Question 1

Revenues,expenses,and withdrawals accounts,which are closed at the end of each accounting period are:

Accepted Answer

A)  Real accounts.
B)  Temporary accounts.
C)  Closing accounts.
D)  Permanent accounts.
E)  Balance sheet accounts.

Question 2

Use the following partial work sheet from Carmelo Bowl to prepare its income statement,statement of owner's equity and a classified balance sheet (Assume the owner did not make any investments in the business this year. )

Accepted Answer

The answer of Use the following partial work sheet from...

Question 3

Closing the temporary accounts at the end of each accounting period does all of the following except:

Accepted Answer

A)  Serves to transfer the effects of these accounts to the owner's capital account on the balance sheet.
B)  Prepares the withdrawals account for use in the next period.
C)  Brings the revenue and expense accounts to zero balances.
D)  Has no effect on the owner's capital account.
E)  Causes owner's capital to reflect increases from revenues and decreases from expenses and withdrawals.

Question 4

The assets section of a classified balance sheet usually includes the subgroups:

Accepted Answer

A)  Current assets,long-term investments,plant assets,and intangible assets.
B)  Current assets,long-term assets,revenues,and intangible assets.
C)  Current assets,long-term investments,plant assets,and equity.
D)  Current liabilities,long-term investments,plant assets,and intangible assets.
E)  Current assets,liabilities,plant assets,and intangible assets. A

Question 5

A current ratio of 2.1 suggests that a company has ____________ current assets to cover current liabilities.

Accepted Answer

The answer of A current ratio of 2.1 suggests that...

Question 6

A company shows a $600 balance in Prepaid Rent in the Unadjusted Trial Balance columns of the work sheet.The Adjustments columns show expired rent of $200.This adjusting entry results in:

Accepted Answer

A)  $200 decrease in net income.
B)  $200 increase in net income.
C)  $200 difference between the debit and credit columns of the Unadjusted Trial Balance.
D)  $200 of prepaid insurance.
E)  An error in the financial statements.

Question 7

_______________ are long-term resources used to produce or sell products and services;they generally lack physical form and their benefits are highly uncertain.

Accepted Answer

Intangible assets

Question 8

The Unadjusted Trial Balance columns of a work sheet total $84,000.The Adjustments columns contain entries for the following: 1.Office supplies used during the period,$1,200.
2) Expiration of prepaid rent,$700.
3) Accrued salaries expense,$500.
4) Depreciation expense,$800.
5) Accrued service fees receivable,$400.
The Adjusted Trial Balance columns total is:

Accepted Answer

A)  $80,400.
B)  $84,000.
C)  $85,700.
D)  $85,900.
E)  $87,600.

Question 9

The usual order for the asset subgroups of a classified balance sheet is:

Accepted Answer

A)  Current assets,prepaid expenses,long-term investments,intangible assets.
B)  Long-term investments,current assets,plant assets,intangible assets.
C)  Current assets,long-term investments,plant assets,intangible assets.
D)  Intangible assets,current assets,long-term investments,plant assets.
E)  Plant assets,intangible assets,long-term investments,current assets. C

Question 10

Balance sheet accounts are called ____________________ accounts because they carry their balances to the next accounting period,and are not closed as long as the company continues to own the asset,owe the liability and have equity.

Accepted Answer

The answer of Balance sheet accounts are called ____________________ accounts...

Question 11

Permanent accounts include all of the following except:

Accepted Answer

A)  Accumulated Depreciation-Equipment.
B)  Prepaid Insurance.
C)  Unearned Revenue.
D)  Accounts Receivable.
E)  Depreciation Expense-Equipment.

Question 12

Which of the following errors would cause the Balance Sheet and Statement of Owner's Equity columns of a work sheet to be out of balance?

Accepted Answer

A)  Entering an asset amount in the Income Statement Debit column.
B)  Entering a liability amount in the Income Statement Credit column.
C)  Entering an expense amount in the Balance Sheet and Statement of Owner's Equity Debit column.
D)  Entering a revenue amount in the Balance Sheet and Statement of Owner's Equity Debit column.
E)  Entering a liability amount in the Balance Sheet and Statement of Owner's Equity Credit column.

