ACCT 211 Read & Interact Chapter 2 Accounting for Business Transactions solutions complete answers

ACCT 211 Read & Interact Chapter 2 Accounting for Business Transactions solutions complete answers 

 

On Jan. 2, Callie Taylor invests $40,000 into the business in exchange for common stock. She journalized the transaction as follows but something is wrong with the journal entry. Use your knowledge of what a correct journal entry should look like to identify everything that is wrong. Select all answers which apply.

 

Identify which of the following formulas correctly defines how to calculate the debt ratio.

 

Review each of the following statements to determine which is correct regarding the importance of assessing a company's risk of paying debt. (Check all that apply.)

 

On Sept 9, Daniels Corporation earns $2,000 by performing consulting services. Their customer said that she would pay next month. Daniels Corporation journalized the transaction as follows, but something is wrong with the journal entry. Use your knowledge of what a correct journal entry should look like to identify everything that is wrong. (Check all that apply.)

 

 

Given the following information for Jackson's Boots, calculate its Debt Ratio for the current year.

 

 

Cash can take many forms. From the lists of items below, choose the one which includes only items that would be defined as cash.

 

On Jan. 2, Callie Company received a $700 payment from a customer previously billed for services performed. The journal entry to record this transaction would include a       (debit, credit) to the       account and a       (debit, credit) to the Accounts Receivable account.

 

Which of the following statements is the best definition of the Chart of Accounts?

 

Transferring entries from the journal to the ledger is called (posting/preparing/journalizing)     .

 

Which of the following statements is (are) correct regarding a T-account? (Check all that apply.)

 

Which of the following statements is (are) correct regarding a T-account? (Check all that apply.)

 

Match the definition on the left with the term/item on the right.

 

Identify which of the following lists include only examples of assets.

 

An account is a record of increases and       in a specific asset, liability, equity, revenue or expense.

 

True or false: Assets are claims (by creditors) against the company.

 

The correct definition of an "account" includes which of the following?

 

Paul’s Programming Services paid $100 dividends. Show how to use T-accounts to record this transaction by selecting the correct answer below.

 

Choose the account(s) below, that would have a normal credit balance. (Check all that apply).

 

Prepaid accounts are     (assets/liabilities) that represent prepayments of future expenses and are increased with a     (debit/credit).

 

Which of the following statements is correct regarding expenses.

 

Match the items on the left with their definition on the right.

 

Recall the required information in a financial statement heading. Rearrange the following line items as they would appear in a heading.

 

The T-account for Accounts payable had 4 transactions entered in into it. It was increased by $300 and by $100 and decreased by $50 and by $150, respectively. Its balance at the end of the period would be a (debit/credit)     balance of $   .

 

Given the descriptions below, which is (are) true regarding notes receivable? (Check all that apply.)

 

Which statement best describes a T-account?

 

Smith Company purchased $8,000 of supplies on credit. Show how to record this transaction to the T-account by selecting the correct answer below.

 

Which of the following accounts has a normal debit balance?

 

R&R Programming pays a $900 supply bill that it had received earlier in the month. Illustrate how to record the transaction to the T-accounts by completing the following sentence.

Accounts payable would be     (debited/credited) on the     (left/right) side of the T-account, and Cash would be     (debited/credited) on the (left/right) side of the T-account.

 

Which of the following is required information when entering a transaction into a journal?

 

To enter transactions on the right side of a T-account means you will     (debit/credit) the account and will cause a(n)     (decrease/increase) in a liability account.

 

Gunner Corporation received $300 cash from a client that had been billed earlier in the month. Show how to record this transaction into T-accounts by selecting the correct answer below.

 

When preparing a trial balance, there are certain steps that need to be followed. Place the following steps in the correct order.

 

Brown Company paid $40 in cash dividends. Show how to record the transaction to the T-accounts by completing the following sentence. Dividends would be (debited/credited) on the (left/right) side of the T-account, and Cash would be (debited/credited) on the (left/right) side of the T-account.

 

Which of the following statements is (are) true about accounts receivables? (Check all that apply.)

 

The stockholder of a business received a $1000 dividend. How would this affect the total equity of the business?

 

Gunner Company purchased a piece of equipment costing $6,000. She paid $1,000 immediately and put the rest on account. Show how to record this transaction to the T-accounts by selecting the correct answer below.

 

Which of the following statements is (are) correct regarding the definition of a liability?

 

Which of the following statements is (are) correct regarding the sides of a T-account?

