Question 1

Which of the following errors, each considered individually, would cause the trial balance totals to be unequal?

Accepted Answer

A)  A transaction was not posted. 
B)  A payment of $67 for insurance was posted as a debit of $76 to Prepaid Insurance and a credit of $76 to Cash. 
C)  A payment of $4,450 to a creditor was posted as a debit of $4,500 to Accounts Payable and a credit of $450 to Cash. 
D)  Cash received from customers on account was posted as a debit of $720 to Cash and a credit of $720 to Accounts Payable. 
A)  A transaction was not posted. 
B)  A payment of $67 for insurance was posted as a debit of $76 to Prepaid Insurance and a credit of $76 to Cash. 
C)  A payment of $4,450 to a creditor was posted as a debit of $4,500 to Accounts Payable and a credit of $450 to Cash. 
D)  Cash received from customers on account was posted as a debit of $720 to Cash and a credit of $720 to Accounts Payable.

Question 2

Debiting the cash account will increase the account.

Accepted Answer

A) True 
 B)False

Question 3

Record the following selected transactions for April in a two-column journal, identifying each entry by letter:

Accepted Answer

The answer of Record the following selected transactions for April...

Question 4

Which one of the statements below is not a purpose for the journal?

Accepted Answer

A)  to show increases and decreases in accounts 
B)  to show chronological order of transactions 
C)  to show a complete transaction in one place 
D)  to help locate errors 
A)  to show increases and decreases in accounts 
B)  to show chronological order of transactions 
C)  to show a complete transaction in one place 
D)  to help locate errors

Question 5

The stockholders' equity will be reduced by all of the following except

Accepted Answer

A)  revenues 
B)  expenses 
C)  dividends 
D)  all of these 
A)  revenues 
B)  expenses 
C)  dividends 
D)  all of these

Question 6

Which of the following errors could cause the trial balance totals to be unequal?

Accepted Answer

A)  posting the debit portion of a journal entry incorrectly when the credit portion of the entry is correctly posted 
B)  failure to record a transaction or to post a transaction 
C)  recording the same transaction more than once 
D)  recording the same erroneous amount for both the debit and the credit parts of a transaction 
A)  posting the debit portion of a journal entry incorrectly when the credit portion of the entry is correctly posted 
B)  failure to record a transaction or to post a transaction 
C)  recording the same transaction more than once 
D)  recording the same erroneous amount for both the debit and the credit parts of a transaction

Question 7

The following errors took place in journalizing and posting transactions:
a.
Dividends were recorded as a debit to Office Expense and a credit to Cash.
b.
Accounts receivable payment for $7,800 was recorded as a debit to Cash and a credit to Fees Earned.
​
Journalize the entries to correct the errors. Omit the explanations.

Accepted Answer

@#IMG-DLM&_TB2281_00

Question 8

In the chart of accounts, the balance sheet accounts are normally listed in which order?

Accepted Answer

A)  liabilities, assets, stockholders' equity 
B)  assets, liabilities, stockholders' equity 
C)  stockholders' equity, assets, liabilities 
D)  assets, stockholders' equity, liabilities 
A)  liabilities, assets, stockholders' equity 
B)  assets, liabilities, stockholders' equity 
C)  stockholders' equity, assets, liabilities 
D)  assets, stockholders' equity, liabilities

Question 9

The balance of the account can be determined by adding all of the debits, adding all of the credits, and adding the amounts together.

Accepted Answer

A) True 
 B)False

Question 10

The chart of accounts classifies the accounts to make identification of the accounts easier. Describe the numbering system businesses use in setting up the chart of accounts.

Accepted Answer

A chart of accounts is set up by assigni

Question 11

Expenses follow the same debit and credit rules as

Accepted Answer

A)  revenues 
B)  assets 
C)  none of these 
D)  liabilities 
A)  revenues 
B)  assets 
C)  none of these 
D)  liabilities

Question 12

An account is said to have a debit balance if

Accepted Answer

A)  the amount of the debits exceeds the amount of the credits 
B)  there are more entries on the debit side than on the credit side 
C)  there are more entries on the credit side than on the debit side 
D)  the first entry of the accounting period was posted on the debit side 
A)  the amount of the debits exceeds the amount of the credits 
B)  there are more entries on the debit side than on the credit side 
C)  there are more entries on the credit side than on the debit side 
D)  the first entry of the accounting period was posted on the debit side

Question 13

Use the information below to answer the question that follows.
All nine transactions for Ralston Sports Co. for September, the first month of operations, are recorded in the following T accounts:
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   ​
   ​
   ​
   ​
​
-Nebraska Technologies has a condensed income statement as shown:   ​
REQUIRED:
Prepare a horizontal analysis of Nebraska Technologies'income statements. Comment on the trends, both favorable and unfavorable.

Accepted Answer

@#IMG-DLM&_TB2281_00 ​
The trend in sales revenue

Question 14

Prepare a journal entry for the purchase of a truck on April 4 for $85,700, paying $15,000 cash and the remainder on account. Omit explanation.

Accepted Answer

The answer of Prepare a journal entry for the purchase...

