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Study Resources (Accounting)

187.Prepare an income statement and a statement of owner’s equity for the month ended September 30, 2010 from the T-accounts below of Carson Company. Prepaid Insurance Accounts Receivable Unearned Revenues Wages Payable 1,400 1,600 1,200 435 120 400 200 Carson, Capital Carson, Drawing Income Summary Fees Earned 6,800 2,400 4,150 3,300 2,500 2400 4,760 500 610 610 350 2,400 4,150 Wages Expense Rent Expense Insurance Expense Utilities Expense 3,200 1,130 80 125 225 1,130 80 125 3,425 .
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51.The unadjusted, adjusted, and final trial balances are prepared during the accounting cycle of a period. 52.Any twelve-month accounting period adopted by a company is known as its fiscal year. 53.A fiscal year that ends when business activities have reached their lowest point is called the natural business year. 54.All companies must use.
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51.Match the transaction below with the journal or ledger in which it would be entered. 1.record purchase on account from vendor General journal 2.record payment received from customer Accounts receivable subsidiary ledger 3.cash receipt posting to an individual customer account Revenue journal 4.record sale on account to customer Purchase journal 5.monthly adjustment for supplies used Cash receipts journal 6.record payment made.
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1.After analyzing transactions, the next step would be to post the transactions in the ledger. 2.The most important output of the accounting cycle is the financial statements. 3.The work sheet is not considered a part of the formal accounting records. 4.Cross-referencing is useful in assuring that the debits and credits are in balance. 5.When.
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54.A(n) ___________ system is the methods and procedures for collecting, classifying, summarizing and reporting a business’s financial and operating information. A.accounting B.fiduciary C.operations D.auditing 55.The phase of accounting system installation in which the information needs of people in the organization are taken into account is A.analysis B.design C.implementation D.installation 56.Which of the following is not one.
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105.After posting the second closing entry to the income summary account, the balance will be equal to A.zero. B.owner’s equity. C.revenues for the period D.the net income or (loss) for the period. 106.What is the last account that should be listed in the Post Closing Trial Balance? A.Income Summary B.Capital account C.Cash D.Fees Earned 107.Which of the following account groups.
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1.Businesses must implement controls to help guide the behavior of their employees toward business objectives. 2.The methods or procedures used to record and report financial data are called the accounting system. 3.Systems analysis is the final phase in the creation or revision of an accounting system. 4.Processing methods are the means by which.
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159.The following accounts appear in an adjusted trial balance of Brock Pool Service Company. Indicate whether each account would be reported in the (a) current asset, (b) property, plant, and equipment, (c) current liabilities, (d) long-term liability, or (e) owner’s equity section of the December 31, 2010, balance sheet of.
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11.Specialized journals are books of original entry. 12.Transactions must first be recorded into the general journal before they can be entered into specialized journals. 13.The format and number of specialized journals that a business uses depends upon the legal organization of the business. 14.The basic procedure of posting from a revenue journal is.
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192.The following adjusted trial balance is the result of the adjustments made at the end of the month of March for Erik Martin Company. Utilize these adjusted values to perform the closing entries for Erik Martin Company. Cash $24,750.00 Accounts Receivable 5,750.00 Office Supplies 3,525.00 Store Supplies 4,785.00 Machinery 9,750.00 Accumulated Depreciation 2,150.00 Accounts Payable 3,550.00 Notes Payable 7,500.00 Erik Martin, Capital 19,725.00 Erik Martin, Drawing 6,250.00 Service Revenue 36,500.00 Wages Expense 6,425.00 Office Supplies.
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196.The following is the adjusted trial balance for Sandeep Company. Sandeep Company Adjusted Trial Balance December 31, 2010 Cash 8,130 Accounts Receivable 3,300 Prepaid Expenses 2,750 Equipment 10,400 Accumulated Depreciation 2,200 Accounts Payable 2,700 Notes Payable 1,000 Rena Sandeep, Capital 11,200 Rena Sandeep, Drawing 4,870 Fees Earned 36,600 Wages Expense 12,450 Rent Expense 4,900 Utilities Expense 3,475 Depreciation Expense 2,150 Miscellaneous Expense 1,275 Totals 53,700 53,700 Prepare closing entries and the post closing trial balance. .
