Question 1

credit to Salary Payable of $4,000

Accepted Answer

A business pays bi-weekly salaries of $20,000 every other Friday for a ten-day period ending on that day. The last pay day of December is Friday, December 27. Assuming the next pay period begins on Monday, December 30 and the proper adjusting entry is journalized at the end of the fiscal period (December 31). The entry for the payment of the payroll on Friday, January 10 includes?

Question 2

credit to Salary Payable of $16,000

Accepted Answer

A business pays bi-weekly salaries of $20,000 every other Friday for a ten-day period ending on that day. The adjusting entry necessary at the end of the fiscal period ending on the second Wednesday of the pay period includes a?

Question 3

ordinarily begins on the first day of a month and ends on the last day of the following twelfth month

Accepted Answer

A fiscal year?

Question 4

Contra Asset Accounts

Accepted Answer

Accumulated Depreciation appears on the?

Question 5

income statement account and one balance sheet account

Accepted Answer

Adjusting entries affect at least one?

Question 6

at least one income statement account and one balance sheet account

Accepted Answer

Adjusting entries always include?

Question 7

needed to bring accounts up to date and match revenue and expense

Accepted Answer

Adjusting entries are?

Question 8

zero

Accepted Answer

After posting the second closing entry to the income summary account, the balance will be equal to?

Question 9

Depreciation

Accepted Answer

As time passes, fixed assets other than land lose their capacity to provide useful services. To account for this decrease in usefulness, the cost of fixed assets is systematically allocated to expense through a process called?

Question 10

represent amounts accumulated during a specific period of time

Accepted Answer

Balance sheet accounts?

Question 11

Net income or loss will be properly reported on the income statement

Accepted Answer

By matching revenues and expenses in the same period in which they incur?

Question 12

the last day of the accounting period, although they are actually journalized after the end of the accounting period

Accepted Answer

Closing entries are dated in the journal as of?

Question 13

must be journalized and posted

Accepted Answer

Closing entries

Question 14

not yet been recorded as expenses

Accepted Answer

Deferred expenses have

Question 15

not earned but the cash has been received

Accepted Answer

Deferred revenue is revenue that is

Question 16

Preparation of adjustments, adjusted trial balance, financial statements

Accepted Answer

During the end-of-period processing which of the following best describes the logical order of this process?

Question 17

accrual basis

Accepted Answer

Generally accepted accounting principles requires that companies use the ____ of accounting?

Question 18

Closing journal entries,

Accepted Answer

Income Summary 650 - ABC, Capital 650

Question 19

Assets and owner\'s equity understated

Accepted Answer

A tenant paid 6 months rent in advance when he moved in on the first day of the month. No entry was made on the last day of the month =

Question 20

increases the balance of an expense account

Accepted Answer

If the effect of the credit portion of an adjusting entry is to increase the balance of a liability account, which of the following describes the effect of the debit portion of the entry?

Question 21

decrease the balance of a liability account

Accepted Answer

If the effect of the debit portion of an adjusting entry is to increase the balance of an expense account, which of the following describes the effect of the credit portion of the entry?

Question 22

preparing a post-closing trial balance

Accepted Answer

In the accounting cycle, the last step is?

Question 23

Prepaid expense,

Accepted Answer

Paid 6 months of rental payments to the landlord

Question 24

balance sheet in the current assets section

Accepted Answer

Notes Receivable due in 350 days appear on the?

Question 25

No financial statement

Accepted Answer

On which financial statement will Income Summary be shown?

Question 26

verify that the debits and credits are in balance

Accepted Answer

Once the adjusting entries are posted, the Adjusted Trial Balance is prepared to?

Question 27

matching

Accepted Answer

One of the accounting concepts upon which deferrals and accruals are based is?

Question 28

added to liabilities and the two are equal to assets

Accepted Answer

Owner\'s Equity is?

Question 29

become expenses when their future economic value expires

Accepted Answer

Prepaid expenses are eventually expected to?

Question 30

current asset

Accepted Answer

Prepaid insurance is reported on the balance sheet as a?

Question 31

been incurred, not paid, and not recorded

Accepted Answer

Prior to the adjusting process, accrued expenses have?

Question 32

been earned and not recorded as revenue

Accepted Answer

Prior to the adjusting process, accrued revenue has?

