Question 1

The entry to record the payment of office salaries would be:

Accepted Answer

A) Debit Cash;Credit Accounts Receivable 
B) Debit Cash;Credit Salaries Expense 
C) Debit Salaries Expense;Credit Accounts Payable 
D) Debit Salaries Expense;Credit Cash 
A) Debit Cash;Credit Accounts Receivable 
B) Debit Cash;Credit Salaries Expense 
C) Debit Salaries Expense;Credit Accounts Payable 
D) Debit Salaries Expense;Credit Cash

Question 2

The order of the flow of accounting data is to (1)record in a journal, (2)post in a ledger, (3)prepare a trial balance.

Accepted Answer

A) True 
 B)False

Question 3

A slide is evenly divisible by the number 8.

Accepted Answer

A) True 
 B)False

Question 4

Renzi's Volleyball Gym purchased equipment for $1,200.It made a down payment of $500 with the remainder on account.The journal entry to record this transaction is:

Accepted Answer

A) 
$$\begin{array}{ | l | l | } 
\hline \text { Cash }& 700 \
\hline \text { Accounts Receivable } & 700 \
\hline
\end{array}$$ 
B) 
$$\begin{array} { | l | l | } 
\hline \text { Accounts Payable } & 500 \
\hline \text { Cash } & 700 \
\hline  { \text { Equipment } } &1,200 \
\hline
\end{array}$$ 
C) 
$$\begin{array} { | l | l | } 
\hline \text { Supplies } & 1,200 \
\hline \text { Cash } & 700 \
\hline \text { Accounts Payable } & 500 \
\hline
\end{array}$$ 
D) 
$$\begin{array} { | l | l | } 
\hline \text { Equipment } & 1,200 \
\hline \text { Accounts Payable } & 700 \
\hline \text { Cash } & 500 \
\hline
\end{array}$$ 
A) 
$$\begin{array}{ | l | l | } 
\hline \text { Cash }& 700 \
\hline \text { Accounts Receivable } & 700 \
\hline
\end{array}$$ 
B) 
$$\begin{array} { | l | l | } 
\hline \text { Accounts Payable } & 500 \
\hline \text { Cash } & 700 \
\hline  { \text { Equipment } } &1,200 \
\hline
\end{array}$$ 
C) 
$$\begin{array} { | l | l | } 
\hline \text { Supplies } & 1,200 \
\hline \text { Cash } & 700 \
\hline \text { Accounts Payable } & 500 \
\hline
\end{array}$$ 
D) 
$$\begin{array} { | l | l | } 
\hline \text { Equipment } & 1,200 \
\hline \text { Accounts Payable } & 700 \
\hline \text { Cash } & 500 \
\hline
\end{array}$$

Question 5

The informal listing of the ledger accounts and their balances in the ledger to aid in proving the equality of debits and credits is the:

Accepted Answer

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

Question 6

A journal entry affecting three or more accounts is called a:

Accepted Answer

A) multi-level entry. 
B) multi-step entry. 
C) compound entry. 
D) double entry. 
A) multi-level entry. 
B) multi-step entry. 
C) compound entry. 
D) double entry.

Question 7

A trial balance is a list of the accounts and their ledger balances.

Accepted Answer

A) True 
 B)False

Question 8

The journal entry debiting Cash and crediting Capital would be a result of a(n):

Accepted Answer

A) customer payment. 
B) expense. 
C) investment. 
D) revenue. 
A) customer payment. 
B) expense. 
C) investment. 
D) revenue.

Question 9

A company would review the journal if an account balance was needed.

Accepted Answer

A) True 
 B)False

Question 10

The debit is indented in a journal entry.

Accepted Answer

A) True 
 B)False

Question 11

A credit to an asset account was posted to a revenue account.This would cause:

Accepted Answer

A) assets to be understated. 
B) liabilities to be overstated. 
C) capital to be understated. 
D) revenue to be overstated. 
A) assets to be understated. 
B) liabilities to be overstated. 
C) capital to be understated. 
D) revenue to be overstated.