 

Which of the following statements explains what a trial balance is?

 

Match the item on the left with the correct definition on the right

 

On Jan. 2, Callie Taylor received a $700 payment from a customer previously billed for services performed. The journal entry to record this transaction would include a ________ (debit/credit) to the______________ account and a ___________ (debit/credit) to the Accounts Receivable account.

 

Which of the following statements is (are) correct regarding a journal?

 

Which of the following statements is the correct definition of equity?

 

1.
The account title is shown at the top of a T-account. The left side of a T-account is called the _____ and the right side is called the ____ side.
 
 
2.
Brown company purchased $900 of supplies on credit. Illustrate how to record the transaction to T-accounts by completing the following sentence: Accounts payable would be ____ on the _____ side of the T-account, and supplies would be ____ on the ____ side of the T-account.
 
 
3.
A business pays $500 for rent. How would this payment affect the equity of a business?
 
 
4.
Butter company purchased $300 of supplies for cash. Illustrate how to record the transaction into T-accounts by completing the following sentence: The supplies account would be ___ on the ___ side of the account and the cash account would be ____ on the ____ side of the T-account.
 
 
6.
The correct definition of an account includes which of the following:
 
 
7.
The dividends account is used to record_____ by the owner and has a ____ impact on equity.
 
 
8.
The general ledger can be used to determine which of the following (select all answers which apply):
 
 
10.
Gunner company purchased a piece of equipment costing $6000. She paid $1000 immediately and put the rest on account. Show how to record this transaction to the T-accounts by selecting the correct answer below.
 
 
11.
J. Jackson invested $1000 in his business in exchange for common stock. Show how to use T-accounts to record this transaction by selecting the correct answer below.
 
 
12.
On Jan 2, Callie company purchased $300 worth of supplies. She paid $100 immediately but put the rest on account. The journal entry to record this transaction in the books would include which of the following?
 
 
13.
Pintel company paid $2000 cash for a 12 month insurance policy. Describe how to record the transaction to the T-accounts by completing the following sentence: Cash would be____ on the ___ side of the account and Prepaid insurance would be ____ on the ____ side of the T-account.
 
 
15.
Supplies are _____ until they are used. When they are used up, their costs are reported as _____.
 
 
16.
The T-account for Cash had 3 transactions entered into it. It was increased by $400 and decreased by $100 and by $30, respectively. Its balance at the end of the period would be a ______ balance of _____.
 
 
17.
To enter transactions on the left side of a T-account means you will ____ the account and will cause a(n) ____ in an asset account
 
 
19.
Transferring entries from the journal to the ledger is called the____.
 
 
20.
What is in a balance sheet?
 
 
21.
When entering a transaction into a general journal, the entry would be dated; then the accounts ______ would be listed first; then the accounts ______ would be listed next; and finally a(n)___ would be included to show the details of the transaction.
 
 
22.
When preparing a trial balance. there are certain steps that need to be followed. Place the following steps in the correct order:
 
 
23.
Which of the following accounts are examples of revenues? (Check all that applies)
 
 
24.
Which of the following best and fully describes a general ledger?
 
 
25.
Which of the following is a correct statement regarding the posting process?
 
 
26.
Which of the following items considered "cash" and reflected in a company's Cash account? (Check all that apply)
 
 
27.
Which of the following statements about revenues is correct?
 
 
 
 
 
 
 
 
 
 
 
 

28.
Which of the following statements about the Dividends account is (are) correct? (Check all that apply)
 
 
29.
Which of the following statements is (are) correct? (Check all that apply)
 
 
30.
Which of the following statements is (are) correct regarding the definition of a liability? (Check all that apply)
 
 
31.
Which of the following statements is (are) correct regarding the posting process (check all that apply)
 
 
32.
Which of the following statements is correct in regards to debiting and crediting an account?
 
 
33.
Which of the following statements is the best definition of an asset?
 
 
34.
Which set of accounts below would have a normal debit balance?
 
 
36.
Which statement is correct regarding entering transactions into the accounting equation?
 
 
 

1.
An account is a record of increases and _______ in a specific asset, liability, equity, revenue, or expense item
 
 
4.
Brown Company provided services to a customer and immediately collected $1900 cash. Show how to record the transaction to the T-accounts by completing the following sentence:
Service Revenue would be ______ on the ______ side of the T-account, and Cash would be ________ on the _______ side of the T-account
 
 
5.
The business earns $2800 cash for services performed. How would this receipt affect the total equity of a business?
 
 
6.
A business paid $40 to it's stockholders. Show how to record the transaction to the T-accounts:
Dividends would be _______ on the ______ side of the T-account and Cash would be ______ on the _____ side of the T-account.
 