Question 13

Mandalay Company frequently has accrued expenses at the end of its fiscal year that should be recorded for proper financial statement presentation.Mandalay pays on a weekly basis and has $50,000 of accrued salaries incurred but not paid for June 30,its fiscal year-end.This consists of one day's accrued salaries for the week.The company will pay its employees $250,000 on July 4;the one day of accrued salaries and the remaining four days for July salaries.Record the following entries:
(a)Accrual of the salaries on June 30.
(b)Payment of the salaries on July 4,assuming that Mandalay does not prepare reversing entries.
(c)Assuming that Mandalay prepares reversing entries,reverse the adjusting entry made on June 30.
(d)Assuming that Mandalay prepares reversing entries,payment of the salaries on July 4.

Accepted Answer

The answer of Mandalay Company frequently has accrued expenses at...

Question 14

After preparing and posting the closing entries for revenues and expenses,the income summary account has a debit balance of $33,000.The entry to close the income summary account will be:

Accepted Answer

A)  Debit Owner Withdrawals $33,000;credit Income Summary$33,000.
B)  Debit Income Summary $33,000;credit Owner Withdrawals $33,000.
C)  Debit Income Summary$33,000;credit Owner Capital $33,000.
D)  Debit Owner Capital $33,000;credit Income Summary $33,000.
E)  Credit Owner Capital $33,000;debit Owner Withdrawals $33,000.

Question 15

The closing process resets ________,__________,and ________ account balances to zero at the end of each accounting period.
answers can appear in any order

Accepted Answer

revenue ;e...

Question 16

The Income Summary account is used to:

Accepted Answer

A)  Adjust and update asset and liability accounts.
B)  Close the revenue and expense accounts.
C)  Determine the appropriate withdrawal amount.
D)  Replace the income statement under certain circumstances.
E)  Replace the capital account in some businesses.

Question 17

A company's post-closing trial balance has a debit total of $475,000 and a credit total of $457,000.This indicates that __________________________.

Accepted Answer

an error w...

Question 18

The unadjusted trial balance of Barber Housekeeping Service is entered on the partial work sheet below.  Required:
Complete the work sheet using the following information:
(a)Salaries earned by employees that are unpaid and unrecorded,$5,000.
(b)An inventory of supplies showed $3,000 of unused supplies still on hand.
(c)Depreciation on automobiles,$30,000.
(d)Advertising for November and December in the amount of $8,000 remains unpaid and unrecorded.

Accepted Answer

The answer of The unadjusted trial balance of Barber Housekeeping...

Question 19

Complete the work sheet below for Barber Housekeeping Services by extending the account balances from the adjusted trial balance columns into the appropriate financial statement columns and by entering the amount of net income for the reporting period:

Accepted Answer

The answer of Complete the work sheet below for Barber...

Question 20

Which of the following types of businesses might have an operating cycle longer than one year?

Accepted Answer

A)  Ski resort.
B)  Clothing retailer.
C)  Florist.
D)  Wheat farmer.
E)  Commercial airplane manufacturer.

Exam 4: Completing the Accounting Cycle

Revenues,expenses,and withdrawals accounts,which are closed at the end of each accounting period are:

Correct Answer
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Use the following partial work sheet from Carmelo Bowl to prepare its income statement,statement of owner's equity and a classified balance sheet (Assume the owner did not make any investments in the business this year. )

Correct Answer
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Closing the temporary accounts at the end of each accounting period does all of the following except:

Correct Answer
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The assets section of a classified balance sheet usually includes the subgroups:

Correct Answer
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A

A current ratio of 2.1 suggests that a company has ____________ current assets to cover current liabilities.

Correct Answer
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A company shows a $600 balance in Prepaid Rent in the Unadjusted Trial Balance columns of the work sheet.The Adjustments columns show expired rent of $200.This adjusting entry results in:

Correct Answer
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_______________ are long-term resources used to produce or sell products and services;they generally lack physical form and their benefits are highly uncertain.

