Question 1

If an entry is recorded twice, the error will show up in the trial balance.

Accepted Answer

A) True 
 B)False

Question 2

A cash payment of $130 on account was recorded as a $310 debit to Accounts Payable and a $310 credit to Cash. The necessary correcting entry is

Accepted Answer

A)  debit Cash, $180; credit Accounts Receivable, $180. 
B)  debit Accounts Payable, $180; credit Cash, $180. 
C)  debit Cash, $180; credit Accounts Payable, $180. 
D)  debit Accounts Receivable, $180; credit Cash, $180. 
E)  debit Cash $130, credit Accounts Payable, $130. 
A)  debit Cash, $180; credit Accounts Receivable, $180. 
B)  debit Accounts Payable, $180; credit Cash, $180. 
C)  debit Cash, $180; credit Accounts Payable, $180. 
D)  debit Accounts Receivable, $180; credit Cash, $180. 
E)  debit Cash $130, credit Accounts Payable, $130.

Question 3

The first step in the posting process is to write the amount of the transaction in the ledger account.

Accepted Answer

A) True 
 B)False

Question 4

Lohan Company had the following account balances as of June 30. 
Cash $29,000
Equipment $15,000
Accounts Payable $2,800
T. Lohan, Capital $62,700
T. Lohan, Drawing $5,000
Income from Services $35,000
Rent Expense $12,000
Salaries Expense $8,000
What is the debit balance of the trial balance?

Accepted Answer

A)  $141,700 
B)  $136,700 
C)  $64,000 
D)  $69,000 
A)  $141,700 
B)  $136,700 
C)  $64,000 
D)  $69,000

Question 5

Homer Services pays the monthly rent, $5,000. The transaction would involve a

Accepted Answer

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

Question 6

When an entry is posted, the last step in the process is

Accepted Answer

A)  recording the explanation. 
B)  placing the account number in the Post. Ref. column of the journal. 
C)  placing the journal page number in the Post. Ref. column of the ledger. 
D)  placing the account number in the Post. Ref. column of the ledger. 
E)  placing the balance of the account in either the debit or credit column in the ledger. 
A)  recording the explanation. 
B)  placing the account number in the Post. Ref. column of the journal. 
C)  placing the journal page number in the Post. Ref. column of the ledger. 
D)  placing the account number in the Post. Ref. column of the ledger. 
E)  placing the balance of the account in either the debit or credit column in the ledger.

Question 7

Use the manual ruling method when amounts have been posted to the wrong account.

Accepted Answer

A) True 
 B)False

Question 8

Match the terms below with the correct definitions.
-Process of recording transactions in a journal

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 9

Which of the following is correct concerning recording journal entries?

Accepted Answer

A)  The credit part of the entry is recorded first. 
B)  The credit account is always indented underneath the debit entry. 
C)  The debit part of the entry is recorded last. 
D)  Dollar signs are always recorded in the journal. 
A)  The credit part of the entry is recorded first. 
B)  The credit account is always indented underneath the debit entry. 
C)  The debit part of the entry is recorded last. 
D)  Dollar signs are always recorded in the journal.

Question 10

J. Forest deposited $60,000 in the bank in the name of the business. The transaction would involve a

Accepted Answer

A)  debit to Cash. 
B)  credit to Cash. 
C)  credit to J. Forest, Drawing. 
D)  debit to J. Forest, Capital. 
A)  debit to Cash. 
B)  credit to Cash. 
C)  credit to J. Forest, Drawing. 
D)  debit to J. Forest, Capital.

Question 11

Match the terms below with the correct definitions.
-Book of original entry

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 12

Match the terms below with the correct definitions.
-Official list of all ledger accounts

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 13

A ledger account contains a complete record of the transaction activity in that account.

Accepted Answer

A) True 
 B)False

Question 14

Stonehenge Company received cash on account, $2,500. The accountant would record the following journal entry:

Accepted Answer

A) 
$\begin{array} { l c } 
\text { Cash } & \$ 2,500 \
\text { C. Man, Capital } & \$ 2,500
\end{array}$ 
B)  
Income from Services $\quad\$ 2,500$
Cash $\quad\$ 2,500$ 
C)  
$\begin{array} { l } 
\text { Cash }&\$ 2,500 \
\text { Income from Services } &\$ 2,500
\end{array}$ 
D)  
$\text { Cash } \quad \$ 2,500$
$\text { Accounts Receivable } \quad \$ 2,500$ 
A) 
$\begin{array} { l c } 
\text { Cash } & \$ 2,500 \
\text { C. Man, Capital } & \$ 2,500
\end{array}$ 
B)  
Income from Services $\quad\$ 2,500$
Cash $\quad\$ 2,500$ 
C)  
$\begin{array} { l } 
\text { Cash }&\$ 2,500 \
\text { Income from Services } &\$ 2,500
\end{array}$ 
D)  
$\text { Cash } \quad \$ 2,500$
$\text { Accounts Receivable } \quad \$ 2,500$

Question 15

Match the terms below with the correct definitions.
-Recording assets at actual cost

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 16

Failure to post an entire transaction will not be reflected in the trial balance.

Accepted Answer

A) True 
 B)False

Question 17

Clark Clocks had a cash account beginning balance of $30,250 in the month of July. The accountant posted a $1,000 credit on July 3, a $630 credit on July 8, and a $3,150 debit on July 20. What is the balance of Cash in the general ledger?