 
7.
A business pays $500 for rent. How would this payment affect the equity of a business?
 
 
8.
Butter Company purchased $300 of supplies for cash. Illustrate how to record the transaction into T-accounts by completing the following sentence:
The Supplies account would be ______ on the ______ side of the T-account and the Cash account would be ________ on the ________ side of the T-account.
 
 
11.
The Dividends account is used to record _________ to the owner and has a ________ impact on equity
 
 
12.
Equipment is a(n) _______ account. It is reported on the ______ side of the accounting equation and is ______ when equipment is purchased.
 
 
15.
The general ledger can be used to determine which of the following
 
 
17.
Gunner Company made a $50 payment on account for a previous equipment purchase. Show how this transaction should be entered into T-accounts of Gunner Company.
 
 
19.
Holt Computer Services received $200 from a customer that it had billed earlier in the month. Illustrate how to record the transaction to the T-accounts by completing the following sentence:
Accounts receivable would be _______ on the ______ side of the T-account, and Cash would be ______ on the ______ side of the T-account.
 
 
20.
Illustrate how the financial statements are linked by placing them in the correct order of preparation
 
 
21.
J. Brown paid $40 to its stockholders. Show how to record the transaction to the T-accounts by completing the following sentence:
Dividends would be _______ on the _______ side of the T-account, and cash would be _________ on the ________ side of the T-account
 
 
22.
Jeff invests an additional $100 into his company from his personal checking account. How would this affect the equity of his business?
 
 
 
 
 
 
 
 
 
 
 
 
 

27.
L. Lyons started a business and invested $4000. Illustrate how to record the transaction in the T-accounts by completing the following sentence. 
The Cash account would be ______ on the _______ side of the T-account and the Common stock account would be ______ on the _______ side of the T-account
 
 
28.
On Mar 3, Lyons Company received $100 cash in advance of providing catering services to a customer. Use your knowledge of what a correct journal entry should look like to identify what would be included in the correct journal entry
 
 
29.
Pauline Company provided $500 of services to its client, Republic Company and received cash immediately. Show how to record the transaction to the T-accounts of Pauline Company by completing the following sentence:
Cash would be _______ on the _______ side of the T-account and Services Revenue would be _______ on the _________ side of the T-account
 
 
30.
Pintel Company paid $2000 cash for a 12 month insurance policy. Describe how to record the transaction to the T-accounts by completing the following sentence:
Cash would be ________ on the _______ side of the T-account, and Prepaid Insurance would be ______ on the _______ side of the T-account.
 
 
32.
Recall that the Balance Sheet reports the equality of the accounting equation and would include which of the following amounts?
 
 
35.
Revenues cause equity to _____ and they are increased on the _____ side of the T-account.
 
 
36.
Select the statements that are true regarding debiting and crediting:
a) A debit can increase an expense account
b) For an account where a debit is an increase, the credit is a decrease
c) A credit will always decrease an asset account
d) A debit or a credit can increase or decrease an account, depending on the account
 
 
37.
Since expenses are the costs of doing business and cause equity to _______, expenses are increased on the ______ side of their T-account
 
 
38.
The statement of retained earnings report:
 
 
39.
The statement of retained earnings reports:
 
 
41.
The T-account for Cash had 3 transactions entered into it. It was increased by $400 and decreased by $100 and by $30, respectively. Its balance at the end of the period would be a ______ balance of $_______
 
 
42.
There are several types of accounts that impact equity. Which of the accounts below cause equity to increase?
 
 
43.
To enter transactions on the left side of a T-account means you are _______ the account and will cause a(n) ______ in an asset account
 
 
 
 
 
 
 
 
 

45.
A trial balance is a ___________ of accounts and their balances at a point in time and is used to confirm that the sum of debit account balances equals the sum of __________ account balances.
 
