Question 1

Which of the following statements is incorrect?

Accepted Answer

A)  The normal balance of the accounts receivable account is a debit. 
B)  The normal balance of the owner's withdrawals account is a debit. 
C)  The normal balance of an unearned revenues account is a credit. 
D)  The normal balance of an expense account is a credit. 
E)  The abnormal balance of a revenue account is a debit. 
A)  The normal balance of the accounts receivable account is a debit. 
B)  The normal balance of the owner's withdrawals account is a debit. 
C)  The normal balance of an unearned revenues account is a credit. 
D)  The normal balance of an expense account is a credit. 
E)  The abnormal balance of a revenue account is a debit.

Question 2

Explain the steps in processing transactions in an accounting system.

Accepted Answer

Business transactions and events are doc

Question 3

On May 31,Don Company had an Accounts Payable balance of $57,000.During the month of June,total credits to Accounts Payable were $34,000,which resulted from purchases on credit.The June 30 Accounts Payable balance was $32,000.What was the amount of payments made during June?

Accepted Answer

A)  $32,000. 
B)  $34,000. 
C)  $57,000. 
D)  $59,000. 
E)  $84,000. 
A)  $32,000. 
B)  $34,000. 
C)  $57,000. 
D)  $59,000. 
E)  $84,000.

Question 4

If,on a trial balance,the total of the debits is $7,500 and the total of the credits is $7,419,the difference could have been caused by:

Accepted Answer

A)  An error in copying an account balance from the ledger to the trial balance. 
B)  A transposition error. 
C)  A sliding error. 
D)  Posting only one side of an entry. 
E)  All of these answers are correct. 
A)  An error in copying an account balance from the ledger to the trial balance. 
B)  A transposition error. 
C)  A sliding error. 
D)  Posting only one side of an entry. 
E)  All of these answers are correct.

Question 5

The accounting process for the trial balance includes (1)preparing journal entries,(2)______________________,(3)calculating account balances,(4)_________________________,and (5)totalling the trial balance columns.

Accepted Answer

Posting entries to t

Question 6

A list of all accounts used by a company,including the identification number assigned to each account,is called a:

Accepted Answer

A)  Ledger. 
B)  Journal. 
C)  Trial balance. 
D)  Chart of accounts. 
E)  General Journal. 
A)  Ledger. 
B)  Journal. 
C)  Trial balance. 
D)  Chart of accounts. 
E)  General Journal.

Question 7

As prepaid assets are used up,the costs of the assets become expenses.

Accepted Answer

A) True 
 B)False

Question 8

The following list of accounts is for Shannon Sales Co.:   Use the form below to identify the type of account and its normal balance.The first one has been done for you as an example.

Accepted Answer

The answer of The following list of accounts is for...

Question 9

Step Two of the accounting cycle requires that we record transactions in a record called a journal.

Accepted Answer

A) True 
 B)False

Question 10

On June 30,the Cash account of Lutness Company had a normal balance of $4,300.During July the account was debited for a total of $3,400 and credited for a total of $3,600.What was the balance in the Cash account on August 1?

Accepted Answer

A)  $-0. 
B)  $4,100 debit. 
C)  $3,400 credit. 
D)  $3,400 debit. 
E)  $4,100 credit. 
A)  $-0. 
B)  $4,100 debit. 
C)  $3,400 credit. 
D)  $3,400 debit. 
E)  $4,100 credit.

Question 11

Which of the following statements is correct?

Accepted Answer

A)  The left side of a T-account is the credit side. 
B)  Entries that decrease asset and expense accounts,or increase liability,equity,and revenue accounts are posted as debits. 
C)  The left side of a T-account is the debit side. 
D)  The right side of a T-account is the debit side. 
E)  Entries that increase asset,expense,and revenue accounts are posted as debits. 
A)  The left side of a T-account is the credit side. 
B)  Entries that decrease asset and expense accounts,or increase liability,equity,and revenue accounts are posted as debits. 
C)  The left side of a T-account is the debit side. 
D)  The right side of a T-account is the debit side. 
E)  Entries that increase asset,expense,and revenue accounts are posted as debits.

Question 12

The normal balance of an account refers to the debit or credit side where increases are recorded.

Accepted Answer

A) True 
 B)False

Question 13

Charlene Addemup prepared the following trial balance from the general ledger of Big Blue Cleaning Service.It did not balance.   Because the trial balance did not balance,Charlene decided to examine the accounting records very closely.She found that the following errors had been made:   Prepare a corrected trial balance for the Big Blue Cleaning Service at October 31,2015.

Accepted Answer

The answer of Charlene Addemup prepared the following trial balance...

Question 14

Green's Book Store purchased a new automobile that cost $25,000,made a down payment of $4,000,and signed a note payable for the balance.The entry to record this transaction is:

Accepted Answer

A) 
  
B) 
  
C) 
  
D) 
  
E) 
  
A) 
  
B) 
  
C) 
  
D) 
  
E)

Question 15

Krenz Kar Kare,owned and operated by Karl Krenz,began business in September of the current year.Karl,a master mechanic,had no experience with keeping a set of books.As a result,Karl entered all of September's transactions directly to the General Ledger accounts.When he tried to locate a particular entry originally made on September 8,he found it confusing and time-consuming.He has hired you to improve his bookkeeping procedures.The accounts in his General Ledger follow:   Prepare the general journal entries,in chronological order,from the general ledger entries shown.Include a brief description of the probable nature of each transaction.

Accepted Answer

The answer of Krenz Kar Kare,owned and operated by Karl...

