Question 1

A voucher is made for every:

Accepted Answer

A) cash receipt. 
B) cash payment. 
C) accounts payable transaction. 
D) accounts receivable transaction. 
A) cash receipt. 
B) cash payment. 
C) accounts payable transaction. 
D) accounts receivable transaction.

Question 2

For each of the following, identify in Column 1 the category to which the account belongs, in Column 2 the normal balance for the account, in Column 3 the financial statement in which the account balance is reported, and in Column 4 the account's nature (permanent/temporary).
-

Accepted Answer

The answer of For each of the following, identify in...

Question 3

Which of the following accounts is used for recording merchandise for resale?

Accepted Answer

A) Purchases 
B) Purchase Discounts 
C) Purchase Discounts Lost 
D) Sales 
A) Purchases 
B) Purchase Discounts 
C) Purchase Discounts Lost 
D) Sales

Question 4

If partial payment is made and installment payments are set up after the voucher is prepared for the total amount owed:

Accepted Answer

A) the old voucher is cancelled and a new voucher is prepared for the new amount owed. 
B) the old voucher is credited for the entire amount. 
C) Vouchers Payable is debited;Purchases Returns and Allowances is credited. 
D) None of these answers is correct. 
A) the old voucher is cancelled and a new voucher is prepared for the new amount owed. 
B) the old voucher is credited for the entire amount. 
C) Vouchers Payable is debited;Purchases Returns and Allowances is credited. 
D) None of these answers is correct.

Question 5

For each of the following, identify in Column 1 the category to which the account belongs, in Column 2 the normal balance for the account, in Column 3 the financial statement in which the account balance is reported, and in Column 4 the account's nature (permanent/temporary).
-$$\begin{array} { | l | l | l | l | l | } 
\hline & \text { Column 1 } & \text { Column 2 } & \text { Column 3 } & \text { Column 4 } \
\hline \text { Discounts lost } & & & & \
\hline
\end{array}$$

Accepted Answer

The answer of For each of the following, identify in...

Question 6

Grant's Hardware bought $7,500 of merchandise,terms 1/10,n/30.The journal entry to record the transaction under the net approach method would be to:

Accepted Answer

A) debit Purchases $7,425;credit Accounts Payable $7,425. 
B) debit Purchases $7,425;credit Vouchers Payable $7,425. 
C) debit Purchases $7,500;credit Vouchers Payable $7,425;credit Discounts Lost $75. 
D) debit Purchases $7,500;credit Cash $7,500. 
A) debit Purchases $7,425;credit Accounts Payable $7,425. 
B) debit Purchases $7,425;credit Vouchers Payable $7,425. 
C) debit Purchases $7,500;credit Vouchers Payable $7,425;credit Discounts Lost $75. 
D) debit Purchases $7,500;credit Cash $7,500.

Question 7

If it is later decided to pay an approved voucher in two payments:

Accepted Answer

A) a memo in the check register must show the unpaid balance. 
B) an entry in the Paid column of the voucher register must show the unpaid balance. 
C) the original voucher must be canceled and two new vouchers must be issued. 
D) a memo must be made on the voucher to show the unpaid balance. 
A) a memo in the check register must show the unpaid balance. 
B) an entry in the Paid column of the voucher register must show the unpaid balance. 
C) the original voucher must be canceled and two new vouchers must be issued. 
D) a memo must be made on the voucher to show the unpaid balance.

Question 8

The voucher system strengthens internal control because:

Accepted Answer

A) all the duties of preparing a voucher and the receiving reports are assigned to a single person. 
B) certain payments,which are made on a regular basis,such as monthly rent payments,do not need to be vouchered. 
C) the employee who approves all vouchers then sends the approved vouchers to others who prepare the voucher register and the check register. 
D) All of these answers are correct. 
A) all the duties of preparing a voucher and the receiving reports are assigned to a single person. 
B) certain payments,which are made on a regular basis,such as monthly rent payments,do not need to be vouchered. 
C) the employee who approves all vouchers then sends the approved vouchers to others who prepare the voucher register and the check register. 
D) All of these answers are correct.

Question 9

Paid voucher #422,payment was within the discount period.
Debit ________ Credit ________ & ________

Accepted Answer

Debit 6,Cr

Question 10

Paid voucher #425.
Debit ________ Credit ________

Accepted Answer

The answer of Paid voucher #425.
Debit ________ Credit ________...

Question 11

To maintain good internal control procedures,the person filing a purchase requisition should approve the payment.

Accepted Answer

A) True 
 B)False

Question 12

Brooke's Company purchased $5,000 of merchandise with terms of 5/10,n/60 and paid the invoice within the discount period.Brooke uses the periodic and voucher systems.If Brooke's uses the net method of recording merchandise purchases,the $250 purchases discount is recorded in:

Accepted Answer

A) the voucher register. 
B) the check register. 
C) the general journal. 
D) None of these answers is correct. 
A) the voucher register. 
B) the check register. 
C) the general journal. 
D) None of these answers is correct.

Question 13

The entry to record payment of a voucher for an invoice within the discount period under the gross method will include:

Accepted Answer

A) a debit to Purchase Discounts. 
B) a credit to Purchase Discounts. 
C) a debit to Cash. 
D) Both B and C would be in the entry. 
A) a debit to Purchase Discounts. 
B) a credit to Purchase Discounts. 
C) a debit to Cash. 
D) Both B and C would be in the entry.

Question 14

If a purchase return or allowance occurs after the posting of the original voucher,the original voucher is adjusted.

Accepted Answer

A) True 
 B)False

Question 15

In the voucher system,the purchases journal is replaced by the:

Accepted Answer

A) check register. 
B) sales register. 
C) invoice register. 
D) voucher register. 
A) check register. 
B) sales register. 
C) invoice register. 
D) voucher register.