 
46.
What is accurate regarding Accounts payable?
 
 
47.
What is a creditor
 
 
48.
What is correct in regards to debiting and crediting an account?
 
 
49.
What is correct regarding the effect of debits and credits in accounts?
 
 
50.
What is correct regarding the posting process?
 
 
51.
What is required info when entering a transaction into a journal?
 
 
52.
What is the formula depicting the expanded accounting equation?
 
 
53.
What is the purpose of the Common stock account?
 
 
54.
What would have a normal debit balance?
 
 
56.
Which is correct regarding posting a transaction?
 
 
57.
Which of the following accounts are examples of expenses?


a) Rent expense
b) Dividends
c) Accounts payable
d) Supplies expense
 
 
58.
Which of the following accounts are examples of revenues?


a) Accounts receivable
b) Fees earned
c) Accounts payable
d) Service revenue
e) Sales
 
 
60.
Which of the following has a normal credit balance?


a) Common stock
b) Prepaid insurance
c) Accounts receivable 
d) Supplies
e) Accounts payable
f) Unearned consulting revenue
 
 
61.
Which of the following statements about revenues is correct?
 
 
 
 
 
 
 
 
 

62.
Which of the following statements are correct?


a) Crediting the Common stock account means to increase it
b) Crediting means to enter transactions on the left side of a T-account
c) Crediting can be abbreviated "Cr"
d) Crediting means to enter transactions on the right side of a T-account
e) Crediting a liability account will increase it
 
 
63.
Which of the following statements are correct regarding a T-account?


a) A T-account may be used as a tool to visualize the effects of a transaction
b) A T-account will show the debit or credit side of each transaction
c) A T-account represents a ledger account
d) A T-account reflects whether a transaction was posted correctly
 
 
64.
Which of the following statements are correct regarding the sides of a T-account?


a) Liability accounts will be increased on the left side
b) The left side is called the debit side
c) Asset accounts will be increased on the left side
d) The left side is called the credit side
e) Asset accounts will be increased on the right side
f) Liability accounts will be increased on the right side
g) The right side is called the credit side
 
 
65.
Which of the following statements is accurate about the Land account?
 
 
66.
Which of the following would be included on an income statement?
 
 
67.
Which of the following would be included on a statement of retained earnings?


a) Retained earnings balance at end of period
b) Retained earnings balance at beginning of period
c) Total liabilities
d) Dividends
e) Net Income (loss)
f) Total revenues earned during the period
g) Total assets
 
 
68.
Which or the following would be considered "cash" and reflected in a company's Cash account?


a) Coin
b) Prepaid insurance
c) Checks
d) Money orders
e) Notes Receivable
 
 
70.
Which statement is correct regarding entering transactions into the accounting equation?
 
 
71.
Which statements are accurate regarding supplies?
 
 
72.
You are entering a transaction in the journal. Place the following steps in the order that they would be entered in the journal
 
 
 
 
 
 
 
 
 

1.
An account is a record of increases and ___________ in a specific asset, liability, equity, revenue or expense item.
 
 
2.
Accounts payable refer to obligations owed _________ (by/to) the business and are classifies as a(n) _____________ (asset/liability/expense) account.
 
 
3.
Accounts receivable __________ (increased/decreased) by credit sales and are ____________ (increased/decreased) by customer payments
 
 
4.
The account title is shown at the top of a T-account. The left side of a T-account is called the ___________ side, and the right side is called the ______________ side.
 
 
8.
The business earns $700 of consulting revenue. How would these earnings affect the total equity of a business?
 
 
9.
A business pays $500 for rent. How would this payment affect the equity of a business?
 
 
13.
Enter one word for each blank. The expanded accounting equation is: ___________ = ______________ + owner's capital + _______________ - _______________- owner's withdrawals. Do not include the word "account(s)" in your answers.
 
 
15.
From the following list of accounts, choose the lists with contains only expense accounts
 
 
17.
The general ledger can be used to determine which of the following:
 
 
19.
Holt Computer Services purchased $2,000 of new equipment and paid immediately. Illustrate how to record the transaction into T-accounts of Holt Services by completing the following sentence.

The Equipment account would be __________ (debited/credited) on the ______________ (left/right) side of the T-account and the Cash account would be ____________ (debited/credited) on the ________________ (left/right) side of the T-account.
 
 
20.
Holt Computer Services received $200 from a customer that it had billed earlier in the month. Illustrate how to record the transaction to the T-accounts by completing the following sentences.

Accounts receivable would be ________(debited/credited) on the _____________(left/right) side of the T-account, and Cash would be ___________(debited/credited) on the __________(left/right) side of the T-account.
 
