Question 1

Each entry in the journal affects two or more accounts.

Accepted Answer

A) True 
 B)False  True

Question 2

Transactions and journal entries are shown below. Read the transaction and determine if the correct journal entry
has been made. If a correction is necessary, prepare a correcting entry.

Accepted Answer

​   ​

Question 3

Posting from the journal to the ledger does NOT involve which of the following steps?

Accepted Answer

A)  Enter the date of each transaction in the accounts. 
B)  Enter the amount of each transaction in the accounts. 
C)  Enter the page of the journal from which each transaction is posted in the accounts. 
D)  Enter the description of the entry. 
A)  Enter the date of each transaction in the accounts. 
B)  Enter the amount of each transaction in the accounts. 
C)  Enter the page of the journal from which each transaction is posted in the accounts. 
D)  Enter the description of the entry. D

Question 4

If the owner of a company invested cash in a business enterprise, the transaction would include

Accepted Answer

A)  debiting Cash and crediting Capital. 
B)  debiting Capital and crediting Cash. 
C)  debiting Cash and crediting Revenue. 
D)  debiting Revenue and crediting Cash. 
A)  debiting Cash and crediting Capital. 
B)  debiting Capital and crediting Cash. 
C)  debiting Cash and crediting Revenue. 
D)  debiting Revenue and crediting Cash.

Question 5

A separate line in the two-column journal should be used for each account title.

Accepted Answer

A) True 
 B)False

Question 6

The accounts in the chart of accounts are arranged in

Accepted Answer

A)  alphabetical order. 
B)  numerical order. 
C)  chronological order. 
D)  the order they are created. 
A)  alphabetical order. 
B)  numerical order. 
C)  chronological order. 
D)  the order they are created.

Question 7

Match the terms with the definitions.
-​An entry to change an incorrect entry that has been journalized and posted to the wrong account.

Accepted Answer

A) book of original entry 
B) chart of accounts 
C) compound entry 
D) correcting entry 
E) cross-reference
F)four-column account
G)general ledger
H)journal
I)journalizing
J)posting
K)ruling method
L)slide error
M)source document
N)transposition error
O)trial balance 
A) book of original entry 
B) chart of accounts 
C) compound entry 
D) correcting entry 
E) cross-reference
F)four-column account
G)general ledger
H)journal
I)journalizing
J)posting
K)ruling method
L)slide error
M)source document
N)transposition error
O)trial balance

Question 8

If cash is paid for worker salaries, the transaction includes

Accepted Answer

A)  debiting Salaries Expense and crediting Cash. 
B)  debiting Salaries Expense and crediting Accounts Payable. 
C)  debiting Salaries Expense and crediting Capital. 
D)  debiting Cash and crediting Salaries Expense. 
A)  debiting Salaries Expense and crediting Cash. 
B)  debiting Salaries Expense and crediting Accounts Payable. 
C)  debiting Salaries Expense and crediting Capital. 
D)  debiting Cash and crediting Salaries Expense.

Question 9

Forms and papers that provide information about a business transaction are called

Accepted Answer

A)  ledgers. 
B)  accounts. 
C)  source documents. 
D)  journals. 
A)  ledgers. 
B)  accounts. 
C)  source documents. 
D)  journals.

Question 10

The chart of accounts includes assets, liabilities, and owner's equity accounts only.

Accepted Answer

A) True 
 B)False

Question 11

Sales revenue received in cash is entered by

Accepted Answer

A)  debiting Cash and crediting Sales Revenue. 
B)  debiting Sales Revenue and crediting Cash. 
C)  debiting Cash and crediting Accounts Payable. 
D)  debiting Accounts Payable and crediting Cash. 
A)  debiting Cash and crediting Sales Revenue. 
B)  debiting Sales Revenue and crediting Cash. 
C)  debiting Cash and crediting Accounts Payable. 
D)  debiting Accounts Payable and crediting Cash.

Question 12

A complete set of all the accounts used by a business is known as the general ledger.

Accepted Answer

A) True 
 B)False

Question 13

Match the terms with the definitions.
-Contains columns for the debit or credit transactions and columns for the debit or credit running balance. In addition, there are columns for the date, description of the item, and posting reference.

Accepted Answer

A) book of original entry 
B) chart of accounts 
C) compound entry 
D) correcting entry 
E) cross-reference
F)four-column account
G)general ledger
H)journal
I)journalizing
J)posting
K)ruling method
L)slide error
M)source document
N)transposition error
O)trial balance 
A) book of original entry 
B) chart of accounts 
C) compound entry 
D) correcting entry 
E) cross-reference
F)four-column account
G)general ledger
H)journal
I)journalizing
J)posting
K)ruling method
L)slide error
M)source document
N)transposition error
O)trial balance

Question 14

A chronological record of financial transactions expressed as debits and credits to accounts is provided by the

Accepted Answer

A)  ledger. 
B)  journal. 
C)  balance sheet. 
D)  trial balance. 
A)  ledger. 
B)  journal. 
C)  balance sheet. 
D)  trial balance.

Question 15

The Posting Reference column of the journal provides a cross-reference between the

Accepted Answer

A)  ledger and accounts. 
B)  journal and ledger. 
C)  ledger and financial statements. 
D)  journal and financial statements. 
A)  ledger and accounts. 
B)  journal and ledger. 
C)  ledger and financial statements. 
D)  journal and financial statements.

