Posted: September 13th, 2017

Quiz Week 3

Paper, Order, or Assignment Requirements

 

 

See attachment to complete quiz, chapter 3, 4, 5 are attached also

Question 1

The ending balance in the retained earnings is shown in the:

a. Balance sheet
b. Statement of retained earnings
c. Income statement
d. Both (a ) and ( b)

Question 2

Which of the following accounts may appear on a post-closing trial balance?

a. Cash, Salaries payable, and Salaries Expense
b. Cash, Service Revenue, and Salaries Expense
c. Cash, Salaries payable, and Capital
d. Cash, Salaries payable, and Service Revenue

Question 3

At the end of a certain year, a company had total assets of $14,520 and equity of $9,120. How much were its liabilities?

a. $23,640
b. $14,520
c. $5,400
d. $9,120

Question 4

Which of the following requires accounting information to be complete, neutral, and free from material error?

a. Economic entity assumption
b. Cost principle
c. Faithful representation concept
d. Going concern assumption

Question 5

Assume that cash is paid for Utilities Expense to cover a five-year period. The recommended debit and credit are:

a. Debit cash, Credit Utilities Expense
b. Debit Utilities Expense, Credit cash
c. Debit Prepaid Utilities expense, Credit Cash
d. Debit cash, Credit Prepaid Utilities Expense

Question 6

ABC Properties purchased office supplies on account for $400. Which journal entry records the payment of those office supplies?

a. Accounts payable $400
Accounts Receivable $400

b. Accounts payable $400
Cash $400

c. Cash $400
Accounts payable $400

d. Office Supplies $400
Cash $400

Question 7

Sunshine Company recorded a cash collection on account by debiting Cash and crediting Accounts payable. What will the trial balance show for this error?

a. Cash is overstated
b. The trial balance will not balance
c. Expenses are overstated
d. Liabilities are overstated

Question 8

The detailed record of the changes in a particular asset, liability, or owner’s equity is called

a. A ledger
b. A journal
c. An account
d. A trial balance

Question 9

Which of the following is not an external user of a business’s financial information?

a. Customers
b. Employee
c. Investors
d. Taxing authorities

Question 10

When the stockholders invested cash in the business:

a. Capital stock is debited, and Cash is credited
b. Cash is debited, Dividends is Credited
c. Cash is debited, Capital stock is credited
d. None of the above

Question 11

The left side of an account is used to record which of the following?

a. Increase
b. Debits
c. Credits
d. Debit or credit, depending on the type of account

Question 12

Which of the following statements is correct?

a. Accounts Payable is increased with a credit
b. Unearned Revenue is increased with a debit
c. Prepaid Expenses are decreased with a debit.
d. Rent Expense is increased with a credit.

Question 13

A Company performed delivery services for a customer for cash. The correct debit and credit are:

a. Debit cash, Credit unearned delivery fees
b. Debit cash, Credit Delivery Fee Revenue.
c. Debit Accounts Receivable, Credit delivery Fee Revenue
d. None of the above

Question 14

If $900 has been earned by a company’s workers since the last payday in an accounting period, the necessary adjusting entry would be:

a. Debit an expense, and Credit a liability
b. Debit an expense, and Credit an asset
c. Debit a liability, and Credit an asset
d. Debit a liability, and Credit an expense

Question 15

The adjusted trial balance shows

a. Account balances after adjustments.
b. Assets and liabilities only.
c. Revenues and expenses only.
d. Amounts that may be out of balance.

Question 16

MBA Inc. has Cash of $2,400, Accounts Receivable of $3,600, and Office Supplies of $1,600. MBA owes $2,000 on Accounts Payable and Salaries Payable of $800. MBA’s current ratio is

a. 2.71
b. 2.50
c. 0.63
d. 0.37

Question 17

Which of the following accounts is not closed?

a. Withdrawals
b. Service revenue
c. Depreciation Expense
d. Accumulated Depreciation

Question 18

Adjusting the accounts is the process of

a. Subtracting expenses from revenues to measure net income
b. Recording transactions as they occur during the period
c. Updating the accounts at the end of the period
d. Zeroing out account balances to prepare for the next period.

Question 19

If the balance sheet columns do not balance, the errors is most likely to exist in the:

a. General ledger
b. First six columns of the worksheet
c. General journal
d. Last six columns of the worksheet

Question 20

Net income for a period appears in all but which of the following?

a. Income statement debit column of the worksheet
b. Statement of retained earnings credit column of the worksheet
c. Statement of retained earnings
d. Balance sheet.

Question 21

The concept that requires companies to use the same accounting practices and reporting practices through time is:
a. Substance over form.
b. Consistency.
c. Articulation.
d. None of the above.

Question 22

The underlying assumptions of accounting include all of the following except:

a. Going concern
b. Money measurement and periodicity
c. Business entity
d. Matching.

Question 23

Assets and liabilities are listed on the balance sheet in order of their

a. Adjustments.
b. Purchase date.
c. Liquidity
d. Balance.

Question 24

Which of the following accounts would be included in the plant assets category of the classified balance sheet?

a. Land held for investment
b. Accumulated depreciation
c. Office supplies
d. Mortgage payable

Question 25

Which of the following steps of the accounting cycle is not completed at the end of the period?

a. Prepare the post-closing trial balance
b. Prepare the financial statement.
c. Journalize and post the closing entries.
d. Journalize transactions as they occur.

Part 2 – Essay

Question 26

Refer to Chapter 3, complete Exercise D.

Question 27

Refer to Chapter 3; complete Exercise H – Sanchez Company.

Question 28

Refer to Chapter 4, complete Problem A – Filmblaster Inc.

Question 29

Refer to Chapter 5; complete Exercise F – Printer Repairs Company

Question 30

Refer to Chapter 6, complete Problem A