Question 1

Journalize the following five transactions for Nexium & Associates, Inc. Omit explanations.Mar.1Bills are sent to clients for services provided in February in the amount of $800.9Corner Office, Inc. delivers office furniture 
($1,060) and office supplies 
($160) to Nexium leaving an invoice for $1,220.15Payment is made to Corner Office, Inc. for the furniture and office supplies delivered on March 9.23A bill for $430 for electricity for the month of March is received and will be paid on its due date in April.31Salaries of $850 are paid to employees.

Accepted Answer

The answer of Journalize the following five transactions for Nexium...

Question 2

Prepare a journal entry for the purchase of a truck on April 4 for $85,700, paying $15,000 cash and the remainder on account. Omit explanation.

Accepted Answer

The answer of Prepare a journal entry for the purchase...

Question 3

Which of the following entries records the acquisition of office supplies on account?

Accepted Answer

A)  Office Supplies, debit; Cash, credit 
B)  Cash, debit; Office Supplies, credit 
C)  Office Supplies, debit; Accounts Payable, credit 
D)  Accounts Receivable, debit; Office Supplies, credit

Question 4

Randomly listed below are the steps for preparing a trial balance: (1)Verify that the total of the Debit column equals the total of the Credit column.
(2)List the accounts from the ledger and enter their debit or credit balance in the Debit or Credit column of the trial balance.
(3)List the name of the company, the title of the trial balance, and the date the trial balance is prepared.
(4)Total the Debit and Credit columns of the 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)

Question 5

A debit signifies a decrease in

Accepted Answer

A)  assets 
B)  expenses 
C)  drawing 
D)  revenues

Question 6

Expenses result from using up assets or consuming services in the process of generating revenues.

Accepted Answer

A) True 
 B)False

Question 7

Match each of the following accounts with its proper account group from the groups listed below.
​
-Patents

Accepted Answer

A) Assets 
B) Liabilities 
C) Owner's Equity 
D) Revenue 
E) Expenses

Question 8

For each of the following errors, considered individually, indicate whether the error would cause the trial balance totals to be unequal. If the error would cause the trial balance totals to be unequal, indicate whether the debit or credit total is higher and by how much.?
a. Payment of a cash withdrawal of $6,800 was journalized and posted as a debit of $8,600 to Salaries Expense and a credit of $8,600 to Cash.
b. A fee of $9,780 earned was debited to Accounts Receivable for $7,980 and credited to Fees Earned for $9,780.
c. A payment of $3,000 to a creditor was posted as a credit of $3,000 to Accounts Payable and a credit of $3,000 to Cash.

Accepted Answer

The answer of For each of the following errors, considered...

Question 9

A proof of the equality of debits and credits in the ledger at the end of an accounting period is called a balance sheet.

Accepted Answer

A) True 
 B)False

Question 10

Expenses can result from

Accepted Answer

A)  increasing owner's equity 
B)  consuming services 
C)  using up liabilities 
D)  purchasing assets

Question 11

Depending on the account title, the right side of the account is referred to as the credit side.

Accepted Answer

A) True 
 B)False

Question 12

Which of the following entries records the investment of cash by Taylor Thomas, owner of a proprietorship?

Accepted Answer

A)  debit Taylor Thomas, Capital; credit Accounts Receivable 
B)  debit Cash; credit Taylor Thomas, Capital 
C)  debit Taylor Thomas, Drawing; credit Cash 
D)  debit Cash; credit Taylor Thomas, Drawing

Question 13

The posting process will include the transfer of which of the following data from the journal to the ledger?

Accepted Answer

A)  date, amount (debit or credit) 
B)  date, amount (debit or credit), journal page number 
C)  amount (debit or credit), account number 
D)  date, amount (debit or credit) account number

Question 14

Journalizing is the process of entering amounts in the ledger.

Accepted Answer

A) True 
 B)False

Question 15

The process of transferring the debits and credits from the journal entries to the accounts is known as posting.

Accepted Answer

A) True 
 B)False

Question 16

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

Question 17

Journal entries can have more than two accounts as long as the debits equal the credits.

Accepted Answer

A) True 
 B)False

Question 18

On October 10, Nickle Company purchased supplies for $1,800 on account. On October 25, Nickle Company paid the invoice.
(a) Provide the journal entry for the purchase on account.
(b) Provide the journal entry for the payment of the invoice.

Accepted Answer

The answer of On October 10, Nickle Company purchased supplies...

Question 19

If the trial balance is in balance, it can be assumed that all journal entries were posted correctly and no errors were made.

Accepted Answer

A) True 
 B)False

Question 20

Analyze the following transactions as to their effect on the accounting equation.
(a)The company paid $725 to a vendor for supplies purchased previously on account.
(b)The company performed $850 of services and billed the customer.
(c)The company received a utility bill for $395 and will pay it next month.
(d)The owner of the company withdrew $145 of supplies for personal use.
(e)The company paid $315 in salaries to its employees.
(f)The company collected $730 of cash from its customers on account.​Some of the possible effects of a transaction on the accounting equation are listed below​  Put the appropriate letter next to each transaction.

Accepted Answer

The answer of Analyze the following transactions as to their...

Exam 2: Analyzing Transactions

Prepare a journal entry for the purchase of a truck on April 4 for $85,700, paying $15,000 cash and the remainder on account. Omit explanation.

Which of the following entries records the acquisition of office supplies on account?

A debit signifies a decrease in

Expenses result from using up assets or consuming services in the process of generating revenues.

Match each of the following accounts with its proper account group from the groups listed below. -Patents

A proof of the equality of debits and credits in the ledger at the end of an accounting period is called a balance sheet.

Expenses can result from

Depending on the account title, the right side of the account is referred to as the credit side.

Which of the following entries records the investment of cash by Taylor Thomas, owner of a proprietorship?

The posting process will include the transfer of which of the following data from the journal to the ledger?

Journalizing is the process of entering amounts in the ledger.

The process of transferring the debits and credits from the journal entries to the accounts is known as posting.

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

Journal entries can have more than two accounts as long as the debits equal the credits.

On October 10, Nickle Company purchased supplies for $1,800 on account. On October 25, Nickle Company paid the invoice. (a) Provide the journal entry for the purchase on account. (b) Provide the journal entry for the payment of the invoice.

If the trial balance is in balance, it can be assumed that all journal entries were posted correctly and no errors were made.

Exam 2: Analyzing Transactions

Prepare a journal entry for the purchase of a truck on April 4 for $85,700, paying $15,000 cash and the remainder on account. Omit explanation.

Which of the following entries records the acquisition of office supplies on account?

A debit signifies a decrease in

Expenses result from using up assets or consuming services in the process of generating revenues.

Match each of the following accounts with its proper account group from the groups listed below. ​ -Patents

A proof of the equality of debits and credits in the ledger at the end of an accounting period is called a balance sheet.

Expenses can result from

Depending on the account title, the right side of the account is referred to as the credit side.

Which of the following entries records the investment of cash by Taylor Thomas, owner of a proprietorship?

The posting process will include the transfer of which of the following data from the journal to the ledger?

Journalizing is the process of entering amounts in the ledger.

The process of transferring the debits and credits from the journal entries to the accounts is known as posting.

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

Journal entries can have more than two accounts as long as the debits equal the credits.

On October 10, Nickle Company purchased supplies for $1,800 on account. On October 25, Nickle Company paid the invoice. (a) Provide the journal entry for the purchase on account. (b) Provide the journal entry for the payment of the invoice.

If the trial balance is in balance, it can be assumed that all journal entries were posted correctly and no errors were made.

Match each of the following accounts with its proper account group from the groups listed below. -Patents