Question 1

The posting reference column in the journal is used for:

Accepted Answer

A)  recording the source documents identification number.
B)  recording the account number to which the entry was posted.
C)  recording the balance when the entry was posted.
D)  recording the initials of the person who did the posting.

Question 2

Posting is performed by transferring information from the journal to the:

Accepted Answer

A)  balance sheet.
B)  trial balance.
C)  ledger.
D)  income statement.

Question 3

Prepare in proper form journal entries for the following transactions.Omit explanations.
October

Accepted Answer

The answer of Prepare in proper form journal entries for...

Question 4

An $1,000 check written for supplies was journalized and posted as $200.The entry to correct this error is:

Accepted Answer

A)  debit Supplies,$800;credit Cash,$800.
B)  debit Cash,$800;credit Supplies,$800.
C)  debit Supplies,$200;credit Cash,$200.
D)  debit Cash,$200;credit Cash,$200.

Question 5

The general journal:

Accepted Answer

A)  is the book of original entry.
B)  is the book of final entry.
C)  contains account balances.
D)  is completed after the trial balance.

Question 6

If Accounts Receivable has been credited,it is most likely that:

Accepted Answer

A)  the company collected a payment from a customer.
B)  the company made a payment on account.
C)  the company made a purchase on account.
D)  None of these is possible.

Question 7

If Rent Expense has been debited,it is likely that:

Accepted Answer

A)  the rent was paid for three months in advance.
B)  a copy of the lease was received.
C)  this month's rent was paid.
D)  All of these are possible.

Question 8

Interim statements are statements that are usually prepared for a portion of the business's fiscal year.

Accepted Answer

A) True 
 B)False

Question 9

BNL completed a performance and collected revenue of $10,000 not previously billed or recorded.The journal entry to record the collection would be:

Accepted Answer

A)    Accounts Receivable 10,000 Performance Fees 10,000\begin{array} { | c | c | } \hline 	ext { Accounts Receivable } & 10,000 \\hline 	ext { Performance Fees } & 10,000 \\hline\end{array} Accounts Receivable  Performance Fees ​10,00010,000​​ 
B)    Cash 10,000 Performance Fees 10,000\begin{array} { | c | c | } \hline 	ext { Cash } & 10,000 \\hline 	ext { Performance Fees } & 10,000 \\hline\end{array} Cash  Performance Fees ​10,00010,000​​ 
C)    Accounts Receivable 10,000 Cash 10,000\begin{array} { | c | l | } \hline 	ext { Accounts Receivable } & 10,000 \\hline 	ext { Cash } &  { 10,000 } \\hline\end{array} Accounts Receivable  Cash ​10,00010,000​​ 
D)    Performance Fees 10,000 Cash 10,000\begin{array} { | c | l | } \hline 	ext { Performance Fees } & 10,000 \\hline 	ext { Cash } &  { 10,000 } \\hline\end{array} Performance Fees  Cash ​10,00010,000​​

Question 10

How are credits distinguished from debits in the journal?

Accepted Answer

A)  A line separation
B)  A different color
C)  Indenting
D)  There is no distinction.

Question 11

All nine transactions for Ross Realty for June,the first month of operation,are recorded in the following T accounts:
  
Prepare a trial balance,listing the accounts and their balance in proper order.

Accepted Answer

The answer of All nine transactions for Ross Realty for...

Question 12

Which of the following accounts would be debited in a proper journal entry?

Accepted Answer

A)  Notes payable when it is increased
B)  Accounts Receivable when it is increased
C)  Cash when it is decreased
D)  Capital when it is increased

Question 13

The trial balance lists the accounts:

Accepted Answer

A)  alphabetically.
B)  in the same order as in the ledger.
C)  all debits first and then credits.
D)  all credits first and then debits.