Question 16

Match the terms with the definitions.
-​A day-by-day listing of the transactions of a business.

Accepted Answer

A) book of original entry 
B) chart of accounts 
C) compound entry 
D) correcting entry 
E) cross-reference
F)four-column account
G)general ledger
H)journal
I)journalizing
J)posting
K)ruling method
L)slide error
M)source document
N)transposition error
O)trial balance 
A) book of original entry 
B) chart of accounts 
C) compound entry 
D) correcting entry 
E) cross-reference
F)four-column account
G)general ledger
H)journal
I)journalizing
J)posting
K)ruling method
L)slide error
M)source document
N)transposition error
O)trial balance

Question 17

Match the terms with the definitions.
-​An entry requiring more than one debit and/or one credit.

Accepted Answer

A) book of original entry 
B) chart of accounts 
C) compound entry 
D) correcting entry 
E) cross-reference
F)four-column account
G)general ledger
H)journal
I)journalizing
J)posting
K)ruling method
L)slide error
M)source document
N)transposition error
O)trial balance 
A) book of original entry 
B) chart of accounts 
C) compound entry 
D) correcting entry 
E) cross-reference
F)four-column account
G)general ledger
H)journal
I)journalizing
J)posting
K)ruling method
L)slide error
M)source document
N)transposition error
O)trial balance

Question 18

Prepare general journal entries to record the following transactions. Omit explanations.
​
Jan. 3
Paid office rent, $1,600.
4
Bought a truck costing $50,000, making a down payment of $7,000.
6
Paid wages, $3,000.
7
Received $16,000 cash from customers for services performeD.10
Paid $4,100 owed on last month's bills.
12
Billed credit customers, $5,300.
17
Received $1,800 from credit customers.
19
Taylor Gordon, the owner, withdrew $1,700.
23
Paid $700 on amount owed for truck.
29 
Received bill for utilities expense, $255.
​

Accepted Answer

The answer of Prepare general journal entries to record the...

Question 19

Cash is used to pay for a car for personal use by the owner. The transaction includes

Accepted Answer

A)  debiting Cash and crediting Drawing. 
B)  debiting Drawing and crediting Cash. 
C)  debiting Capital and crediting Cash. 
D)  debiting Car Expense and crediting Cash. 
A)  debiting Cash and crediting Drawing. 
B)  debiting Drawing and crediting Cash. 
C)  debiting Capital and crediting Cash. 
D)  debiting Car Expense and crediting Cash.

Question 20

A list of all accounts (account titles) used by a business is called a(n) ____________________.

Accepted Answer

The answer of A list of all accounts (account titles)...

Exam 4: Journalizing and Posting Transactions

Each entry in the journal affects two or more accounts.

Transactions and journal entries are shown below. Read the transaction and determine if the correct journal entry has been made. If a correction is necessary, prepare a correcting entry.

Posting from the journal to the ledger does NOT involve which of the following steps?

If the owner of a company invested cash in a business enterprise, the transaction would include

A separate line in the two-column journal should be used for each account title.

The accounts in the chart of accounts are arranged in

Match the terms with the definitions. -​An entry to change an incorrect entry that has been journalized and posted to the wrong account.

If cash is paid for worker salaries, the transaction includes

Forms and papers that provide information about a business transaction are called

The chart of accounts includes assets, liabilities, and owner's equity accounts only.

Sales revenue received in cash is entered by

A complete set of all the accounts used by a business is known as the general ledger.

Match the terms with the definitions. -Contains columns for the debit or credit transactions and columns for the debit or credit running balance. In addition, there are columns for the date, description of the item, and posting reference.

A chronological record of financial transactions expressed as debits and credits to accounts is provided by the

The Posting Reference column of the journal provides a cross-reference between the

Match the terms with the definitions. -​A day-by-day listing of the transactions of a business.

Match the terms with the definitions. -​An entry requiring more than one debit and/or one credit.

Cash is used to pay for a car for personal use by the owner. The transaction includes

A list of all accounts (account titles) used by a business is called a(n) ____________________.

Introduction to Accounting

Analyzing Transactions: the Accounting Equation

The Double-Entry Framework

Adjusting Entries and the Work Sheet

Financial Statements and the Closing Process

Accounting for Cash

Payroll Accounting: Employee Earnings and Deductions

Payroll Accounting: Employer Taxes and Reports

Accounting for Sales and Cash Receipts

Accounting for Purchases and Cash Payments

Special Journals

Accounting for Merchandise Inventory

Adjustments and the Work Sheet for a Merchandising Business

Financial Statements and Year-End Accounting for a Merchandising Business

Accounting for Accounts Receivable

Accounting for Notes and Interest

Accounting for Long-Term Assets

Accounting for Partnerships

Corporations: Organization and Capital Stocks

Corporations: Earnings, Taxes, Distributions, and the Retained Earnings Statement

Corporations: Bonds

Statement of Cash Flows

Analysis of Financial Statements

Departmental Accounting

Manufacturing Accounting: The Job Order Cost System

Manufacturing Accounting: The Work Sheet and Financial Statements

Filters

Match the terms with the definitions. -An entry to change an incorrect entry that has been journalized and posted to the wrong account.

Match the terms with the definitions. -A day-by-day listing of the transactions of a business.

Match the terms with the definitions. -An entry requiring more than one debit and/or one credit.