Question 1

Accounts payable are accounts that you expect will be paid to you.

Accepted Answer

A) True 
 B)False

Question 2

Which statement(s) concerning cash is (are) true?

Accepted Answer

A)  cash will always have more debits than credits 
B)  cash will never have a credit balance 
C)  cash is increased with a debit 
D)  all are true
​ 
A)  cash will always have more debits than credits 
B)  cash will never have a credit balance 
C)  cash is increased with a debit 
D)  all are true
​

Question 3

For a month's transactions for a typical medium-sized business, the accounts payable account is likely to have only credit entries.

Accepted Answer

A) True 
 B)False

Question 4

Which of the following balances is always due to an error?

Accepted Answer

A)  Office Equipment - credit balance of $500 
B)  Retained Earnings - debit balance of $1,000 
C)  Dividends - debit balance of $2,500 
D)  Accounts Payable - debit balance of $600 
A)  Office Equipment - credit balance of $500 
B)  Retained Earnings - debit balance of $1,000 
C)  Dividends - debit balance of $2,500 
D)  Accounts Payable - debit balance of $600

Question 5

All of the following statements regarding a horizontal analysis are true except:

Accepted Answer

A)  A horizontal analysis is used to compare an item in a current statement with the same item in prior statements. 
B)  A horizontal analysis can be performed on a balance sheet and income statement, but not on a statement of cash flows. 
C)  If Fees Earned in Year 1 is $125,000 and Fees Earned in Year 2 is $143,750, a horizontal analysis will indicate a 15% increase over this period. 
D)  When two statements are compared in horizontal analysis, the earlier statement is used as the base for computing the amount and the percent of change. 
A)  A horizontal analysis is used to compare an item in a current statement with the same item in prior statements. 
B)  A horizontal analysis can be performed on a balance sheet and income statement, but not on a statement of cash flows. 
C)  If Fees Earned in Year 1 is $125,000 and Fees Earned in Year 2 is $143,750, a horizontal analysis will indicate a 15% increase over this period. 
D)  When two statements are compared in horizontal analysis, the earlier statement is used as the base for computing the amount and the percent of change.

Question 6

On November 10, JumpStart Co. provides $2,900 in services to clients. At the time of service, the clients paid $600 in cash and put the balance on account.
(a) Journalize this event.
​
(b) On November 20, JumpStart Co. clients paid an additional $900 on their accounts due. Journalize this event.
​
(c) Calculate the accounts receivable balance on November 30.

Accepted Answer

@#IMG-DLM&_TB2281_00

Question 7

Which group of accounts is composed of only assets?

Accepted Answer

A)  Cash, Accounts Payable, Buildings 
B)  Accounts Receivable, Revenue, Cash 
C)  Prepaid Expenses, Buildings, Patents 
D)  Unearned Revenues, Prepaid Expenses, Cash 
A)  Cash, Accounts Payable, Buildings 
B)  Accounts Receivable, Revenue, Cash 
C)  Prepaid Expenses, Buildings, Patents 
D)  Unearned Revenues, Prepaid Expenses, Cash

Question 8

Of the following, which is an internal report that will determine if the total of the debit balances equal the total of the credit balances in the ledger?

Accepted Answer

A)  chart of accounts 
B)  income statement 
C)  trial balance 
D)  horizontal analysis 
A)  chart of accounts 
B)  income statement 
C)  trial balance 
D)  horizontal analysis

Question 9

Richardson Company has a condensed income statement as shown.   
 Using horizontal analysis, calculate the amount and percent change for sales. Round percentages to one decimal place.

Accepted Answer

A)  $15,500, 19.6% 
B)  ($15,500), (10.3%) 
C)  $15,500, 10.3% 
D)  ($15,500), (9.4%) 
A)  $15,500, 19.6% 
B)  ($15,500), (10.3%) 
C)  $15,500, 10.3% 
D)  ($15,500), (9.4%)

Question 10

Which of the following accounts would be increased with a credit?

Accepted Answer

A)  Land; Accounts Payable; Dividends 
B)  Accounts Payable; Unearned Revenue; Common Stock 
C)  Dividends; Accounts Receivable; Unearned Revenue 
D)  Cash; Accounts Receivable; Common Stock 
A)  Land; Accounts Payable; Dividends 
B)  Accounts Payable; Unearned Revenue; Common Stock 
C)  Dividends; Accounts Receivable; Unearned Revenue 
D)  Cash; Accounts Receivable; Common Stock

Question 11

Organize the following accounts into the usual sequence of a chart of accounts.

Miscellaneous Expense
Accounts Payable
Accounts Receivable
Cash
Common Stock
Fees Earned
Prepaid Rent
Salaries Expense
Unearned Revenue
Dividends

Accepted Answer

Cash
Accounts Receivable
Prepa

Question 12

Liabilities are debts owed by the business entity.

Accepted Answer

A) True 
 B)False

Question 13

The Posting Reference columns are used to trace transactions from the accounts to the journal. What will be entered in the Posting Reference column of (1) the journal and (2) the account?

Accepted Answer

A)  (1) the amount of the debit or credit and (2) the journal page number 
B)  (1) the journal page number and (2) the date of the transaction 
C)  (1) the journal page number and (2) the account number 
D)  (1) the account number and (2) the journal page number 
A)  (1) the amount of the debit or credit and (2) the journal page number 
B)  (1) the journal page number and (2) the date of the transaction 
C)  (1) the journal page number and (2) the account number 
D)  (1) the account number and (2) the journal page number

Question 14

Of the following, which is true about assets?

Accepted Answer

A)  Assets include both physical and intangible items. 
B)  Assets include only physical items. 
C)  Assets are the personal property of the stockholders of the company. 
D)  Assets are not increased as a result of selling products or services to customers. 
A)  Assets include both physical and intangible items. 
B)  Assets include only physical items. 
C)  Assets are the personal property of the stockholders of the company. 
D)  Assets are not increased as a result of selling products or services to customers.

