Question 1

E. Elijah, owner, withdrew $3,000 for personal use. The accountant would record the following journal entry:

Accepted Answer

A) 
$\begin{array} { l l } 
\text { Cash } & \$ 3,000 \
\text { E. Elijah, Capital } & \$ 3,000
\end{array}$ 
B) 
Income from Services $\quad\$ 3,000$
Cash$\quad\$ 3,000$ 
C)  
E. Elijah, Drawing $\quad \$ 3,000$ 
Cash$\quad\$ 3,000$ 
D)  
$\begin{array} { l r } 
\text { Wages Expense } & \$ 3,000 \
\text { Cash } & \$ 3,000
\end{array}$ 
A) 
$\begin{array} { l l } 
\text { Cash } & \$ 3,000 \
\text { E. Elijah, Capital } & \$ 3,000
\end{array}$ 
B) 
Income from Services $\quad\$ 3,000$
Cash$\quad\$ 3,000$ 
C)  
E. Elijah, Drawing $\quad \$ 3,000$ 
Cash$\quad\$ 3,000$ 
D)  
$\begin{array} { l r } 
\text { Wages Expense } & \$ 3,000 \
\text { Cash } & \$ 3,000
\end{array}$

Question 2

List and explain the two methods for correcting errors in accounting records.

Accepted Answer

The ruling method is used to correct an

Question 3

Match the terms below with the correct definitions.
-Business papers supporting transactions

Accepted Answer

A) Chart of accounts 
B) Journalizing 
C) General ledger account 
D) General ledger 
E) Journal
F)Source documents
G)Posting
H)Account number
I)General journal
J)Cost principle 
A) Chart of accounts 
B) Journalizing 
C) General ledger account 
D) General ledger 
E) Journal
F)Source documents
G)Posting
H)Account number
I)General journal
J)Cost principle

Question 4

Apple Company purchased $6,000 in equipment, paying $2,000 in cash and placing the remainder on account. The accountant would record the following journal entry:

Accepted Answer

A)  
$\begin{array} { l r } 
\text { Cash } & \$ 8,000 \
\text { Equipment } & \$ 8,000
\end{array}$ 
B)  
$\begin{array} { l r } 
\text { Equipment } & \$ 6,000 \
\text { Cash } & \$ 6,000
\end{array}$ 
C)  
$\begin{array} { l r } 
\text { Equipment } & \$ 8,000 \
\text { Accounts Payable } & \$ 8,000
\end{array}$ 
D)  
$\begin{array} { l c } 
\text { Equipment Expense } & \$ 8,000 \
\text { Accounts Payable } & \$ 6,000 \
\text { Cash } & \$ 2,000
\end{array}$ 
E)  
$\begin{array} { l r } 
\text { Equipment } & \$ 6,000 \
\text { Accounts Payable } & \$ 4,000 \
\text { Cash } & \$ 2,000
\end{array}$ 
A)  
$\begin{array} { l r } 
\text { Cash } & \$ 8,000 \
\text { Equipment } & \$ 8,000
\end{array}$ 
B)  
$\begin{array} { l r } 
\text { Equipment } & \$ 6,000 \
\text { Cash } & \$ 6,000
\end{array}$ 
C)  
$\begin{array} { l r } 
\text { Equipment } & \$ 8,000 \
\text { Accounts Payable } & \$ 8,000
\end{array}$ 
D)  
$\begin{array} { l c } 
\text { Equipment Expense } & \$ 8,000 \
\text { Accounts Payable } & \$ 6,000 \
\text { Cash } & \$ 2,000
\end{array}$ 
E)  
$\begin{array} { l r } 
\text { Equipment } & \$ 6,000 \
\text { Accounts Payable } & \$ 4,000 \
\text { Cash } & \$ 2,000
\end{array}$

Question 5

Munoz Company had the following account balances as of December 31.
 Cash $15,000
Equipment $7,000
Accounts Payable $4,200
R. Munoz, Capital $10,300
R. Munoz, Drawing $3,000
Income from Services $18,500
Rent Expense $6,000
Salaries Expense $2,000
What is the credit balance of the trial balance?