 
21.
Illustrate how the financial statements are linked by placing them in the correct order of preparation
 
 
22.
An income statement reports:
 
 
23.
J. Brown provided services to a customer and immediately collected $1,900 cash. Show how to record the transactions to the T-accounts by completing the following sentence.

Service Revenue would be _____________ (debited/credited) on the ___________________ (left/right) side of the T-account, and Cash would be ______________ (debited/credited) on the ___________ (left/right) side of the T-account.
 
 
 
 
 
 
 
 
 
 
 

24.
J. Brown purchased $900 of supplies on credit/ Illustrate how to record the transaction to T-accounts by completing the following sentence.

Accounts payable would be _______________ (debited/credited) on the ___________ (left/right) side of the T-account, and Supplies would be __________ (debited/credited) on the _____________ (left/right) side of the T-account.
 
 
25.
Jeff, the owner of a business, withdrew $100 from the business's checking account for personal use. How would this affect the total equity of this business?
 
 
26.
J. Jackson invested $1,000 in his business. Show how to use T-accounts to record this transaction by selecting the correct answer below
 
 
27.
Journal
 
 
28.
Lenten Company paid $1,200 for insurance coverage for the next year. Show how this transaction should be entered into T-accounts of Lenten Company, by selecting the correct answer below.
 
 
29.
Liabilities
 
 
30.
Liabilities
 
 
31.
Major Programming receives $5,000 cash in advance of providing programming services to a customer. Describe how to record the transaction to the T-accounts by completing the following sentence. Cash would be _____________ (debited/credited) on the ______________ (left/right) side of the T-account, and Unearned Programming Revenue would be ______________ (debited/credited) on the ______________ (left/right) side of the T-account.
 
 
33.
On Jan. 2, Taylor company performed $800 worth of services for a client. The Client paid $100 immediately, but promised to pay the balance next month. The journal entry to record this transaction would include a __________ to the Cash account; a __________to the Accounts receivable account and a ____________ to the Service revenue account.
 
 
34.
The owner of Paul's Programming Services withdraw $100 from the business for personal use. Show how to use T-accounts to record this transaction by selecting the correct answer below.
 
 
35.
The owner of Paul's Programming Services withdrew $100 from the business for personal use. Show how to use T-accounts to record this transaction by selecting the correct answer below
 
 
36.
Owner's equity
 
 
37.
The Owner, Withdrawal account is used to record_________(investments/withdrawals/expenses/revenues) by the owner and has a __________(positive/negative) impact on equity.
 
 
 
 
 
 
 
 
 

38.
P. BUtter purchased $300 of supplies fro cash. Illustrate how to record the transaction into T-accounts by completing the following sentence.

The Supplies would be ____________ (debited/credited) on the _____________ (left/right) side of the T-account and the Cash account would be ________ (debited/credited) on the ___________ (left/right) side of the T-account.
 
 
41.
Revenues
 
 
42.
Revenues can cause equity to _____________(decrease/increase) and they are increased on the _________(left/right) side of the T-account.
 
 
44.
Select the statements that are true regarding debiting and crediting
 
 
45.
Simon, the owner of a business, invests $10,000 in his new business, Simon's Sports. How would this affect the equity of a business?
 
 
46.
S. Sunshine received and paid for utility bill of $50. Show how to record this transaction to the T-accounts by selecting the correct answer below.
 
 
47.
The statement of owner's equity reports:
 
 
49.
There are several types of accounts that impact equity. Which of the accounts below cause equity to increase?
 
 
50.
Trial balance
 
 
51.
A trial balance is a(n) (list/balance/chart) ____________ of accounts and their balances at a point in time and is used to confirm that the sum of debit account balances equals the sum of _______________ account balances.
 
 
 
 
 
 
 
 
 

53.
Which of the following accounts are examples of revenues?
 
 
55.
Which of the following accounts would be considered an asset?
 
 
56.
Which of the following below would have a normal debit balance?
 
 
57.
Which of the following describes a general ledger?
 
 
58.
Which of the following is correct regarding posting a transaction?
 
 
60.
Which of the following items would be considered "cash" and reflected in a company's Cash account?
 
 
61.
Which of the following statement is correct?
 
 
62.
Which of the following statements are accurate regarding supplies?
 
 
63.
Which of the following statements are correct?
 
 
64.
Which of the following statements best describes the purpose of the Owner,Capital account?
 
 
65.
Which of the following statements is accurate about that Land account?
 
 
66.
Which of the following statements is (are) accurate regarding equipment purchased within a business?
 
 
 
 
 
 
 
 
 

67.
Which of the following statements is (are) correct?
 
 
70.
Which of the following statements is (are) correct regarding a T-account?
 
 
72.
Which of the following statements is(are) correct regarding the effect of debiting or crediting accounts?
 
 
73.
Which of the following statements is (are) correct regarding the posting process?
 
 
75.
Which of the following statements is the best definition of an asset?
 
 
76.
Which statement is correct regarding entering transactions into the accounting equation?
 
 
77.
You are entering a transaction in the journal. Place the following steps in the order that they would be entered in the journal.
 