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199. 1)Dana Bowen Company is completing its first year of operations on April 30, 2010. Reconstruct the entries for the year ended April 30, 2010 from the T-accounts below. Record them as follows: A - L Journal Entries M- R Adjusting Journal Entries 2)Balance and prepare the Income Statement, Statement of Owner’s Equity, and.
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75.In the accounting cycle, the last step is A.preparing the financial statements B.journalizing and posting the adjusting entries C.preparing a post-closing trial balance D.journalizing and posting the closing entries 76.During the end-of-period processing which of the following best describes the logical order of this process A.Preparation of adjustments, adjusted trial balance, financial statements B.Preparation of Income Statement,.
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135.Which one of the steps below is not aided by the preparation of the work sheet? A.preparing the adjusted trial balance B.posting to the general ledger C.preparing the financial statements D.preparing the closing entries 136.A work sheet includes columns for A.adjusting entries B.closing entries C.reversing entries D.adjusting and closing entries 137.When a work sheet is complete, the adjustment columns should.
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171.Hakik Enterprises offers rug cleaning services to business clients. Below are the adjustments data for the year ended July 31, 2010. REQUIRED: Using this information along with the spreadsheet below, record the adjusting entries in proper general journal form. Adjustments: a) The equipment is estimated to last for 5 years with no.
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188.Selected ledger accounts appear below for Fulton Surveying Services for 2010. Fulton, Capital Fulton, Drawing 12/31 15,000 1/1 20,000 3/31 12,000 12/31 15,000 12/31 45,000 12/22 3,000 Income Summary 12/31 19,000 12/31 64,000 12/31 45,000 Prepare a statement of owner's equity. 189.On the basis of the following data taken from the Adjusted Trial Balance columns of the work sheet for the year ended March.
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41.The total on the "Accounts Payable Creditors Balances" report at January 31, the end of the first month of operations, agrees with the total of the Accounts Payable debit column in the cash payments journal for the same period. 42.The accounts included on specialized journals should not be customized for a.
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31.The revenue journal is to make it more efficient to record sales transactions made for cash. 32.The post reference column of the revenue journal will reference the account number of the customer. 33.The total of the accounts receivable subsidiary accounts and the account receivable controlling account should balance to each other at.
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182.The following data were taken from the Balance Sheet columns of the work sheet for April 30, 2010 for Mackenzie Company: Accumulated Depreciation-Trucks $42,400 Prepaid Rent 6,800 Supplies 850 Unearned Fees 7,310 Trucks 49,300 Cash 3,400 Mackenzie, Capital ? Prepare a classified balance sheet. 183.Indicate whether each of the following would be reported in the section of financial statements identified as (a) current asset, (b) property,.
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201.Complete the following worksheet for Danilo Enterprises. Danilo Enterprises Worksheet For the Year Ended December 31, 2010 Adjusted Trial Balance Income Statement Balance Sheet Account Title Debit Credit Debit Credit Debit Credit Cash 14,500 Accounts Receivable 7,500 Supplies 500 Equipment 20,500 Accumulated Depr-Equip 15,000 Accounts Payable 9,500 Wages Payable 3,060 Tony Danilo, Capital 18,240 Tony Danilo, Drawing 1,000 Fees Earned 34,000 Wages Expense 18,000 Rent Expense 9,300 Depreciation Expense 8,500 Totals 79,800 79,800 Net Income (Loss) .
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21.Deferred expenses that benefit a relatively short period of time are listed on the balance sheet as current assets. 22.Unearned revenues that will be earned in a relatively short period of time are listed on the balance sheet as current assets. 23.Accrued expenses are ordinarily listed on the balance sheet as current.
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156.The balances for the accounts listed below appear in the Adjusted Trial balance columns of the end-of-period spreadsheet (work sheet). Indicate whether each balance should be extended to an Income Statement column or (b) a Balance Sheet column. 1. Dobson, Capital 2. Dobson, Drawing 3. Depreciation Expense 4. Accumulated Depreciation 5. Fees earned 6. Unearned Fees 7..