Correct Answer
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Intangible assets

Correct Answer
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The usual order for the asset subgroups of a classified balance sheet is:

Correct Answer
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C

Balance sheet accounts are called ____________________ accounts because they carry their balances to the next accounting period,and are not closed as long as the company continues to own the asset,owe the liability and have equity.

Correct Answer
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Permanent accounts include all of the following except:

Correct Answer
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Which of the following errors would cause the Balance Sheet and Statement of Owner's Equity columns of a work sheet to be out of balance?

Correct Answer
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Correct Answer
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After preparing and posting the closing entries for revenues and expenses,the income summary account has a debit balance of $33,000.The entry to close the income summary account will be:

Correct Answer
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The closing process resets ,,and __ account balances to zero at the end of each accounting period. answers can appear in any order

Correct Answer
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revenue ;e...
View Answer

The Income Summary account is used to:

Correct Answer
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A company's post-closing trial balance has a debit total of $475,000 and a credit total of $457,000.This indicates that __________________________.

Correct Answer
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an error w...
View Answer

Correct Answer
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Complete the work sheet below for Barber Housekeeping Services by extending the account balances from the adjusted trial balance columns into the appropriate financial statement columns and by entering the amount of net income for the reporting period:

Correct Answer
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Which of the following types of businesses might have an operating cycle longer than one year?

Correct Answer
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Exam 4: Completing the Accounting Cycle

Revenues,expenses,and withdrawals accounts,which are closed at the end of each accounting period are:

Correct AnswerverifiedShow Answer

Use the following partial work sheet from Carmelo Bowl to prepare its income statement,statement of owner's equity and a classified balance sheet (Assume the owner did not make any investments in the business this year. )

Correct AnswerverifiedShow Answer

Closing the temporary accounts at the end of each accounting period does all of the following except:

Correct AnswerverifiedShow Answer

The assets section of a classified balance sheet usually includes the subgroups:

Correct AnswerverifiedA

A current ratio of 2.1 suggests that a company has ____________ current assets to cover current liabilities.

Correct AnswerverifiedShow Answer

A company shows a $600 balance in Prepaid Rent in the Unadjusted Trial Balance columns of the work sheet.The Adjustments columns show expired rent of $200.This adjusting entry results in:

Correct AnswerverifiedShow Answer

_______________ are long-term resources used to produce or sell products and services;they generally lack physical form and their benefits are highly uncertain.

Correct AnswerverifiedIntangible assets

Correct AnswerverifiedShow Answer

The usual order for the asset subgroups of a classified balance sheet is:

Correct AnswerverifiedC

Balance sheet accounts are called ____________________ accounts because they carry their balances to the next accounting period,and are not closed as long as the company continues to own the asset,owe the liability and have equity.

Correct AnswerverifiedShow Answer

Permanent accounts include all of the following except:

Correct AnswerverifiedShow Answer

Which of the following errors would cause the Balance Sheet and Statement of Owner's Equity columns of a work sheet to be out of balance?

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

After preparing and posting the closing entries for revenues and expenses,the income summary account has a debit balance of $33,000.The entry to close the income summary account will be:

Correct AnswerverifiedShow Answer

The closing process resets ________,__________,and ________ account balances to zero at the end of each accounting period. answers can appear in any order

Correct Answerverifiedrevenue ;e...View AnswerShow Answer

The Income Summary account is used to:

Correct AnswerverifiedShow Answer

A company's post-closing trial balance has a debit total of $475,000 and a credit total of $457,000.This indicates that __________________________.

Correct Answerverifiedan error w...View AnswerShow Answer

Correct AnswerverifiedShow Answer

Complete the work sheet below for Barber Housekeeping Services by extending the account balances from the adjusted trial balance columns into the appropriate financial statement columns and by entering the amount of net income for the reporting period:

Correct AnswerverifiedShow Answer

Which of the following types of businesses might have an operating cycle longer than one year?

Correct AnswerverifiedShow Answer

Correct Answer
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A

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Intangible assets

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C

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The closing process resets ,,and __ account balances to zero at the end of each accounting period. answers can appear in any order

Correct Answer
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revenue ;e...
View Answer

Correct Answer
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an error w...
View Answer

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