Question 33

will be paid in less than one year

Accepted Answer

Short-term liabilities are those liabilities?

Question 34

liability, credit

Accepted Answer

The account type and normal balance of Unearned Revenue is?

Question 35

Unadjusted, adjusted, post-closing

Accepted Answer

The accounting cycle requires three trial balances be done. In what order should they be prepared?

Question 36

debit Depreciation Expense; credit Accumulated Depreciation

Accepted Answer

The adjusting entry to record the depreciation of equipment for the fiscal period is?

Question 37

after the income statement and the statement of owner\'s equity

Accepted Answer

The Balance Sheet should be prepared?

Question 38

records revenues and expenses when they are incurred

Accepted Answer

The cash basis of accounting records revenues and expenses when the cash is exchanged while the accrual basis of accounting?

Question 39

Current Liabilities and Long-Term Liabilities

Accepted Answer

The classified Balance Sheet will divide its Liabilities Section as the following subsections?

Question 40

Current Assets and Property, Plant, and Equipment

Accepted Answer

The classified Balance Sheet will subsection the assets section as follows?

Question 41

book value

Accepted Answer

The difference between the balance of a fixed asset account and the related accumulated depreciation account is termed?

Question 42

debit Supplies Expense; credit Supplies

Accepted Answer

The entry to adjust for the cost of supplies used during the accounting period is?

Question 43

debit Wages Expense; credit Wages Payable

Accepted Answer

The entry to adjust the accounts for wages accrued at the end of the accounting period is?

Question 44

debit Income Summary; credit Insurance Expense

Accepted Answer

The entry to close the appropriate insurance account at the end of the accounting period is?

Question 45

begins with the first day of the month and ends on the last day of the twelfth month

Accepted Answer

The fiscal year selected by companies?

Question 46

An adjusted trial balance is prepared

Accepted Answer

The following are steps in the accounting cycle. Of the following, which would be prepared last?

Question 47

Transactions are posted to the ledger

Accepted Answer

The following are steps to the accounting cycle. Of the following, which step should be done first?

Question 48

Accrual

Accepted Answer

The general term employed to indicate an expense that has not been paid and has not yet been recognized in the accounts by a routine entry is?

Question 49

the adjusted trial balance

Accepted Answer

The income statement is prepared from?

Question 50

before the statement of owner\'s equity and balance sheet

Accepted Answer

The income statement should be prepared?

Question 51

Revenues less Expenses (ordered largest to smallest amount) with Miscellaneous Expense listed last

Accepted Answer

The Income Statement will include the following accounts?

Question 52

the clearing account

Accepted Answer

The income summary account is also called?

Question 53

states that the revenues and related expenses should be reported in the same period

Accepted Answer

The matching concept?

Question 54

is a fiscal year that ends when business activities are at its lowest point.

Accepted Answer

The natural business year?

Question 55

Original cost less accumulated depreciation

Accepted Answer

The net book value of a fixed asset is determined by?

Question 56

does not include income statement accounts

Accepted Answer

The post-closing trial balance differs from the adjusted trial balance in that it?

Question 57

analyze and record transactions, post transactions to the ledger, prepare a trial balance, analyze adjustment data, prepare adjusting entries, prepare financial statements, journalize closing entries and post to the ledger, and finally prepare a post-closing trial balance

Accepted Answer

The proper sequence of steps in the accounting cycle is as follows?

Question 58

determines when revenue is credited to a revenue account

Accepted Answer

The revenue recognition concept?

Question 59

plus investments plus Net Income (loss) less withdrawals

Accepted Answer

The Statement of Owner\'s Equity begins with the beginning balance followed by?

Question 60

after the income statement and before the balance sheet

Accepted Answer

The Statement of Owner\'s Equity should be prepared?

Question 61

contra asset, credit

Accepted Answer

The type of account and normal balance of Accumulated Depreciation is?

Question 62

$54,000

Accepted Answer

The unearned rent account has a balance of $72,000. If $18,000 of the $72,000 is unearned at the end of the accounting period, the amount of the adjusting entry is?

Question 63

is used to summarize account balances and adjustments for the financial statements

Accepted Answer

The worksheet?

Question 64

Revenues, expenses, income summary, drawing account

Accepted Answer

There are four closing entries. The first one is to close ____, the second one is to close ____, the third one is to close ____, and the last one is to close ____?

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