Accepted Answer

A)  $28,800 
B)  $33,000 
C)  $25,500 
D)  $17,800 
A)  $28,800 
B)  $33,000 
C)  $25,500 
D)  $17,800

Question 6

Cave Man Company received cash revenue, $3,500. The accountant would record the following journal entry:

Accepted Answer

A)  
$\begin{array} { l c } 
\text { Cash } & \$ 3,500 \
\text { C. Man, Capital } & \$ 3,500
\end{array}$ 
B)  
Income from Services $\quad\$ 3,500$
Cash$\quad\$ 3,500$ 
C)  
Cash$\quad\$ 3,500$
Income from Services $\quad\$ 3,500$ 
D)  
$\begin{array} { l l } 
\text { Cash } &\$ 3,500\
\text { Accounts Receivable } & \$ 3,500 \
\end{array}$ 
A)  
$\begin{array} { l c } 
\text { Cash } & \$ 3,500 \
\text { C. Man, Capital } & \$ 3,500
\end{array}$ 
B)  
Income from Services $\quad\$ 3,500$
Cash$\quad\$ 3,500$ 
C)  
Cash$\quad\$ 3,500$
Income from Services $\quad\$ 3,500$ 
D)  
$\begin{array} { l l } 
\text { Cash } &\$ 3,500\
\text { Accounts Receivable } & \$ 3,500 \
\end{array}$

Question 7

The proof that the debits and credits in the ledger are equal is called the

Accepted Answer

A)  trial balance. 
B)  journal. 
C)  statement of owner's equity. 
D)  income statement. 
E)  balance sheet. 
A)  trial balance. 
B)  journal. 
C)  statement of owner's equity. 
D)  income statement. 
E)  balance sheet.

Question 8

Avila Company paid $500 on account for rent expenses. Which of the following journal entries is recorded by the company's accountant?

Accepted Answer

A)  
$\begin{array} { l c } 
\text { Cash } & \$ 500 \
\text { Rent Payable } & \$ 500
\end{array}$ 
B) 
Accounts Receivable $\quad\$ 500$
Cash $\quad \$ 500$ 
C)  
Accounts Payable $\quad \$ 500$ 
Cash $\quad \$ 500$ 
D)  
$\begin{array} { l r } 
\text { Rent Expense } & \$ 500 \
\text { Cash } & \$ 500
\end{array}$ 
A)  
$\begin{array} { l c } 
\text { Cash } & \$ 500 \
\text { Rent Payable } & \$ 500
\end{array}$ 
B) 
Accounts Receivable $\quad\$ 500$
Cash $\quad \$ 500$ 
C)  
Accounts Payable $\quad \$ 500$ 
Cash $\quad \$ 500$ 
D)  
$\begin{array} { l r } 
\text { Rent Expense } & \$ 500 \
\text { Cash } & \$ 500
\end{array}$

Question 9

What determines the method you would use to correct an error in the accounting records?

Accepted Answer

The method for correcting errors depends

Question 10

Quick Lab Company received cash on account from patients. The transaction would involve a

Accepted Answer

A)  credit to Income from Services. 
B)  debit to Income from Services. 
C)  credit to Accounts Receivable. 
D)  credit to Cash. 
A)  credit to Income from Services. 
B)  debit to Income from Services. 
C)  credit to Accounts Receivable. 
D)  credit to Cash.

Question 11

Patrick Services paid the office rent for the current month. The transaction would involve a

Accepted Answer

A)  debit to Cash. 
B)  debit to Rent Expense. 
C)  credit to Rent Payable. 
D)  credit to Prepaid Rent. 
A)  debit to Cash. 
B)  debit to Rent Expense. 
C)  credit to Rent Payable. 
D)  credit to Prepaid Rent.