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174.Bob Evans owns a business, Beachside Realty, that rents condominiums and furnishings. Below is the adjusted trial balance at December 31, 2010. Debit Credit Cash $ 1,500 Accounts receivable 2,000 Interest receivable 100 Prepaid insurance 1,600 Notes receivable (long-term) 2,800 Equipment 15,000 Accumulated depreciation $3,000 Accounts payable 2,400 Accrued expenses payable 3,920 Income taxes payable 2,700 Unearned rent fees 500 Bob Evans, Capital 7,700 Bob Evans, Drawing 2,000 Rent fees earned 37,000 Furniture rental revenue 1,200 Interest revenue 100 Wages expense 19,000 Depreciation expense 1,800 Utilities expense 320 Insurance expense 700 Maintenance.
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145.Which of the accounts below would appear in the Balance Sheet columns of the work sheet? A.Service Revenue B.Prepaid Rent C.Supplies Expense D.None are correct 146.The work sheet at the end of July has $5,350 in the Balance Sheet credit column for Accumulated Depreciation. The work sheet at the end of August has $6,700 in.
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186.Prepare an income statement and a statement of owner’s equity, for the month ended August 31, 2010, from the following T-Accounts of Marley Company. Prepaid Insurance Accounts Receivable Unearned Revenues Wages Payable 1,100 5,400 1,400 480 200 800 400 Marley, Capital Marley, Drawing Income Summary Fees Earned 6,500 3,200 9,975 7,500 2,800 3,200 3,845 2,000 5,930 5,930 275 3,200 9,775 Wages Expense Rent Expense Insurance Expense Utilities Expense 2,200 990 135 95 425 990 135 95 2,625 .
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175.Bob Evans owns a business, Beachside Realty, that rents condominiums and furnishings. Below is the adjusted trial balance at December 31, 2010. Debit Credit Cash $ 1,500 Accounts receivable 2,000 Interest receivable 100 Prepaid insurance 1,600 Notes receivable (long-term) 2,800 Equipment 15,000 Accumulated depreciation $3,000 Accounts payable 2,400 Accrued expenses payable 3,920 Income taxes payable 2,700 Unearned rent fees 500 Bob Evans, Capital 7,700 Bob Evans, Drawing 2,000 Rent fees earned 41,000 Furniture rental revenue 1,200 Interest revenue 100 Wages expense 19,000 Depreciation expense 1,800 Utilities expense 320 Insurance expense 700 Maintenance.
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194.Marcus Enterprises was started by Damien Marcus in 2009. During 2010, Damien Marcus invested $8,000 in the business. Based on the following worksheet, prepare and income statement, statement of owner’s equity, and balance sheet for Marcus Enterprises for the year ended December 31, 2010. Marcus Enterprises Worksheet For the Year Ended December 31,.
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200.The balances in the ledger of Good Landscape Services as of January 31, 2010 before adjustments, are as follows: Cash $4,250 Dalton Good, Capital $20,375 Supplies 3,900 Dalton Good, Drawing 3,425 Prepaid Insurance 8,400 Service Revenue 63,200 Equipment 41,750 Salary Expense 24,300 Accumulated Rent Expense 6,000 Depreciation 9,950 Miscellaneous Expense 1,500 Adjustment data are as follows: supplies on hand, January 31, $1,800; insurance expired for January, $1,100; depreciation on equipment for January, $2,500;.
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179.Indicate whether each of the following would be reported in the financial statements as a(n) (a) current asset, (b) current liability, (c) revenue, or (d) expense: (1) Supplies (5) Supplies Expense (2) Unearned Fees (6) Prepaid Insurance (3) Prepaid Advertising (7) Accounts Payable (4) Advertising Expense (8) Fees Earned 180.The following accounts were taken from the Adjusted Trial Balance columns of the work sheet for April.
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195.Prepare closing entries from the following work sheet. Lakendra Enterprises Worksheet For the Year Ended December 31, 2010 Adjusted Trial Balance Income Statement Balance Sheet Account Title Debit Credit Debit Credit Debit Credit Cash 26,500 26,500 Accounts Receivable 7,000 7,000 Supplies 1,000 1,000 Equipment 18,500 18,500 Accumulated Depr-Equip 5,000 5,000 Accounts Payable 11,000 11,000 Wages Payable 1,000 1,000 Lakendra Thomas, Capital 8,000 8,000 Lakendra Thomas, Drawing 2,000 2,000 Fees Earned 59,500 59,500 Wages Expense 19,000 19,000 Rent Expense 7,000 7,000 Depreciation Expense 3,500 3,500 Totals 84,500 84,500 29,500 59,500 55,000 25,000 Net Income (Loss) 30,000 30,000 59,500 59,500 55,000 55,000 .
