Recent Question

All of the following actions can help a business manage its cash flows except 1. Which of the following accounts will eventually be followed with an inflow of cash? a. Prepaid Insurance b. Unearned Revenue c. Owner's Withdrawals d. Accounts Receivable 2. Which of the following accounts will eventually be followed with an outflow of cash? a. Design Revenue b. Notes Receivable c. Accounts Payable d. Prepaid Rent 3. ...

Other / Other 29 Apr 2016

Which of the following statements is not necessarily true about a journal entry 1. Which of the following statements is true about a journal entry? a. Decreases in liabilities are indented. b. The Post. Ref. column is left blank until entries are posted. c. A line is skipped between each debit and each credit. d. Assets are entered before liabilities. 2. Which of the following statements is not necessarily true about a journal ...

Other / Other 29 Apr 2016

Which of the following events does not result in the recording of an expense 1. A transaction in which six months' rent is paid in advance. Which of the following journal entries records the transaction? a. Prepaid Rent – Debit; Cash – Credit b. Rent Receivable – Debit; Cash – Credit c. Rent Revenue – Debit; Cash – Credit d. Rent Expense– Debit; Cash – Credit 2. Which of t ...

Other / Other 29 Apr 2016

Which of the following errors will cause the trial balance to be out of balance 1. Which of the following errors will not cause the debit and credit columns of a trial balance to be unequal? a. A debit was posted to an account as a credit. b. A journal entry was posted twice. c. The trial balance was incorrectly summed. d. Only part of a journal entry was posted. 2. Which of the following errors will cause a trial balance t ...

Other / Other 29 Apr 2016

Which of the following errors will cause the trial balance to be out of balance 1. Which of the following errors will not cause the debit and credit columns of a trial balance to be unequal? a. A debit was posted to an account as a credit. b. A journal entry was posted twice. c. The trial balance was incorrectly summed. d. Only part of a journal entry was posted. 2. Which of the following errors will cause a trial balance t ...

Other / Other 29 Apr 2016

1. Which of the following accounts is decreased with a credit? a. Advertising Fees Earned b. Insurance Expense c. Owner's Capital d. Unearned Revenue 2. When collection is made on Accounts Receivable, a. owner's equity increases. b. total assets decrease. c. total assets remain the same. d. total assets increase. 3. If office equipment is sold at cost in exchange for a promissory note, a. total liabilities increa ...

Other / Other 29 Apr 2016

A $155 credit item is posted as a debit. The trial balance column totals therefore will differ by 1. Here is the trial balance for McLeary Company: McLeary Company Trial Balance January 31, 2010 Cash $ 3,000 Accounts Receivable 2,000 Art Supplies 3,000 Office Supplies 5,000 Prepaid Rent 7,000 Prepaid Insurance 5,000 Art Equipment 5,000 Office Equipment 3,000 Accounts Payable $5,000 Art McLeary, Capital 15,000 A ...

Other / Other 29 Apr 2016

Here is the trial balance for McLeary Company 1. An $80 credit item is accidentally posted as a debit. The trial balance column totals will therefore differ by a. $0. b. $40. c. $80. d. $160. 2. Which of the following gives the correct sequence of accounting procedures? a. Financial statements, trial balance, ledger, journal b. Financial statements, journal, ledger, trial balance c. Journal, ledger, trial balance, financial ...

Other / Other 29 Apr 2016

Which of the following statements is false about a journal entry 1. To find an explanation of a transaction, one should look at the a. ledger. b. trial balance. c. journal. d. chart of accounts. 2. Which of the following accounts might be placed first in a journal entry? a. Bonds Payable, when it has been decreased b. Cash, when it has been decreased c. Unearned Revenue, when it has been increased d. Interest Income, when ...

Other / Other 29 Apr 2016

All of the following actions can help a business manage its cash flows except 1. Which of the following accounts will eventually be followed with an inflow of cash? a. Prepaid Insurance b. Unearned Revenue c. Owner's Withdrawals d. Accounts Receivable 2. Which of the following accounts will eventually be followed with an outflow of cash? a. Design Revenue b. Notes Receivable c. Accounts Payable d. Prepaid Rent 3. ...

Other / Other 29 Apr 2016