Question 1

Numerous errors may exist even though the trial balance columns agree. Which of the following is not one of these types of errors?

Accepted Answer

A)  A transaction is not journalized. 
B)  Transposition error in the amount posted as a debit. 
C)  A journal entry is posted twice. 
D)  A journal entry to purchase $100 worth of equipment is posted as a $1,000 purchase. 
A)  A transaction is not journalized. 
B)  Transposition error in the amount posted as a debit. 
C)  A journal entry is posted twice. 
D)  A journal entry to purchase $100 worth of equipment is posted as a $1,000 purchase.

Question 2

The debit and credit analysis of a transaction normally takes place

Accepted Answer

A)  before an entry is recorded in a journal. 
B)  when the entry is posted to the ledger. 
C)  when the trial balance is prepared. 
D)  at some other point in the accounting cycle. 
A)  before an entry is recorded in a journal. 
B)  when the entry is posted to the ledger. 
C)  when the trial balance is prepared. 
D)  at some other point in the accounting cycle.

Question 3

Equity is not affected by

Accepted Answer

A)  cash receipts. 
B)  dividends. 
C)  revenues. 
D)  expenses. 
A)  cash receipts. 
B)  dividends. 
C)  revenues. 
D)  expenses.

Question 4

Nominal (temporary) accounts are revenue, expense, and dividend accounts and are periodically closed.

Accepted Answer

A) True 
 B)False

Question 5

A journal entry to record a receipt of rent revenue in advance will include a

Accepted Answer

A)  debit to Rent Revenue. 
B)  credit to Rent Revenue. 
C)  credit to Cash. 
D)  credit to Unearned Rent Revenue. 
A)  debit to Rent Revenue. 
B)  credit to Rent Revenue. 
C)  credit to Cash. 
D)  credit to Unearned Rent Revenue.

Question 6

The double-entry accounting system means

Accepted Answer

A)  Each transaction is recorded with two journal entries. 
B)  Each item is recorded in a journal entry, then in a general ledger account. 
C)  The dual effect of each transaction is recorded with a debit and a credit. 
D)  More than one of the above. 
A)  Each transaction is recorded with two journal entries. 
B)  Each item is recorded in a journal entry, then in a general ledger account. 
C)  The dual effect of each transaction is recorded with a debit and a credit. 
D)  More than one of the above.

Question 7

Under International Financial Reporting Standards (IFRS) the dividends account is considered a real account.

Accepted Answer

A) True 
 B)False

Numerous errors may exist even though the trial balance columns agree. Which of the following is not one of these types of errors?

The debit and credit analysis of a transaction normally takes place

Equity is not affected by

Nominal (temporary) accounts are revenue, expense, and dividend accounts and are periodically closed.

A journal entry to record a receipt of rent revenue in advance will include a

The double-entry accounting system means

Under International Financial Reporting Standards (IFRS) the dividends account is considered a real account.

Financial Reporting and Accounting Standards

Conceptual Framework for Financial Reporting

Income Statement and Related Information

Statement of Financial Position and Statement of Cash Flows

Accounting and the Time Value of Money

Cash and Receivables

Valuation of Inventories: a Cost-Basis Approach

Inventories: Additional Valuation Issues

Acquisition and Disposition of Property, Plant, and Equipment

Depreciation, Impairments, and Depletion

Intangible Assets

Filters

Exam 3: The Accounting Information System

Numerous errors may exist even though the trial balance columns agree. Which of the following is not one of these types of errors?

The debit and credit analysis of a transaction normally takes place

Equity is not affected by

Nominal (temporary) accounts are revenue, expense, and dividend accounts and are periodically closed.

A journal entry to record a receipt of rent revenue in advance will include a

The double-entry accounting system means

Under International Financial Reporting Standards (IFRS) the dividends account is considered a real account.

Financial Reporting and Accounting Standards

Conceptual Framework for Financial Reporting

Income Statement and Related Information

Statement of Financial Position and Statement of Cash Flows

Accounting and the Time Value of Money

Cash and Receivables

Valuation of Inventories: a Cost-Basis Approach

Inventories: Additional Valuation Issues

Acquisition and Disposition of Property, Plant, and Equipment

Depreciation, Impairments, and Depletion

Intangible Assets

Filters