 
 
 
 
 
 
 
 

Brown company paid its employee his weekly wages $400. Show how to record the transaction to the T-accounts by completing the following sentence. The wages expensive account would be on the  side of the T-account, and the Cash account would be  on the  side of the T-account.

 

Which statement is correct regarding entering transactions into the accounting equation?

 

The Supplies account would be  on the  side of the T-account and the Cash account would be  on the  side of the T-account.

 

Select the statements that are true regarding debiting and crediting. (Check all that apply.)

 

Which of the following statements about the dividends account is (are) correct? (Check all that apply.)

 

Which of the following statements about revenues is correct?

 

When entering a transaction into a general journal, the entry would be dated; then the accounts would be listed first; then the accounts  would be listed next; and finally, a(n) explanation would be included to show the details of the transaction.

 

The account title is shown at the top of a T-account is called the debit side, and the right side is called the credit side.

 

Which of the following accounts impact equity? (Check all that apply.)

 

When the stockholders receive a dividend, how would this affect the equity of a business?

 

Which of the following account are examples of revenue? (Check all that apply.)

 

From the following lists of accounts, choose the list(s) which contain only expense accounts.

 

Which of the following statements is correct definition of equity?

 

On Jan. 2, Callie Company performed $800 worth of services for a client. The client paid $800 immediately. The journal entry to record this transaction is Callie Company’s book would include a  to the Cash account; and a  to the Service revenue account.

 

Transferring entries from the journal to the ledger is called .

 

An income statement reports:

 

Which of the following statements is the best definition of an asset?

 

Which of the following items would be considered “cash” and reflected in a company’s Cash account? (Check all that apply.)

 

Select the statement below that best defines prepaid accounts.

 

Notes receivable is considered a(n)

 

Match the definition of the left with the term/item on the right.

 

Illustrate how the financial statements are linked by placing them in the correct order of preparation.

 

Supplies are  until they are used. When they are used up, their costs are reported as

 

Which of the following is a correct statement regarding the posting process?

 

Which of the following statements is (are) correct regarding the effect of debiting or crediting accounts? (Check all that apply.)

 

Gunner Company made a $50 payment on account for a previous equipment purchase. Show how this transaction should be entered into T-accounts of Gunner Company. By selecting the correct answer below.

 

Which of the following statements is accurate regarding accounts payable?

 

Equipment is a(n)  account. It is reported on the  side of the accounting equation and is  when equipment is purchased.

 

A business paid $40 in dividends. Show how to record the transaction to the T-account by completing the following sentence. Dividends would be  on the  side of the T-account. And Cash would be  on the  side of the T-account.

 

Which of the following accounts would be considered an asset? (Check all that apply.)

 

Holt Computer Services purchased $2,000 of new equipment and paid immediately. Illustrate how to record the transaction into T-accounts of Holt Services by completing the following sentence. The equipment account would be  on the  side of the T-account and the Cash account would be  on the  side of the T-account.

 

The balance sheet reports:

 

On Jan 2, Calie Taylor invests $40,000 into the business in exchange for common stock, she journalized the transaction as follows but something is wrong with the journal entry. Use your knowledge of what a correct journal entry should look like to identify everything that is wrong. Select of answers which apply.

 

Which of the following describes a general ledger?

 

Enter one word for each black. The expanded accounting equation is:

 

On Mar 3, Lyons Company paid dividends of $1,000. Use your knowledge of what a correct journal entry should look like to identify what would be included. (Check all that apply.)

 

After entering a transaction into the accounting equation, an increase in total assets can be accompanied by a(n)  in total liabilities and .

 

Which of the following statement is (are) correct regarding a T-account? (Check all that apply.)

 

The business earns $700 of consulting revenue. How would these earnings affect the total equity of a business?

 

A trial balance is a(n)  of accounts and their balance at a point in time and is used to confirm that the sum of debit account balances equals the sum of accounting balances. Use one word for each blank.