Question 16

Spice Company completed the following transactions:
 May 10 Prepared voucher $\$ 301$ for purchase of merchandise for $\$ 4,000$ from Sugar Company
12 Returned $\$ 750$ of the merchandise purchased from Sugar because of poor quality. Cancelled voucher $\$ 301$ and replaced it with voucher $\$ 305$. 
Required: Prepare journal entries to record the above transactions.Assume Spice uses the gross method for recording purchases.Omit explanations.Spice uses the periodic method.

Accepted Answer

The answer of Spice Company completed the following transactions:
 May...

Question 17

Prepared and recorded voucher #426 for the purchase of merchandise (net method)of $2,000 with credit terms of 2/10,n/30.
Debit ________ Credit ________

Accepted Answer

The answer of Prepared and recorded voucher #426 for the...

Question 18

The reason for filing vouchers in an unpaid voucher file according to due date is:

Accepted Answer

A) to allow the company to take advantage of cash discounts. 
B) to allow the company to cancel payment of the bills. 
C) to keep accounts receivable up to date. 
D) to keep the cash payments journal up to date. 
A) to allow the company to take advantage of cash discounts. 
B) to allow the company to cancel payment of the bills. 
C) to keep accounts receivable up to date. 
D) to keep the cash payments journal up to date.

Question 19

Brooke Company purchased $8,000 of merchandise with terms of 2/10,n/60 and paid the invoice within the discount period.The company uses the periodic inventory method and the voucher system.If Brooke's uses the net method of recording merchandise purchases,the $160 purchases discount is:

Accepted Answer

A) recorded in the voucher register. 
B) recorded in the check register. 
C) recorded in the general journal. 
D) not recorded unless the discount is lost after the discount date. 
A) recorded in the voucher register. 
B) recorded in the check register. 
C) recorded in the general journal. 
D) not recorded unless the discount is lost after the discount date.

Question 20

Emily purchased $2,000 of merchandise on April 1 and recorded it in the voucher register.On April 8,$400 of the merchandise proved to be defective.The company uses the gross method and the periodic inventory system.The entry would be to:

Accepted Answer

A) reduce the original voucher. 
B) record a purchase return in the general journal. 
C) cancel the original voucher and record a revised voucher. 
D) None of these answers is correct. 
A) reduce the original voucher. 
B) record a purchase return in the general journal. 
C) cancel the original voucher and record a revised voucher. 
D) None of these answers is correct.

Exam 23: The Voucher System

A voucher is made for every:

For each of the following, identify in Column 1 the category to which the account belongs, in Column 2 the normal balance for the account, in Column 3 the financial statement in which the account balance is reported, and in Column 4 the account's nature (permanent/temporary). -

Which of the following accounts is used for recording merchandise for resale?

If partial payment is made and installment payments are set up after the voucher is prepared for the total amount owed:

Grant's Hardware bought $7,500 of merchandise,terms 1/10,n/30.The journal entry to record the transaction under the net approach method would be to:

If it is later decided to pay an approved voucher in two payments:

The voucher system strengthens internal control because:

Paid voucher #422,payment was within the discount period. Debit ________ Credit ________ & ________

Paid voucher #425. Debit ________ Credit ________

To maintain good internal control procedures,the person filing a purchase requisition should approve the payment.

Brooke's Company purchased $5,000 of merchandise with terms of 5/10,n/60 and paid the invoice within the discount period.Brooke uses the periodic and voucher systems.If Brooke's uses the net method of recording merchandise purchases,the $250 purchases discount is recorded in:

The entry to record payment of a voucher for an invoice within the discount period under the gross method will include:

If a purchase return or allowance occurs after the posting of the original voucher,the original voucher is adjusted.

In the voucher system,the purchases journal is replaced by the:

Prepared and recorded voucher #426 for the purchase of merchandise (net method)of $2,000 with credit terms of 2/10,n/30. Debit ________ Credit ________

The reason for filing vouchers in an unpaid voucher file according to due date is:

Brooke Company purchased $8,000 of merchandise with terms of 2/10,n/60 and paid the invoice within the discount period.The company uses the periodic inventory method and the voucher system.If Brooke's uses the net method of recording merchandise purchases,the $160 purchases discount is:

Emily purchased $2,000 of merchandise on April 1 and recorded it in the voucher register.On April 8,$400 of the merchandise proved to be defective.The company uses the gross method and the periodic inventory system.The entry would be to:

Accounting Concepts and Procedures

Debits and Credits: Analyzing and Recording Business Transactions

Beginning the Accounting Cycle

The Accounting Cycle Continued

The Accounting Cycle Completed

Banking Procedure and Control of Cash

Calculating Pay and Payroll Taxes: the Beginning of the Payroll Process

Paying,recording,and Reporting Payroll and Payroll Taxes:

Sales and Cash Receipts

Purchases and Cash Payments

Preparing a Worksheet for a Merchandise Company

Completion of the Accounting Cycle for a Merchandise Company

Accounting for Bad Debts

Notes Receivable and Notes Payable

Accounting for Merchandise Inventory

Accounting for Property,plant,equipment,and Intangible Assets

Partnership

Corporations: Organizations and Stock

Corporations: Stock Values,dividends,treasury Stocks,

Corporations and Bonds Payable

Statement of Cash Flows

Analyzing Financial Statements

Departmental Accounting

Manufacturing Accounting

Filters

Paid voucher #422,payment was within the discount period. Debit Credit &

Paid voucher #425. Debit Credit

Prepared and recorded voucher #426 for the purchase of merchandise (net method)of $2,000 with credit terms of 2/10,n/30. Debit Credit