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115.The entry to close the appropriate insurance account at the end of the accounting period is A.debit Income Summary; credit Prepaid Insurance B.debit Prepaid Insurance; credit Income Summary C.debit Insurance Expense; credit Income Summary D.debit Income Summary; credit Insurance Expense 116.Which of the following accounts ordinarily appears in the post-closing trial balance? A.Fees Earned B.Supplies Expense C.Zane White,.
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185.The following is the adjusted trial balance for Nadia Company. Nadia Company Adjusted Trial Balance December 31, 2010 Cash 5,130 Accounts Receivable 3,300 Prepaid Expenses 550 Equipment 12,400 Accumulated Depreciation 2,200 Accounts Payable 700 Notes Payable - Due on June 30, 2011 4,000 Nadia Porter, Capital 13,000 Nadia Porter, Drawing 700 Fees Earned 9,930 Wages Expense 2,450 Rent Expense 1,900 Utilities Expense 1,475 Depreciation Expense 1,150 Miscellaneous Expense 775 Totals 29,830 29,830 Prepare an Income Statement, Balance Sheet, and Statement of Owner’s Equity. Assume that the.
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85.The income statement is prepared from: A.the adjusted trial balance. B.the income statement columns of the work sheet. C.either the adjusted trial balance or the income statement columns of the work sheet. D.both the adjusted trial balance and the income statement columns of the work sheet. 86.Round-tripping is when A.a selling company sells to a.
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193.The following adjusted trial balance is the result of the adjustments made at the end of the month of July for Ladonna Douglas Company. Utilize these adjusted values to perform the closing entries for Ladonna Douglas Company. Cash $34,750.00 Accounts Receivable 9,750.00 Office Supplies 2,525.00 Store Supplies 4,785.00 Machinery 10,750.00 Accumulated Depreciation 2,150.00 Accounts Payable 14,300.00 Notes Payable 11,500.00 Ladonna Douglas, Capital 53,725.00 Ladonna Douglas, Drawing 13,250.00 Service Revenue 41,500.00 Wages Expense 37,425.00 Rent Expense 3,000.00 Advertising.
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197.Reconstruct the adjusting and closing entries from the following T-Accounts. Prepaid Insurance Accounts Receivable. Unearned Revenues Wages Payable 1,200 6,000 1,350 530 200 1,500 435 530 1,000 7,500 915 Madison Cox, Capital Madison Cox, Drawing Income Summary Fees Earned 7,000 2,100 9,935 8,000 5,280 2,100 4,655 1,500 2,100 0 5,280 435 10,180 0 9,935 0 Wages Expense Rent Expense Insurance Expense Utilities Expense 2,600 1,145 200 180 530 1,145 200 180 3,130 0 0 0 0 .
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11.The difference between a classified balance sheet and one that is not classified is that the classified one has subheadings. 12.Cash and other assets that may reasonably be expected to be realized in cash, sold, or consumed through the normal operations of a business, usually longer than one year, are called.
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163.Prior to adjustment at August 31, 2010, Salary Expense has a debit balance of $298,500. Salaries owed but not paid as of the same date total $2,700. Present the entries to record the following: (1) Accrued salaries as of August 31. (2) Closing of Salary Expense as of August 31. 164.The following are all the steps.
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41.A post-closing trial balance should be prepared before the financial statements are prepared. 42.Assets, liabilities, and owner’s capital are real accounts and do not get closed at the end of the period. 43.The income summary account is also known as the clearing account. 44.All income statement accounts will be closed at the end.
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31.The income summary account is closed to the owner's capital account. 32.The accumulated depreciation account is closed to the income summary account. 33.The drawing account is closed to the income summary account. 34.The trial balance prepared after all the closing entries have been posted is called a pre-closing trial balance. 35.Entries required to close.