Question 16

FastForward purchased $25,000 worth of equipment for cash.The Equipment account is _______________ for $25,000 and the cash account is _______________ for $25,000.

Accepted Answer

The answer of FastForward purchased $25,000 worth of equipment for...

Question 17

A ledger is:

Accepted Answer

A)  A book of original entry. 
B)  A journal in which transactions are first recorded. 
C)  A book in which a complete record of transactions is recorded and from which transaction amounts are posted to the accounts. 
D)  A book of final entry. 
E)  Another name for the bank account. 
A)  A book of original entry. 
B)  A journal in which transactions are first recorded. 
C)  A book in which a complete record of transactions is recorded and from which transaction amounts are posted to the accounts. 
D)  A book of final entry. 
E)  Another name for the bank account.

Question 18

Debits to accounts are normally decreases.

Accepted Answer

A) True 
 B)False

Question 19

An account balance is the difference between the increases and decreases recorded in an account.

Accepted Answer

A) True 
 B)False

Question 20

A general journal entry usually includes information about the date of a transaction,titles of affected accounts,dollar amount of each debit and credit and an explanation of the transaction.

Accepted Answer

A) True 
 B)False

Which of the following statements is incorrect?

Explain the steps in processing transactions in an accounting system.

On May 31,Don Company had an Accounts Payable balance of $57,000.During the month of June,total credits to Accounts Payable were $34,000,which resulted from purchases on credit.The June 30 Accounts Payable balance was $32,000.What was the amount of payments made during June?

If,on a trial balance,the total of the debits is $7,500 and the total of the credits is $7,419,the difference could have been caused by:

The accounting process for the trial balance includes (1)preparing journal entries,(2),(3)calculating account balances,(4)___,and (5)totalling the trial balance columns.

A list of all accounts used by a company,including the identification number assigned to each account,is called a:

As prepaid assets are used up,the costs of the assets become expenses.

The following list of accounts is for Shannon Sales Co.: Use the form below to identify the type of account and its normal balance.The first one has been done for you as an example.

Step Two of the accounting cycle requires that we record transactions in a record called a journal.

On June 30,the Cash account of Lutness Company had a normal balance of $4,300.During July the account was debited for a total of $3,400 and credited for a total of $3,600.What was the balance in the Cash account on August 1?

Which of the following statements is correct?

The normal balance of an account refers to the debit or credit side where increases are recorded.

Green's Book Store purchased a new automobile that cost $25,000,made a down payment of $4,000,and signed a note payable for the balance.The entry to record this transaction is:

FastForward purchased $25,000 worth of equipment for cash.The Equipment account is _ for $25,000 and the cash account is _ for $25,000.

A ledger is:

Debits to accounts are normally decreases.

An account balance is the difference between the increases and decreases recorded in an account.

A general journal entry usually includes information about the date of a transaction,titles of affected accounts,dollar amount of each debit and credit and an explanation of the transaction.

Accounting in Business

Adjusting Accounts for Financial Statements

Completing the Accounting Cycle and Classifying Accounts

Accounting for Merchandising Activities

Merchandise Inventory and Cost of Sales

Accounting Information Systems

Internal Control and Cash

Receivables

Filters

Exam 2: Analyzing and Reporting Transactions

Which of the following statements is incorrect?

Explain the steps in processing transactions in an accounting system.

On May 31,Don Company had an Accounts Payable balance of $57,000.During the month of June,total credits to Accounts Payable were $34,000,which resulted from purchases on credit.The June 30 Accounts Payable balance was $32,000.What was the amount of payments made during June?

If,on a trial balance,the total of the debits is $7,500 and the total of the credits is $7,419,the difference could have been caused by:

The accounting process for the trial balance includes (1)preparing journal entries,(2)______________________,(3)calculating account balances,(4)_________________________,and (5)totalling the trial balance columns.

A list of all accounts used by a company,including the identification number assigned to each account,is called a:

As prepaid assets are used up,the costs of the assets become expenses.

The following list of accounts is for Shannon Sales Co.: Use the form below to identify the type of account and its normal balance.The first one has been done for you as an example.

Step Two of the accounting cycle requires that we record transactions in a record called a journal.

On June 30,the Cash account of Lutness Company had a normal balance of $4,300.During July the account was debited for a total of $3,400 and credited for a total of $3,600.What was the balance in the Cash account on August 1?

Which of the following statements is correct?

The normal balance of an account refers to the debit or credit side where increases are recorded.

Green's Book Store purchased a new automobile that cost $25,000,made a down payment of $4,000,and signed a note payable for the balance.The entry to record this transaction is:

FastForward purchased $25,000 worth of equipment for cash.The Equipment account is _______________ for $25,000 and the cash account is _______________ for $25,000.

A ledger is:

Debits to accounts are normally decreases.

An account balance is the difference between the increases and decreases recorded in an account.

A general journal entry usually includes information about the date of a transaction,titles of affected accounts,dollar amount of each debit and credit and an explanation of the transaction.

Accounting in Business

Adjusting Accounts for Financial Statements

Completing the Accounting Cycle and Classifying Accounts

Accounting for Merchandising Activities

Merchandise Inventory and Cost of Sales

Accounting Information Systems

Internal Control and Cash

Receivables

Filters

The accounting process for the trial balance includes (1)preparing journal entries,(2),(3)calculating account balances,(4)___,and (5)totalling the trial balance columns.

FastForward purchased $25,000 worth of equipment for cash.The Equipment account is _ for $25,000 and the cash account is _ for $25,000.