Question 12

The Item column in the ledger is mostly used at the end of a financial period to make brief notations about end-of-period entries.

Accepted Answer

A) True 
 B)False

Question 13

The process of transferring account amounts from the book of original entry to the general ledger is called posting.

Accepted Answer

A) True 
 B)False

Question 14

In the accounting process, the second step is to

Accepted Answer

A)  post entries to the ledger accounts. 
B)  record the information from a source document. 
C)  prepare a trial balance. 
D)  record the account numbers in the journal. 
E)  prepare an income statement. 
A)  post entries to the ledger accounts. 
B)  record the information from a source document. 
C)  prepare a trial balance. 
D)  record the account numbers in the journal. 
E)  prepare an income statement.

Question 15

When preparing the trial balance, record the balances of the accounts in the order in which they appear in the general ledger.

Accepted Answer

A) True 
 B)False

Question 16

The ledger of Martin Medicos contained the following account balances as of December 31:
Instructions:
Prepare a trial balance dated December 31 of the present year.
 $\begin{array}{lr}\text { Accounts Payable } & \$ 2,150 \
\text { Accounts Receivable } & 2,260 \
\text { Sal es Revenue } & 10,390 \
\text { L. Mattin, Capital } & 7,650\
\text { L. Matin, Drawing } & 2,620 \
\text { Cash } & 900 \
\text { Equipment } & 2,340 \
\text { Miscellaneous Expense } & 170 \
\text { Prepaid Insurance } & 360\
\text { Phone Expense } & 200 \
\text { Rent Expense } & 900 \
\text { Salary Expense } & 1,200 \
\text { Supplies Expense } & 5,600 \
\text { Supplies } & 3,400 \
\text { Utilities Expense } & 240
\end{array}$

Accepted Answer

The answer of The ledger of Martin Medicos contained the...

Question 17

The process of subtotaling both sides of an account and recording the amount on that side is known as

Accepted Answer

A)  footing. 
B)  taking a trial balance. 
C)  posting. 
D)  balancing the accounts. 
E)  journalizing. 
A)  footing. 
B)  taking a trial balance. 
C)  posting. 
D)  balancing the accounts. 
E)  journalizing.

Question 18

The explanation for a transaction in the general journal in a manual system is indented under the credit part of the entry.

Accepted Answer

A) True 
 B)False

Question 19

Summit Company paid Hacienda Products, a creditor, on account. The transaction would involve a

Accepted Answer

A)  debit to Cash. 
B)  credit to Accounts Payable. 
C)  credit to Cash. 
D)  debit to Expenses. 
A)  debit to Cash. 
B)  credit to Accounts Payable. 
C)  credit to Cash. 
D)  debit to Expenses.

Question 20

Juan Company purchased $15,000 in equipment on account. The transaction would involve a

Accepted Answer

A)  credit to Cash. 
B)  debit to Accounts Payable. 
C)  debit to Equipment Expense. 
D)  credit to Accounts Payable. 
A)  credit to Cash. 
B)  debit to Accounts Payable. 
C)  debit to Equipment Expense. 
D)  credit to Accounts Payable.

E. Elijah, owner, withdrew $3,000 for personal use. The accountant would record the following journal entry:

List and explain the two methods for correcting errors in accounting records.

Match the terms below with the correct definitions. -Business papers supporting transactions

Apple Company purchased $6,000 in equipment, paying $2,000 in cash and placing the remainder on account. The accountant would record the following journal entry:

Munoz Company had the following account balances as of December 31. Cash $15,000 Equipment $7,000 Accounts Payable $4,200 R. Munoz, Capital $10,300 R. Munoz, Drawing $3,000 Income from Services $18,500 Rent Expense $6,000 Salaries Expense $2,000 What is the credit balance of the trial balance?

Cave Man Company received cash revenue, $3,500. The accountant would record the following journal entry:

The proof that the debits and credits in the ledger are equal is called the

Avila Company paid $500 on account for rent expenses. Which of the following journal entries is recorded by the company's accountant?

