Question 1

A Sales Journal is used to record sales of merchandise on credit.

Accepted Answer

A) True 
 B)False  True

Question 2

The following transactions were completed by Augsburg Company during the month of May.The company uses a perpetual inventory system.  
-Prepare a multi-column Purchases Journal for Augsburg and record the appropriate transactions.Complete the process and prepare a schedule of accounts payable.

Accepted Answer

The answer of The following transactions were completed by Augsburg...

Question 3

The periodic system does not record the increase in cost of goods sold and decrease in inventory at the time of sale.

Accepted Answer

A) True 
 B)False  True

Question 4

A columnar journal is a journal with only one column.

Accepted Answer

A) True 
 B)False

Question 5

An Accounts Payable subledger is:

Accepted Answer

A)  A subsidiary ledger that contains an account for each supplier that grants credit to the company. 
B)  A list of the balances of all the accounts in the Accounts Receivable ledger that is added to show the total amount of accounts receivable outstanding. 
C)  A book of original entry that is designed and used for recording only a specified type of transaction. 
D)  The ledger that contains the financial statement accounts of a business. 
E)  A subsidiary ledger that contains a separate account for each customer that grants credit to the company. 
A)  A subsidiary ledger that contains an account for each supplier that grants credit to the company. 
B)  A list of the balances of all the accounts in the Accounts Receivable ledger that is added to show the total amount of accounts receivable outstanding. 
C)  A book of original entry that is designed and used for recording only a specified type of transaction. 
D)  The ledger that contains the financial statement accounts of a business. 
E)  A subsidiary ledger that contains a separate account for each customer that grants credit to the company.

Question 6

A Sales Journal is used to record cash sales.

Accepted Answer

A) True 
 B)False

Question 7

The three primary components of accounting information systems are:

Accepted Answer

A)  Relevance,compatibility,and flexibility. 
B)  Compatibility,flexibility,and cost-benefit. 
C)  Compatibility,flexibility,and safety. 
D)  Compatibility,timeliness,and cost-benefit. 
E)  Accounts payable,accounts receivable,and payroll. 
A)  Relevance,compatibility,and flexibility. 
B)  Compatibility,flexibility,and cost-benefit. 
C)  Compatibility,flexibility,and safety. 
D)  Compatibility,timeliness,and cost-benefit. 
E)  Accounts payable,accounts receivable,and payroll.

Question 8

Individual transactions in the Sales Journal are posted regularly to customers' accounts in the ______________________.

Accepted Answer

Accounts R

Question 9

If the total balance of the Accounts Receivable Ledger equals the total of the controlling Accounts Receivable account,then the individual accounts are presumed to be correct.

Accepted Answer

A) True 
 B)False

Question 10

The Accounts Payable account in the General Ledger is:

Accepted Answer

A)  The account that controls the subsidiary accounts payable ledger. 
B)  The account that controls the purchases journal. 
C)  The subsidiary account to the purchases journal. 
D)  Part of a special journal. 
E)  Part of a subsidiary ledger. 
A)  The account that controls the subsidiary accounts payable ledger. 
B)  The account that controls the purchases journal. 
C)  The subsidiary account to the purchases journal. 
D)  Part of a special journal. 
E)  Part of a subsidiary ledger.

Question 11

(1)What is the name of the journal illustrated below?
(2)Write an explanation for each entry.   (1)This is a cash receipts journal.
(2)Explanation for each entry:

Accepted Answer

The answer of (1)What is the name of the journal...

Question 12

The _____________________ provide the basic information processed by an AIS.

Accepted Answer

The answer of The _____________________ provide the basic information processed...

Question 13

The sale of inventory may:

Accepted Answer

A)  decrease inventory. 
B)  impact the Sales Journal. 
C)  create accounts receivable. 
D)  initiate billing. 
E)  All of these answers are correct. 
A)  decrease inventory. 
B)  impact the Sales Journal. 
C)  create accounts receivable. 
D)  initiate billing. 
E)  All of these answers are correct.

Question 14

A subsidiary ledger is a listing of individual accounts with a common characteristic.

Accepted Answer

A) True 
 B)False

Question 15

A bookkeeper using a Purchases Journal recorded new store supplies purchased on account.The subledger that would be impacted as a result of this transaction is the:

Accepted Answer

A)  Accounts payable subledger. 
B)  Accounts receivable subledger. 
C)  Merchandise inventory subledger. 
D)  Sales subledger. 
E)  Cash receipts journal. 
A)  Accounts payable subledger. 
B)  Accounts receivable subledger. 
C)  Merchandise inventory subledger. 
D)  Sales subledger. 
E)  Cash receipts journal.

Question 16

__________________________ consist of people,records,methods,and equipment.

Accepted Answer

Accounting

Question 17

The General Ledger system represents the primary data base in the AIS.