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198.Reconstruct adjusting and closing entries for the month ended September 30, 2010 from the T-accounts below. Prepaid Insurance Accounts Receivable. Unearned Revenues Wages Payable 1,350 1,250 1,050 385 130 275 235 385 1,220 1,525 815 Mai Lui, Capital Mai Lui, Drawing Income Summary Fees Earned 7,000 2,400 5,510 5,000 580 2,400 6,090 275 2,400 0 580 235 4,020 5,510 Wages Expense Rent Expense Insurance Expense Utilities Expense 3,600 1,880 130 95 385 1,880 130 95 3,985 0 0 0 0 .
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95.The Statement of Owner’s Equity begins with the beginning balance followed by A.plus Net Income (loss) less withdrawals B.plus Net Income (loss) plus investments C.plus investments less withdrawals D.plus investments plus Net Income (loss) less withdrawals 96.The Income Statement will include the following accounts A.Revenues less Expenses (ordered largest to smallest amount) with Miscellaneous Expense listed.
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165.If working papers are not considered part of the formal accounting records, then why are they used? 166.Explain how net income or loss is determined by using the work sheet. 167.You evaluate loan requests as part of your job at Beach Front National Bank. One loan request you received is from Surfer.
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191.On the basis of the following information taken from the Adjusted Trial Balance columns of the work sheet for the month ended September 30th, journalize the closing entries for Perez Roofing Company. Cash $22,500.00 Accounts Receivable 3,575.00 Office Supplies 2,850.00 Repair Parts 3,785.00 Machinery 17,750.00 Accumulated Depreciation 3,250.00 Accounts Payable 1,150.00 Notes Payable 6,500.00 Sam Perez, Capital 2,500.00 Sam Perez,.
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21.A controlling account is used to record the details of the individual accounts. 22.A cash refund paid to a customer who overpaid an account receivable is recorded in the cash payments journal. 23.A personal withdrawal of cash is recorded in the general journal. 24.Services provided for cash is recorded in the revenue journal. 25.Services.
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125.Use the following worksheet to answer the following questions. Finley Company Worksheet For the Year Ended December 31, 2010 Adjusted Trial Balance Income Statement Balance Sheet Account Title Debit Credit Debit Credit Debit Credit Cash 48,000 48,000 Accounts Receivable 18,000 18,000 Supplies 6,000 6,000 Equipment 57,000 57,000 Accumulated Depr-Equip 18,000 18,000 Accounts Payable 30,000 30,000 Wages Payable 6,000 6,000 C. Finley, Capital 33,000 33,000 C. Finley, Drawing 3,000 3,000 Fees Earned 141,000 141,000 Wages Expense 63,000 63,000 Rent Expense 18,000 18,000 Depreciation Expense 15,000 15,000 Totals 228,000 228,000 96,000 141,000 132,000 87,000 Net Income (Loss) 45,000 45,000 141,000 141,000 132,000 132,000 Based on the preceding trial balance, the entry to close C. Finley, Drawing would be: A.debit C..
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184.The following balance sheet contains errors. Brock Morton Services Co. Balance Sheet For the Year Ended December 31, 2010 Assets Liabilities Current assets: Current liabilities: Cash $7,170 Accounts receivable $ 10,000 Accounts payable 7,500 Accum. depr-building 12,525 Supplies 2,590 Accum. depr-equipment 7,340 Prepaid insurance 800 Net income 11,500 Land 24,000 Total current assets $42,060 Total liabilities $41,365 Owner's Equity Property, plant, and equipment: Wages payable $ 1,500 Building $43,700 Brock Morton, Capital  88,645 Equipment 29,250 Total owner's equity $90,145 Total property, plant, .
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172.Bob Evans owns a business, Beachside Realty, that rents condominiums and furnishings. Below is the adjusted trial balance at December 31, 2010. Debit Credit Cash $ 1,500 Accounts receivable 2,000 Interest receivable 100 Prepaid insurance 1,600 Notes receivable (long-term) 2,800 Equipment 15,000 Accumulated depreciation $3,000 Accounts payable 2,400 Accrued expenses payable 3,920 Income taxes payable 2,700 Unearned rent fees 500 Bob Evans, Capital 7,700 Bob Evans, Drawing 2,000 Rent fees earned 37,000 Furniture rental revenue 1,200 Interest revenue 100 Wages expense 19,000 Depreciation expense 1,800 Utilities expense 320 Insurance expense 700 Maintenance.
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