Question 15

Which of the following entries records the purchase of common stock by stockholders?

Accepted Answer

A)  debit Common Stock; credit Accounts Receivable 
B)  debit Cash; credit Common Stock 
C)  debit Dividends; credit Cash 
D)  debit Fees Earned; credit Common Stock 
A)  debit Common Stock; credit Accounts Receivable 
B)  debit Cash; credit Common Stock 
C)  debit Dividends; credit Cash 
D)  debit Fees Earned; credit Common Stock

Question 16

Selected accounts from the ledger of Garrison Company appear below. For each account, indicate the following:

Accepted Answer

The answer of Selected accounts from the ledger of Garrison...

Question 17

Which of the following accounts is a stockholders' equity account?

Accepted Answer

A)  Cash 
B)  Accounts Payable 
C)  Prepaid Insurance 
D)  Common Stock 
A)  Cash 
B)  Accounts Payable 
C)  Prepaid Insurance 
D)  Common Stock

Question 18

On December 1, Nikle Company made a cash payment of $200,000 on a note payable that was generated in the purchase of a building and land. Provide the journal entry for this transaction.
​

Accepted Answer

The answer of On December 1, Nikle Company made a...

Question 19

Revenues are equal to the difference between cash receipts and cash payments.

Accepted Answer

A) True 
 B)False

Question 20

Journal entries can have more than two accounts as long as the debits equal the credits.

Accepted Answer

A) True 
 B)False

Which of the following errors, each considered individually, would cause the trial balance totals to be unequal?

Debiting the cash account will increase the account.

Record the following selected transactions for April in a two-column journal, identifying each entry by letter:

Which one of the statements below is not a purpose for the journal?

The stockholders' equity will be reduced by all of the following except

Which of the following errors could cause the trial balance totals to be unequal?

In the chart of accounts, the balance sheet accounts are normally listed in which order?

The balance of the account can be determined by adding all of the debits, adding all of the credits, and adding the amounts together.

The chart of accounts classifies the accounts to make identification of the accounts easier. Describe the numbering system businesses use in setting up the chart of accounts.

Expenses follow the same debit and credit rules as

An account is said to have a debit balance if

Prepare a journal entry for the purchase of a truck on April 4 for $85,700, paying $15,000 cash and the remainder on account. Omit explanation.

Which of the following entries records the purchase of common stock by stockholders?

Selected accounts from the ledger of Garrison Company appear below. For each account, indicate the following:

Which of the following accounts is a stockholders' equity account?

On December 1, Nikle Company made a cash payment of $200,000 on a note payable that was generated in the purchase of a building and land. Provide the journal entry for this transaction.

Revenues are equal to the difference between cash receipts and cash payments.

Journal entries can have more than two accounts as long as the debits equal the credits.

Accounting and Business

Adjustments: Accruals and Deferrals

The Accounting Cycle

Accounting for Retail Businesses

Inventories

Internal Control and Cash

Receivables

Long-Term Assets: Fixed and Intangible

Liabilities: Current, Installment Notes, and Contingencies

Liabilities: Bonds Payable

Corporations: Organization, Stock Transactions, and Dividends

Statement of Cash Flows

Financial Statement Analysis

Investments

Filters

Exam 2: Double-Entry Accounting

Which of the following errors, each considered individually, would cause the trial balance totals to be unequal?

Debiting the cash account will increase the account.

Record the following selected transactions for April in a two-column journal, identifying each entry by letter:

Which one of the statements below is not a purpose for the journal?

The stockholders' equity will be reduced by all of the following except

Which of the following errors could cause the trial balance totals to be unequal?

In the chart of accounts, the balance sheet accounts are normally listed in which order?

The balance of the account can be determined by adding all of the debits, adding all of the credits, and adding the amounts together.

The chart of accounts classifies the accounts to make identification of the accounts easier. Describe the numbering system businesses use in setting up the chart of accounts.

Expenses follow the same debit and credit rules as

An account is said to have a debit balance if

Prepare a journal entry for the purchase of a truck on April 4 for $85,700, paying $15,000 cash and the remainder on account. Omit explanation.

Which of the following entries records the purchase of common stock by stockholders?

Selected accounts from the ledger of Garrison Company appear below. For each account, indicate the following:

Which of the following accounts is a stockholders' equity account?

On December 1, Nikle Company made a cash payment of $200,000 on a note payable that was generated in the purchase of a building and land. Provide the journal entry for this transaction. ​

Revenues are equal to the difference between cash receipts and cash payments.

Journal entries can have more than two accounts as long as the debits equal the credits.

Accounting and Business

Adjustments: Accruals and Deferrals

The Accounting Cycle

Accounting for Retail Businesses

Inventories

Internal Control and Cash

Receivables

Long-Term Assets: Fixed and Intangible

Liabilities: Current, Installment Notes, and Contingencies

Liabilities: Bonds Payable

Corporations: Organization, Stock Transactions, and Dividends

Statement of Cash Flows

Financial Statement Analysis

Investments

Filters

On December 1, Nikle Company made a cash payment of $200,000 on a note payable that was generated in the purchase of a building and land. Provide the journal entry for this transaction.