Question 14

A transaction completed by Norton Company caused a $4,000 increase in both the total assets and the total liabilities.This transaction could have been:

Accepted Answer

A)  purchase of office equipment for $12,000,paying $8,000 cash,with the rest on account.
B)  investment by the owner of an additional $4,000.
C)  purchase of office equipment,paying $4,000 cash,and $8,000 on account.
D)  a loan of $5,000,on a $9,000 purchase of equipment with $4,000 down payment.

Question 15

During the month of January,Katelyn invested $9,000 in starting her legal practice.The proper journal entry would be:

Accepted Answer

A)  Cash,debit $9,000;Katelyn,Capital,credit $9,000
B)  Accounts Payable,debit $9,000;Cash,credit $9,000
C)  Cash,debit $9,000;Revenue,credit $9,000
D)  Katelyn's Capital,debit $9,000;Cash,credit $9,000

Question 16

If Fees Earned has been credited,it is most likely that:

Accepted Answer

A)  services were provided.
B)  the owner made an investment.
C)  a correcting entry for the overstatement of revenue was recorded.
D)  All of these are possible.

Question 17

What are interim financial statements?

Accepted Answer

Interim financial statements are prepare...

Question 18

The general journal entry to record the earning of revenue would most commonly include:

Accepted Answer

A)  a debit to Accounts Receivable and a credit to Capital.
B)  a debit to Cash and a credit to Capital.
C)  a debit to Fees Earned and a credit to Cash.
D)  a debit to Accounts Receivable and a credit to Fees Earned.

Question 19

If Capital has been credited,it is likely that:

Accepted Answer

A)  services were provided to a cash customer.
B)  services were provided to a charge customer.
C)  the owner made an investment.
D)  a payment was made on account.

Question 20

If the business records a number as 179 and it should be 197,this error would be called:

Accepted Answer

A)  a rearrangement.
B)  a slide.
C)  a transposition.
D)  None of the above

Exam 3: Beginning the Accounting Cycle

BNL completed a performance and collected revenue of $10,000 not previously billed or recorded.The journal entry to record the collection would be:

Correct AnswerverifiedShow Answer

Prepare in proper form journal entries for the following transactions.Omit explanations. October

Correct AnswerverifiedShow Answer

During the month of January,Katelyn invested $9,000 in starting her legal practice.The proper journal entry would be:

Correct AnswerverifiedShow Answer

If Fees Earned has been credited,it is most likely that:

Correct AnswerverifiedShow Answer

If Rent Expense has been debited,it is likely that:

Correct AnswerverifiedShow Answer

How are credits distinguished from debits in the journal?

Correct AnswerverifiedShow Answer

The trial balance lists the accounts:

Correct AnswerverifiedShow Answer

Posting is performed by transferring information from the journal to the:

Correct AnswerverifiedShow Answer

All nine transactions for Ross Realty for June,the first month of operation,are recorded in the following T accounts: Prepare a trial balance,listing the accounts and their balance in proper order.

Correct AnswerverifiedShow Answer

The posting reference column in the journal is used for:

Correct AnswerverifiedShow Answer

Interim statements are statements that are usually prepared for a portion of the business's fiscal year.

Correct AnswerverifiedShow Answer

The general journal:

Correct AnswerverifiedShow Answer

If Accounts Receivable has been credited,it is most likely that:

Correct AnswerverifiedShow Answer

The general journal entry to record the earning of revenue would most commonly include:

Correct AnswerverifiedShow Answer

A transaction completed by Norton Company caused a $4,000 increase in both the total assets and the total liabilities.This transaction could have been:

Correct AnswerverifiedShow Answer

An $1,000 check written for supplies was journalized and posted as $200.The entry to correct this error is:

Correct AnswerverifiedShow Answer

Which of the following accounts would be debited in a proper journal entry?

Correct AnswerverifiedShow Answer

What are interim financial statements?

Correct AnswerverifiedInterim financial statements are prepare...View AnswerShow Answer

If Capital has been credited,it is likely that:

Correct AnswerverifiedShow Answer

If the business records a number as 179 and it should be 197,this error would be called:

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
Interim financial statements are prepare...
View Answer

Correct Answer
verified

Correct Answer
verified