What determines the method you would use to correct an error in the accounting records?

Quick Lab Company received cash on account from patients. The transaction would involve a

Patrick Services paid the office rent for the current month. The transaction would involve a

The Item column in the ledger is mostly used at the end of a financial period to make brief notations about end-of-period entries.

The process of transferring account amounts from the book of original entry to the general ledger is called posting.

In the accounting process, the second step is to

When preparing the trial balance, record the balances of the accounts in the order in which they appear in the general ledger.

The process of subtotaling both sides of an account and recording the amount on that side is known as

The explanation for a transaction in the general journal in a manual system is indented under the credit part of the entry.

Summit Company paid Hacienda Products, a creditor, on account. The transaction would involve a

Juan Company purchased $15,000 in equipment on account. The transaction would involve a

Asset, Liability, Owners Equity, Revenue, and Expense Accounts

T Accounts, Debits and Credits, Trial Balance, and Financial Statements

Adjusting Entries and the Work Sheet

Closing Entries and the Post-Closing Trial Balance

Bank Accounts, Cash Funds, and Internal Controls

Employee Earnings and Deductions

Employer Taxes, Payments, and Reports

Sales and Purchases

Cash Receipts and Cash Payments

Work Sheet and Adjusting Entries

Financial Statements, Closing Entries, and Reversing Entries

Methods of Depreciation

Bad Debts

Inventory Methods

Notes Receivablenotes Payable

Filters

Exam 3: The General Journal and the General Ledger

E. Elijah, owner, withdrew $3,000 for personal use. The accountant would record the following journal entry:

List and explain the two methods for correcting errors in accounting records.

Match the terms below with the correct definitions. -Business papers supporting transactions

Apple Company purchased $6,000 in equipment, paying $2,000 in cash and placing the remainder on account. The accountant would record the following journal entry:

Munoz Company had the following account balances as of December 31. Cash $15,000 Equipment $7,000 Accounts Payable $4,200 R. Munoz, Capital $10,300 R. Munoz, Drawing $3,000 Income from Services $18,500 Rent Expense $6,000 Salaries Expense $2,000 What is the credit balance of the trial balance?

Cave Man Company received cash revenue, $3,500. The accountant would record the following journal entry:

The proof that the debits and credits in the ledger are equal is called the

Avila Company paid $500 on account for rent expenses. Which of the following journal entries is recorded by the company's accountant?

What determines the method you would use to correct an error in the accounting records?

Quick Lab Company received cash on account from patients. The transaction would involve a

Patrick Services paid the office rent for the current month. The transaction would involve a

The Item column in the ledger is mostly used at the end of a financial period to make brief notations about end-of-period entries.

The process of transferring account amounts from the book of original entry to the general ledger is called posting.

In the accounting process, the second step is to

When preparing the trial balance, record the balances of the accounts in the order in which they appear in the general ledger.

The process of subtotaling both sides of an account and recording the amount on that side is known as

The explanation for a transaction in the general journal in a manual system is indented under the credit part of the entry.

Summit Company paid Hacienda Products, a creditor, on account. The transaction would involve a

Juan Company purchased $15,000 in equipment on account. The transaction would involve a

Asset, Liability, Owners Equity, Revenue, and Expense Accounts

T Accounts, Debits and Credits, Trial Balance, and Financial Statements

Adjusting Entries and the Work Sheet

Closing Entries and the Post-Closing Trial Balance

Bank Accounts, Cash Funds, and Internal Controls

Employee Earnings and Deductions

Employer Taxes, Payments, and Reports

Sales and Purchases

Cash Receipts and Cash Payments

Work Sheet and Adjusting Entries

Financial Statements, Closing Entries, and Reversing Entries

Methods of Depreciation

Bad Debts

Inventory Methods

Notes Receivablenotes Payable

Filters