Accepted Answer

A)  $31,770 debit 
B)  $28,620 debit 
C)  $28,620 credit 
D)  $31,770 credit 
A)  $31,770 debit 
B)  $28,620 debit 
C)  $28,620 credit 
D)  $31,770 credit

Question 18

Tonka Services receives a bill for a three-month liability insurance policy. The transaction would involve a

Accepted Answer

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

Question 19

Which of the following is/are not true about a proper journal entry?

Accepted Answer

A)  An explanation is needed immediately after each debit and immediately after each credit. 
B)  All credits are indented. 
C)  A debit is never indented, even if a liability or owner's equity account is involved. 
D)  All debits are listed before the first credit. 
E)  In a compound entry, the largest amounts are listed first. 
A)  An explanation is needed immediately after each debit and immediately after each credit. 
B)  All credits are indented. 
C)  A debit is never indented, even if a liability or owner's equity account is involved. 
D)  All debits are listed before the first credit. 
E)  In a compound entry, the largest amounts are listed first.

Question 20

Which of the following is true concerning posting?

Accepted Answer

A)  The date of the transaction should be written in the account's Date column. 
B)  The page number of the journal should be written in the Post. Ref. column of the ledger account. 
C)  The amount of the transaction should be recorded in either the debit or credit column. 
D)  The ledger account number should be recorded in the Post. Ref. column of the journal. 
E)  All of the answers listed are correct. 
A)  The date of the transaction should be written in the account's Date column. 
B)  The page number of the journal should be written in the Post. Ref. column of the ledger account. 
C)  The amount of the transaction should be recorded in either the debit or credit column. 
D)  The ledger account number should be recorded in the Post. Ref. column of the journal. 
E)  All of the answers listed are correct.

If an entry is recorded twice, the error will show up in the trial balance.

A cash payment of $130 on account was recorded as a $310 debit to Accounts Payable and a $310 credit to Cash. The necessary correcting entry is

The first step in the posting process is to write the amount of the transaction in the ledger account.

Lohan Company had the following account balances as of June 30. Cash $29,000 Equipment $15,000 Accounts Payable $2,800 T. Lohan, Capital $62,700 T. Lohan, Drawing $5,000 Income from Services $35,000 Rent Expense $12,000 Salaries Expense $8,000 What is the debit balance of the trial balance?

Homer Services pays the monthly rent, $5,000. The transaction would involve a

When an entry is posted, the last step in the process is

Use the manual ruling method when amounts have been posted to the wrong account.

Match the terms below with the correct definitions. -Process of recording transactions in a journal

Which of the following is correct concerning recording journal entries?

J. Forest deposited $60,000 in the bank in the name of the business. The transaction would involve a

Match the terms below with the correct definitions. -Book of original entry

Match the terms below with the correct definitions. -Official list of all ledger accounts

A ledger account contains a complete record of the transaction activity in that account.

Stonehenge Company received cash on account, $2,500. The accountant would record the following journal entry:

Match the terms below with the correct definitions. -Recording assets at actual cost

Failure to post an entire transaction will not be reflected in the trial balance.

Clark Clocks had a cash account beginning balance of $30,250 in the month of July. The accountant posted a $1,000 credit on July 3, a $630 credit on July 8, and a $3,150 debit on July 20. What is the balance of Cash in the general ledger?

Tonka Services receives a bill for a three-month liability insurance policy. The transaction would involve a

Which of the following is/are not true about a proper journal entry?

Which of the following is true concerning posting?

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

If an entry is recorded twice, the error will show up in the trial balance.

A cash payment of $130 on account was recorded as a $310 debit to Accounts Payable and a $310 credit to Cash. The necessary correcting entry is

The first step in the posting process is to write the amount of the transaction in the ledger account.

Lohan Company had the following account balances as of June 30. Cash $29,000 Equipment $15,000 Accounts Payable $2,800 T. Lohan, Capital $62,700 T. Lohan, Drawing $5,000 Income from Services $35,000 Rent Expense $12,000 Salaries Expense $8,000 What is the debit balance of the trial balance?

Homer Services pays the monthly rent, $5,000. The transaction would involve a

When an entry is posted, the last step in the process is

Use the manual ruling method when amounts have been posted to the wrong account.

Match the terms below with the correct definitions. -Process of recording transactions in a journal

Which of the following is correct concerning recording journal entries?

J. Forest deposited $60,000 in the bank in the name of the business. The transaction would involve a

Match the terms below with the correct definitions. -Book of original entry

Match the terms below with the correct definitions. -Official list of all ledger accounts

A ledger account contains a complete record of the transaction activity in that account.

Stonehenge Company received cash on account, $2,500. The accountant would record the following journal entry:

Match the terms below with the correct definitions. -Recording assets at actual cost

Failure to post an entire transaction will not be reflected in the trial balance.

Clark Clocks had a cash account beginning balance of $30,250 in the month of July. The accountant posted a $1,000 credit on July 3, a $630 credit on July 8, and a $3,150 debit on July 20. What is the balance of Cash in the general ledger?

Tonka Services receives a bill for a three-month liability insurance policy. The transaction would involve a

Which of the following is/are not true about a proper journal entry?

Which of the following is true concerning posting?

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