Question 15

Which of the following will increase stockholders' equity?

Accepted Answer

A)  ​expenses > revenues 
B)  ​the company pays dividends 
C)  ​revenues > expenses 
D)  ​cash is received from customers on account 
A)  ​expenses > revenues 
B)  ​the company pays dividends 
C)  ​revenues > expenses 
D)  ​cash is received from customers on account

Question 16

Office supplies purchased by Janer's Cleaning Service on account were returned. The office supplies had not yet been paid for. Which of the following entries for Janer's Cleaning Service records this transaction?

Accepted Answer

A)  Cash, debit; Office Supplies, credit 
B)  Office Supplies, debit; Accounts Receivable, credit 
C)  Accounts Payable, debit; Office Supplies, credit 
D)  Office Supplies, debit; Accounts Payable, credit 
A)  Cash, debit; Office Supplies, credit 
B)  Office Supplies, debit; Accounts Receivable, credit 
C)  Accounts Payable, debit; Office Supplies, credit 
D)  Office Supplies, debit; Accounts Payable, credit

Question 17

Answer the following questions for each of the errors listed below, considered individually:   ​
Present your answers in columnar form, using the following headings:   Errors:

Accepted Answer

The answer of Answer the following questions for each of...

Question 18

The chart of accounts for the Miguel Company includes the following:   
 Page 3 of the journal contains the following transaction:
   
-What is the posting reference that will be found in the prepaid insurance account?

Accepted Answer

A)  11 
B)  15 
C)  3 
D)  13 
A)  11 
B)  15 
C)  3 
D)  13

Question 19

All stockholders' equity accounts record increases to the accounts with credits.

Accepted Answer

A) True 
 B)False

Question 20

The chart of accounts for the Miguel Company includes the following:   
 Page 3 of the journal contains the following transaction:
   
-What is the posting reference that will be found in the cash account?

Accepted Answer

A)  11 
B)  15 
C)  3 
D)  13 
A)  11 
B)  15 
C)  3 
D)  13

Accounts payable are accounts that you expect will be paid to you.

Which statement(s) concerning cash is (are) true?

For a month's transactions for a typical medium-sized business, the accounts payable account is likely to have only credit entries.

Which of the following balances is always due to an error?

All of the following statements regarding a horizontal analysis are true except:

Which group of accounts is composed of only assets?

Of the following, which is an internal report that will determine if the total of the debit balances equal the total of the credit balances in the ledger?

Richardson Company has a condensed income statement as shown. Using horizontal analysis, calculate the amount and percent change for sales. Round percentages to one decimal place.

Which of the following accounts would be increased with a credit?

Organize the following accounts into the usual sequence of a chart of accounts. Miscellaneous Expense Accounts Payable Accounts Receivable Cash Common Stock Fees Earned Prepaid Rent Salaries Expense Unearned Revenue Dividends

Liabilities are debts owed by the business entity.

The Posting Reference columns are used to trace transactions from the accounts to the journal. What will be entered in the Posting Reference column of (1) the journal and (2) the account?

Of the following, which is true about assets?

Which of the following will increase stockholders' equity?

Office supplies purchased by Janer's Cleaning Service on account were returned. The office supplies had not yet been paid for. Which of the following entries for Janer's Cleaning Service records this transaction?

Answer the following questions for each of the errors listed below, considered individually: Present your answers in columnar form, using the following headings: Errors:

The chart of accounts for the Miguel Company includes the following: Page 3 of the journal contains the following transaction: -What is the posting reference that will be found in the prepaid insurance account?

All stockholders' equity accounts record increases to the accounts with credits.

The chart of accounts for the Miguel Company includes the following: Page 3 of the journal contains the following transaction: -What is the posting reference that will be found in the cash account?

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

Accounts payable are accounts that you expect will be paid to you.

Which statement(s) concerning cash is (are) true?

For a month's transactions for a typical medium-sized business, the accounts payable account is likely to have only credit entries.

Which of the following balances is always due to an error?

All of the following statements regarding a horizontal analysis are true except:

Which group of accounts is composed of only assets?

Of the following, which is an internal report that will determine if the total of the debit balances equal the total of the credit balances in the ledger?

Richardson Company has a condensed income statement as shown. Using horizontal analysis, calculate the amount and percent change for sales. Round percentages to one decimal place.

Which of the following accounts would be increased with a credit?

Organize the following accounts into the usual sequence of a chart of accounts. Miscellaneous Expense Accounts Payable Accounts Receivable Cash Common Stock Fees Earned Prepaid Rent Salaries Expense Unearned Revenue Dividends

Liabilities are debts owed by the business entity.

The Posting Reference columns are used to trace transactions from the accounts to the journal. What will be entered in the Posting Reference column of (1) the journal and (2) the account?

Of the following, which is true about assets?

Which of the following will increase stockholders' equity?

Office supplies purchased by Janer's Cleaning Service on account were returned. The office supplies had not yet been paid for. Which of the following entries for Janer's Cleaning Service records this transaction?

Answer the following questions for each of the errors listed below, considered individually: ​ Present your answers in columnar form, using the following headings: Errors:

The chart of accounts for the Miguel Company includes the following: Page 3 of the journal contains the following transaction: -What is the posting reference that will be found in the prepaid insurance account?

All stockholders' equity accounts record increases to the accounts with credits.

The chart of accounts for the Miguel Company includes the following: Page 3 of the journal contains the following transaction: -What is the posting reference that will be found in the cash account?

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

Answer the following questions for each of the errors listed below, considered individually: Present your answers in columnar form, using the following headings: Errors: