Question 1

List and briefly discuss the three major components of stockholders' equity.

Accepted Answer

1.Common stock - This shows the owners'

Question 2

The account is the basic summary device of accounting.

Accepted Answer

A) True 
 B)False

Question 3

Prepare the necessary journal entry(ies)for the following transactions:
Feb 10,2019: Jones Consulting performed services for clients.These clients were billed $2,500.
March 8,2019: Jones received full payment from these clients.

Accepted Answer

The answer of Prepare the necessary journal entry(ies)for the following...

Question 4

Cost of goods sold is an example of a revenue account.

Accepted Answer

A) True 
 B)False

Question 5

Paying a repair bill as soon as it was received would:

Accepted Answer

A) increase expenses. 
B) increase liabilities. 
C) increase stockholders' equity. 
D) decrease revenues. 
A) increase expenses. 
B) increase liabilities. 
C) increase stockholders' equity. 
D) decrease revenues.

Question 6

Which account includes balances in multiple checking accounts?

Accepted Answer

A) Accounts Receivable 
B) Notes Receivable 
C) Cash 
D) Prepaid Expenses 
A) Accounts Receivable 
B) Notes Receivable 
C) Cash 
D) Prepaid Expenses

Question 7

Which of the following items would NOT be included in the journal entry for a transaction?

Accepted Answer

A) the names of the employees involved in recording the transaction 
B) the date the transaction occurred 
C) the titles of the accounts debited 
D) the dollar amount of the transaction 
A) the names of the employees involved in recording the transaction 
B) the date the transaction occurred 
C) the titles of the accounts debited 
D) the dollar amount of the transaction

Question 8

Every business transaction involves at least one debit and at least one credit.

Accepted Answer

A) True 
 B)False

Question 9

A company incorrectly recorded a receipt of cash on account.Accounts Receivable was debited for $1,400 and Cash was credited for $1,400.Is the trial balance out of balance?

Accepted Answer

A) No. 
B) Yes,by $1,400. 
C) Yes,by $2,800. 
D) Yes,by $4,200. 
A) No. 
B) Yes,by $1,400. 
C) Yes,by $2,800. 
D) Yes,by $4,200.

Question 10

Posting is the process of copying data from the ledger to the journal.

Accepted Answer

A) True 
 B)False

Question 11

Prepaid rent is an expense because the payment provides a future benefit of the company.

Accepted Answer

A) True 
 B)False

Question 12

When a company borrows money (cash)from the bank,which type of account(s)is(are)increased?

Accepted Answer

A) asset account only 
B) retained earnings only 
C) liability account only 
D) both asset and liability accounts 
A) asset account only 
B) retained earnings only 
C) liability account only 
D) both asset and liability accounts

Question 13

Accounts are listed in random order in a trial balance.

Accepted Answer

A) True 
 B)False

Question 14

Which accounts are increased by debits?

Accepted Answer

A) Cash and Accounts Payable. 
B) Salaries Expense and Common Stock. 
C) Accounts Receivable and Utilities Expense. 
D) Accounts Payable and Service Revenue. 
A) Cash and Accounts Payable. 
B) Salaries Expense and Common Stock. 
C) Accounts Receivable and Utilities Expense. 
D) Accounts Payable and Service Revenue.

Question 15

Which of the following is a CORRECT statement about a chart of accounts?

Accepted Answer

A) It lists the income statement accounts first. 
B) It can be used to determine the balance in an account. 
C) It is a tool used by accountants to help prepare the financial statements. 
D) It lists the balance sheet accounts first. 
A) It lists the income statement accounts first. 
B) It can be used to determine the balance in an account. 
C) It is a tool used by accountants to help prepare the financial statements. 
D) It lists the balance sheet accounts first.

Question 16

The journal is the book of original entry.

Accepted Answer

A) True 
 B)False

Question 17

All of the following accounts would be considered assets EXCEPT for:

Accepted Answer

A) Cash. 
B) Retained Earnings. 
C) Prepaid Expenses. 
D) Notes Receivable. 
A) Cash. 
B) Retained Earnings. 
C) Prepaid Expenses. 
D) Notes Receivable.

Question 18

A company posted a $8,000 debit to Cash as $800.The credit of $8,000 to Service Revenue in the entry was posted correctly.Is the trial balance out of balance?

Accepted Answer

A) No. 
B) Yes,by $800. 
C) Yes,by $7,200. 
D) Yes,by $8,000. 
A) No. 
B) Yes,by $800. 
C) Yes,by $7,200. 
D) Yes,by $8,000.

Question 19

When listing the accounts on the trial balance,list the ________ accounts first and then the ________ accounts.

Accepted Answer

A) income statement;cash flow statement 
B) asset;liability 
C) income statement;balance sheet 
D) revenues;stockholders' equity 
A) income statement;cash flow statement 
B) asset;liability 
C) income statement;balance sheet 
D) revenues;stockholders' equity

Question 20

Assets include cash,land,and accounts payable.

Accepted Answer

A) True 
 B)False

List and briefly discuss the three major components of stockholders' equity.

The account is the basic summary device of accounting.

Prepare the necessary journal entry(ies)for the following transactions: Feb 10,2019: Jones Consulting performed services for clients.These clients were billed $2,500. March 8,2019: Jones received full payment from these clients.

Cost of goods sold is an example of a revenue account.

Paying a repair bill as soon as it was received would:

Which account includes balances in multiple checking accounts?

Which of the following items would NOT be included in the journal entry for a transaction?

Every business transaction involves at least one debit and at least one credit.

A company incorrectly recorded a receipt of cash on account.Accounts Receivable was debited for $1,400 and Cash was credited for $1,400.Is the trial balance out of balance?

Posting is the process of copying data from the ledger to the journal.

Prepaid rent is an expense because the payment provides a future benefit of the company.

When a company borrows money (cash)from the bank,which type of account(s)is(are)increased?

Accounts are listed in random order in a trial balance.

Which accounts are increased by debits?

Which of the following is a CORRECT statement about a chart of accounts?

The journal is the book of original entry.

All of the following accounts would be considered assets EXCEPT for:

A company posted a $8,000 debit to Cash as $800.The credit of $8,000 to Service Revenue in the entry was posted correctly.Is the trial balance out of balance?

When listing the accounts on the trial balance,list the accounts first and then the accounts.

Assets include cash,land,and accounts payable.

The Financial Statements

Accrual Accounting Income

Internal Control Cash

Receivables and Revenue

Inventory Cost of Goods Sold

Plant Assets, natural Resources, Intangibles

Current and Contingent Liabilities

Long-Term Liabilities

Stockholders Equity

The Statement of Cash Flows

Financial Statement Analysis

Investments

Time Value of Money

Filters

Exam 2: Transaction Analysis

List and briefly discuss the three major components of stockholders' equity.

The account is the basic summary device of accounting.

Prepare the necessary journal entry(ies)for the following transactions: Feb 10,2019: Jones Consulting performed services for clients.These clients were billed $2,500. March 8,2019: Jones received full payment from these clients.

Cost of goods sold is an example of a revenue account.

Paying a repair bill as soon as it was received would:

Which account includes balances in multiple checking accounts?

Which of the following items would NOT be included in the journal entry for a transaction?

Every business transaction involves at least one debit and at least one credit.

A company incorrectly recorded a receipt of cash on account.Accounts Receivable was debited for $1,400 and Cash was credited for $1,400.Is the trial balance out of balance?

Posting is the process of copying data from the ledger to the journal.

Prepaid rent is an expense because the payment provides a future benefit of the company.

When a company borrows money (cash)from the bank,which type of account(s)is(are)increased?

Accounts are listed in random order in a trial balance.

Which accounts are increased by debits?

Which of the following is a CORRECT statement about a chart of accounts?

The journal is the book of original entry.

All of the following accounts would be considered assets EXCEPT for:

A company posted a $8,000 debit to Cash as $800.The credit of $8,000 to Service Revenue in the entry was posted correctly.Is the trial balance out of balance?

When listing the accounts on the trial balance,list the ________ accounts first and then the ________ accounts.

Assets include cash,land,and accounts payable.

The Financial Statements

Accrual Accounting Income

Internal Control Cash

Receivables and Revenue

Inventory Cost of Goods Sold

Plant Assets, natural Resources, Intangibles

Current and Contingent Liabilities

Long-Term Liabilities

Stockholders Equity

The Statement of Cash Flows

Financial Statement Analysis

Investments

Time Value of Money

Filters

When listing the accounts on the trial balance,list the accounts first and then the accounts.