question

Which of the following groups of accounts have a normal debit balance?

answer

Assets, Expenses

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Which of the following applications of the rules of debit and credit is true?

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increase Supplies Expense with a debit and the normal balance is a debit

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Which of the following accounts is an asset account?

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Cash

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A debit may signify a

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decrease in liability accounts

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Which of the following accounts is an owner's equity account?

answer

Julia Davis, Capital

question

Which of the following types of accounts have a normal debit balance?

answer

Assets and expenses

question

A debit signifies a decrease in

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revenue

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Which of the following accounts is a liability account?

answer

Notes Payable

question

A credit signifies a decrease in

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with drawing

question

An account is said to have a debit balance if

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the amount of the debits exceeds the amount of the credits

question

Which of the following types of accounts have a normal credit balance?

answer

Liability

question

The debit side of an account

answer

is the left side of the account

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which of the following describes the classification and normal balance of the cash account?

answer

Asset, debit

question

Which of the following describes the classification and normal balance of the owner's capital account?

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Owner's equity, credit

question

Which of the following describes the classification and normal balance of the accounts receivable account?

answer

Asset, debit

question

The classification and normal balance of the drawing account is

answer

owner's equity with a debit balance

question

A credit may signify a

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decrease in assets

question

The classification and normal balance of the accounts payable account is

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a liability with a credit balance

question

The classification and normal balance of the equipment account is

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an asset with a debit balance

question

In which of the following types of accounts are decreases recorded by credits

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withdrawing

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In which of the following types of accounts are decreases recorded by debits

answer

revenue

question

The classification and normal balance of the supplies account is an

answer

asset with a debit balance

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In which of the following types of accounts are increases recorded by debits?

answer

Assets, Expenses

question

The classification and normal balance of the supplies expense account is

answer

expense with a debit balance

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which of the following describes the classification and normal balance of the fees earned account?

answer

revenue, credit

question

Which of the following entries records the withdrawal of cash by Joe, owner of a proprietorship, for personal use?

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debit Joe, Drawing, credit Cash

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In which of the following types of accounts are increases recorded by credits?

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Revenue, Liabilities

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A credit balance in which of the following accounts would indicate a likely?

answer

Salary expense

question

which of the following entries records the payment of an account payable?

answer

debit Accounts Payable, credit Cash

question

Cash was paid by J's Appliance Repair to creditors on account. Which of the following entries for J's records this transaction?

answer

Accounts payable, debit, cash, credit

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Which of the following entries records the receipt of cash from patients on account?

answer

Cash, debit, Accounts Receivable, credit

question

Which of the following entries records the payment of rent for the current month?

answer

Rent Expense debit, Cash credit

question

Office supplies purchased by J's Appliance Repair on account were returned. which of the following entries for J's Appliance Repair records this transaction?

answer

Accounts Payable debit, Office Supplies credit

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Which of the following entries records the collection of cash from cash customers?

answer

Cash debit, Fees Earned credit

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Which of the following entries records the investment of cash by Funaro, owner of a proprietorship?

answer

debit Cash, credit Funaro, Capital

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The verification the total dollar amount of the debits equals the total dollar amount of the credits in the ledger is called a

answer

trial balance

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A debit balance in which of the following accounts would indicate a likely error?

answer

Notes Payable

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Supplies purchases on account were incorrectly recorded as Office Equipment. The correcting entry would be

answer

Supplies, debit, Office Equipment credit

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Which of the following entries records the billing of patients for services performed?

answer

Accounts Receivable debit, Fees Earned credit

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Which of the following entries records the acquisition of office supplies on account?

answer

Office Supplies debit, Accounts Payable credit

question

The matching concept

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determines that expenses related to revenue be reported at the same time the revenue is reported

question

An overpayment error was discovered in computing and paying the wages of a Bartson Repair Shop employee. When Bartson receives cash from the employee for the amount of the overpayment, which of the following entries will Bartson make.

answer

Cash debit, Wages Expense credit

question

The process of initially recording a business transaction is called

answer

journalizing

question

Which of the following entries records the receipt of a utilities bill from the water company?

answer

debit Utilities Expense, credit Accounts Payable

question

Which of the following entries records the receipt of cash for two months' rent? The cash was received in advance of the providing the service

answer

Cash debit, Unearned Revenue credit

question

Which of the following entries records the owner taking cash from the company for personal use?

answer

Drawing debit, Cash credit

question

The balance in the prepaid rent account before adjustment at the end of the year is $15,000, which represents three months' rent paid on December 31 is

answer

debit Rent Expense $5000, credit Prepaid Rent $5000

question

The balance in the office supplies account on June 1 was $5200, supplies purchased during June were $2500 and the supplies on hand at June 30 were $2000. The amount to be used for the appropriate adjusting entry is

answer

$5700

question

A business pays weekly salaries of $20000 Friday for a five day week ending on that day. The adjusting entry necessary at the end of the fiscal period ending on Thursday is

answer

debit Salary Expense $16000, credit Salaries Payable $16000

question

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

answer

book value

question

What is the proper adjusting entry at June 30, the end of the fiscal year, based on a prepaid insurance account balance before adjustment, $15500 and unexpired amounts per analysis of policies $4500?

answer

debit Insurance Expense $11000., credit Prepaid Insurance $11000

question

Accounts Receivable appears on

answer

balance sheet

question

Salaries Payable appears on the

answer

balance sheet

question

Adjusting entries are

answer

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

question

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

answer

depreciation

question

Using accrual accounting, revenue is recorded and reported only

answer

when the services are rendered without regard to when cash is received

question

Long term Liabilities appears on the

answer

balance sheet

question

The type of account and normal balance of accumulated depreciation is

answer

contra asset, credit

question

Which of the following accounts will be closed to Capital at the end of the fiscal year?

answer

Income Summary

question

Unearned Fees appears on the

answer

balance sheet as a current liability

question

Which of the following accounts should be closed to Income Summary at the end of the fiscal year?

answer

Supplies Expense

question

Accumulated Depreciation appears on the

answer

balance sheet in the fixed assets section

question

Which of the fixed asset accounts listed below will not have a related contra asset account?

answer

Land

question

Depreciation Expense appears on the

answer

income statement

question

The unearned rent account has a balance of $40000. If $3000 of the $40000 is unearned at the end of the accounting period, the amount of the adjusting entry is

answer

$37000

question

Which of the following accounts will not be closed to Income Summary at the end of the fiscal year?

answer

Unearned rent

question

Which of the following is reported on the Statement of Owner Equity for the current year?

answer

Owner's additional investment made during the current period

question

Prepaid insurance is reported on the balance sheet as a

answer

current asset

question

The type of account and normal balance of Prepaid Rent is

answer

asset, debit

question

Unearned rent, representing rent for the next six months' occupancy would be reported on the landlord's balance sheet as a

answer

liability

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