Question 12

The time period for which a statement of owner's equity is prepared is a(n):

Accepted Answer

A) calendar year. 
B) accounting period. 
C) fiscal period. 
D) accounting cycle. 
A) calendar year. 
B) accounting period. 
C) fiscal period. 
D) accounting cycle.

Question 13

Define and discuss a calendar year,accounting period,and fiscal year.

Accepted Answer

A calendar year runs from January 1 to D

Question 14

The first step of the accounting cycle is:

Accepted Answer

A) recording journal entries. 
B) posting to the ledger. 
C) preparing a trial balance. 
D) analyzing business transactions. 
A) recording journal entries. 
B) posting to the ledger. 
C) preparing a trial balance. 
D) analyzing business transactions.

Question 15

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

Accepted Answer

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

Question 16

Interim statements are prepared to:

Accepted Answer

A) notify management of the company's current financial position. 
B) notify investors of the company's current financial position. 
C) allow management to make changes to the business before processing year-end financial statements. 
D) All of the above are correct. 
A) notify management of the company's current financial position. 
B) notify investors of the company's current financial position. 
C) allow management to make changes to the business before processing year-end financial statements. 
D) All of the above are correct.

Question 17

How are explanations distinguished in the journal?

Accepted Answer

A) They are underlined. 
B) They are marked with an X before and after the explanation. 
C) They are indented below the credit entries. 
D) They are written at the margin,in line with the debit entries. 
A) They are underlined. 
B) They are marked with an X before and after the explanation. 
C) They are indented below the credit entries. 
D) They are written at the margin,in line with the debit entries.

Question 18

Which of the following entries would record the payment of a utility bill?

Accepted Answer

A) Utilities Expense,debit;Cash,credit 
B) Cash,debit;Utilities Expense,credit 
C) Utilities Expense,debit;Accounts Payable,credit 
D) Accounts Receivable,debit;Utilities Expense,credit 
A) Utilities Expense,debit;Cash,credit 
B) Cash,debit;Utilities Expense,credit 
C) Utilities Expense,debit;Accounts Payable,credit 
D) Accounts Receivable,debit;Utilities Expense,credit

Question 19

The twelve-month period a business chooses for its accounting period is a(n):

Accepted Answer

A) calendar year. 
B) accounting period. 
C) fiscal year. 
D) accounting cycle. 
A) calendar year. 
B) accounting period. 
C) fiscal year. 
D) accounting cycle.

Question 20

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

Accepted Answer

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

Exam 3: Beginning the Accounting Cycle

The entry to record the payment of office salaries would be:

The order of the flow of accounting data is to (1)record in a journal, (2)post in a ledger, (3)prepare a trial balance.

A slide is evenly divisible by the number 8.

Renzi's Volleyball Gym purchased equipment for $1,200.It made a down payment of $500 with the remainder on account.The journal entry to record this transaction is:

The informal listing of the ledger accounts and their balances in the ledger to aid in proving the equality of debits and credits is the:

A journal entry affecting three or more accounts is called a:

A trial balance is a list of the accounts and their ledger balances.

The journal entry debiting Cash and crediting Capital would be a result of a(n):

A company would review the journal if an account balance was needed.

The debit is indented in a journal entry.

A credit to an asset account was posted to a revenue account.This would cause:

The time period for which a statement of owner's equity is prepared is a(n):

Define and discuss a calendar year,accounting period,and fiscal year.

The first step of the accounting cycle is:

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

Interim statements are prepared to:

How are explanations distinguished in the journal?

Which of the following entries would record the payment of a utility bill?

The twelve-month period a business chooses for its accounting period is a(n):

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

Accounting Concepts and Procedures

Debits and Credits: Analyzing and Recording Business Transactions

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

The Voucher System

Departmental Accounting

Manufacturing Accounting

Filters