T account for Cash cannot contain any credits.

Debit entries are used to

Oreon Services was organized on May 1,2014.The company received a contribution of $2,000 from each of the two principal owners.During the month,Oreon Services provided services for cash of $1,400 and services on account for $600,received $350 from customers in payment of their accounts,purchased supplies on account for $800 and equipment on account for $1,050,received a utility bill for $150 that will not be paid until June,and paid the full amount due on the equipment. REQUIRED: Show your work to determine the company's Cash balance on May 31,2014.

Presented below are several accounts from the financial statements of James,Inc.for the year ended December 31,2013: Each of these accounts has been assigned an identification number which you will use as answers for the transactions described below.Enter the account number(s)in the blank spaces under the headings DEBIT and CREDIT to indicate the accounts debited and credited when each transaction is recorded in a general journal.

Several accounts from the financial statements of Robot Technologies are listed below.In the two columns provided for answers,indicate the type of account and the normal account balance.Use the following identification codes for your answers:

The Holmes Company purchased a building for $75,000 in cash.What is the effect on current assets?

Which of the following events (transactions)is an internal event for a business entity?

Explain the purpose of a trial balance and the limitation of the trial balance.

The totals of each side of a T account are called ____________________.

Which of the following transactions affects the liabilities for Gravette,Inc.?

The issuance of common stock increases both ____________________ and stockholders' equity.

Which of the following will not cause a trial balance to be out of balance?