Accepted Answer

A) True 
 B)False

Question 18

The use of an Accounts Payable controlling account:

Accepted Answer

A)  Reduces the number of accounts in the subsidiary ledger. 
B)  Reduces the total number of accounts maintained. 
C)  Reduces the number of entries in the general journal. 
D)  Reduces the number of accounts in the general ledger. 
E)  Increases the number of columns in the journals. 
A)  Reduces the number of accounts in the subsidiary ledger. 
B)  Reduces the total number of accounts maintained. 
C)  Reduces the number of entries in the general journal. 
D)  Reduces the number of accounts in the general ledger. 
E)  Increases the number of columns in the journals.

Question 19

The Accounts Payable ledger has a controlling account in the General Ledger and a separate subsidiary account for each creditor in the Accounts Payable ledger.

Accepted Answer

A) True 
 B)False

Question 20

The special journals under the perpetual inventory system:

Accepted Answer

A)  Include an additional sales tax payable journal. 
B)  Include the sales journal,cash receipts journal,purchases journal,and cash disbursements journal. 
C)  Include an additional inventory journal. 
D)  Include an additional cost of goods sold journal. 
E)  Include both an additional inventory journal and an additional cost of goods sold journal. 
A)  Include an additional sales tax payable journal. 
B)  Include the sales journal,cash receipts journal,purchases journal,and cash disbursements journal. 
C)  Include an additional inventory journal. 
D)  Include an additional cost of goods sold journal. 
E)  Include both an additional inventory journal and an additional cost of goods sold journal.

A Sales Journal is used to record sales of merchandise on credit.

The following transactions were completed by Augsburg Company during the month of May.The company uses a perpetual inventory system. -Prepare a multi-column Purchases Journal for Augsburg and record the appropriate transactions.Complete the process and prepare a schedule of accounts payable.

The periodic system does not record the increase in cost of goods sold and decrease in inventory at the time of sale.

A columnar journal is a journal with only one column.

An Accounts Payable subledger is:

A Sales Journal is used to record cash sales.

The three primary components of accounting information systems are:

Individual transactions in the Sales Journal are posted regularly to customers' accounts in the ______________________.

If the total balance of the Accounts Receivable Ledger equals the total of the controlling Accounts Receivable account,then the individual accounts are presumed to be correct.

The Accounts Payable account in the General Ledger is:

(1)What is the name of the journal illustrated below? (2)Write an explanation for each entry. (1)This is a cash receipts journal. (2)Explanation for each entry:

The _____________________ provide the basic information processed by an AIS.

The sale of inventory may:

A subsidiary ledger is a listing of individual accounts with a common characteristic.

A bookkeeper using a Purchases Journal recorded new store supplies purchased on account.The subledger that would be impacted as a result of this transaction is the:

__________________________ consist of people,records,methods,and equipment.

The General Ledger system represents the primary data base in the AIS.

The use of an Accounts Payable controlling account:

The Accounts Payable ledger has a controlling account in the General Ledger and a separate subsidiary account for each creditor in the Accounts Payable ledger.

The special journals under the perpetual inventory system:

Accounting in Business

Analyzing and Reporting Transactions

Adjusting Accounts for Financial Statements

Completing the Accounting Cycle and Classifying Accounts

Accounting for Merchandising Activities

Merchandise Inventory and Cost of Sales

Internal Control and Cash

Receivables

Filters

Exam 7: Accounting Information Systems

A Sales Journal is used to record sales of merchandise on credit.

The following transactions were completed by Augsburg Company during the month of May.The company uses a perpetual inventory system. -Prepare a multi-column Purchases Journal for Augsburg and record the appropriate transactions.Complete the process and prepare a schedule of accounts payable.

The periodic system does not record the increase in cost of goods sold and decrease in inventory at the time of sale.

A columnar journal is a journal with only one column.

An Accounts Payable subledger is:

A Sales Journal is used to record cash sales.

The three primary components of accounting information systems are:

Individual transactions in the Sales Journal are posted regularly to customers' accounts in the ______________________.

If the total balance of the Accounts Receivable Ledger equals the total of the controlling Accounts Receivable account,then the individual accounts are presumed to be correct.

The Accounts Payable account in the General Ledger is:

(1)What is the name of the journal illustrated below? (2)Write an explanation for each entry. (1)This is a cash receipts journal. (2)Explanation for each entry:

The _____________________ provide the basic information processed by an AIS.

The sale of inventory may:

A subsidiary ledger is a listing of individual accounts with a common characteristic.

A bookkeeper using a Purchases Journal recorded new store supplies purchased on account.The subledger that would be impacted as a result of this transaction is the:

__________________________ consist of people,records,methods,and equipment.

The General Ledger system represents the primary data base in the AIS.

The use of an Accounts Payable controlling account:

The Accounts Payable ledger has a controlling account in the General Ledger and a separate subsidiary account for each creditor in the Accounts Payable ledger.

The special journals under the perpetual inventory system:

Accounting in Business

Analyzing and Reporting Transactions

Adjusting Accounts for Financial Statements

Completing the Accounting Cycle and Classifying Accounts

Accounting for Merchandising Activities

Merchandise Inventory and Cost of Sales

Internal Control and Cash

Receivables

Filters