 

Which of the following financial statements report(s) the financial position of a business over a period of time? (Check all that apply.)

 

In defining a reporting period, which of the following statement is (are) correct? (Check all that apply.)

 

Name the accounting document or report that is completed just prior to preparing financial statements and assist in preparing the financial statements.

 

The statement of retained earnings reports:

 

Which of the following statements below is true regarding the statement of retained earnings?

 

Which of the following statements is (are) true regarding the balance sheet? (Check all that apply.)

 

Describe where dollar signs are appropriate in financial statements.

 

Which of the following financial statement reports the financial position of a business at a point in time?

 

To enter transactions on the left side of a T-account means you will  the account and will cause a(n)  in an asset account.

 

l. Lyons started a business and invested $4,000 in exchange for common stock. Illustrate how to record the transaction in the T-accounts by completing the following sentence. The Cash account would be  on the  side of the T-account and the Common stock account would be  on the  side of the T-account.

 

An account is a record of increase and in a specific asset, liability, equity, revenue or expense.

 

Which of the selections below includes all of the required information to be entered in a journal?

 

Which of the following accounts has a normal credit balance? (Check all that apply.)

 

A business pays $500 for rent. How would this payment affect the equity of a business?

 

Stan programming Services provided $8,000 of services and received payment immediately. Show how to record this transaction to the T-accounts by selecting the correct answer below.

 

The cost of land owned by a business is recorded in the Land account and this account is classified as an expense.

 

Pintel Company paid $2,000 cash for a 12-month insurance policy. Describe how to record the transaction to the T-accounts by completing the following sentence. Cash would be  on the  side of the T-account, and Prepaid insurance would be  on the  side of the T-account.

 

Which of the following statements is (are) correct? (check all that apply.)

 

On Nov.1, Lyons Company pays $1000 cash for a 12-month insurance policy. Use your knowledge of what a correct journal entry should look like to identify what would be included in the correct journal entry.

 

Brown company purchased $900 of supplies on credit, illustrate how to record the transaction to T-accounts by completing the following sentence. Accounts payable would be  on the  side of the T-account, and Supplies would be  on the  side of the T-account.

 

On sept 9, Daniels Corporation earns $2,000 by performing consulting services. Their customer said that she would pay next month. D Use your knowledge of what a correct journal entry should look like to identify everything that is wrong. (Check all that apply.)

 

When entering transactions into accounts, the rules of double-entry accounting must be followed. These rules include: (Check all that apply.)

 

The Notes payable account is a(n)  account and is increased on the side of the T-account.

 

Which of the following lists of items contain only example of prepaid (expense) accounts?

 

The building account is a(n)  account and is reported on the side of the accounting equation.

 

On Jan, Callie Company receive a $700 payment from a customer previously billed for services performed. The journal entry to record this transaction would include a  to the cash account and a  to the Accounts Receivable account.

 

Which of the following are accurate statement regarding how to report or treat prepaid accounts? (Check all that apply.)

 

Which of the following statements best explains the posting reference in a journal and a ledger?

 

The rules of double-entry accounting say that for each transaction at least accounts are involved, with at least one debit and one.

 

Which of the following statements is (are) correct regarding the notes payable account? Check all that apply.)

 

Which of the following statements is accurate regarding the Building account?

 

Which of the following are examples of prepaid (expense) accounts? (Check all that apply.)

 

Which of the following statement is correct about prepaid expense?

 

An annual insurance policy is paid in advance by a company. How will the company treat this initial payment and the subsequent expiration of a portion of the policy over time? (Check all that apply.)

 

FR definition of a source document in the accounting process?

 

Analyzing the accounting equation at the end of the month will reveal the following. Select all that apply.

 

the revenue recognition principle states that revenue should be recorded in the period in which it is earned which may or may not be the period in which payment was actually received.

 

Which of the following statements is (are) correct regarding the balance column in a ledger (or balance column account)? (Check all that apply.)

 

Which of the following statements explains the differences between a Balance column account and a T-account?

 

The accounting process serves which of the following purposes in a business? (Check all that apply.)

 

Which of the following statements is (are) correct regarding unearned revenues? (Check all that apply.)

 

at the end of the period, the assets will still equal the liabilities plus equity.

 

Which of the following would be considered a source document in an accounting system? (check all that apply.)

 

Which of the following statements is correct about prepaid expenses?