Question 1

Record the following transactions for Acme Builders:
(a)Purchase office supplies on account,$1,200.
(b)Provide services to customers for cash,$2,500.
(c)Pay $1,100 in salaries for the current month.

Accepted Answer

(a)
Supplies 1,200
Accounts Pa...

Question 2

Dividends normally carry a _______ balance and are shown in the ______________.

Accepted Answer

A)  Debit;Statement of stockholders' equity.
B)  Debit;Income statement.
C)  Credit;Balance sheet.
D)  Debit;Balance Sheet.E) A) and C)
F) None of the above

Question 3

When a payment is made on an account payable:

Accepted Answer

A)  Assets and stockholders' equity decrease.
B)  Assets and liabilities decrease.
C)  Liabilities and revenues decrease.
D)  Assets and expenses decrease.E) B) and C)
F) A) and C)

Question 4

A company provides services to customers on account for $2,400.Indicate the amount of increases and decreases in the accounting equation.

Accepted Answer

The answer of A company provides services to customers on...

Question 5

Styleson Inc.performed cleaning services for its customers for cash.These transactions would be recorded as:

Accepted Answer

A)  Debit Service Revenue,credit Cash.
B)  Debit Cash,credit Service Revenue.
C)  Debit Cash,credit Accounts Receivable.
D)  Debit Accounts Receivable,credit Service Revenue.E) B) and D)
F) None of the above

Question 6

When a company pays utilities of $1,800 in cash,the transaction is recorded as:

Accepted Answer

A)  Debit Utilities Expense $1,800,credit Utilities Payable $1,800.
B)  Debit Utilities Payable $1,800,credit Cash $1,800.
C)  Debit Cash $1,800,credit Utilities Expense $1,800.
D)  Debit Utilities Expense $1,800,credit Cash $1,800.E) All of the above
F) None of the above

Question 7

If a company provides services on account,which of the following is true?

Accepted Answer

A)  Expenses increase.
B)  Liabilities increase.
C)  Stockholders' equity increases.
D)  Assets decrease.E) None of the above
F) A) and B)

Question 8

Lithuanian Motors has the following balance sheet accounts: Land $170,000
Equipment 66,000
Salaries Payable ?
Notes Payable 88,000
Supplies 14,000
Cash 26,000
Common Stock 100,000
Retained Earnings 40,000
Accounts Payable ?
Prepaid Rent 12,000
If the company has total assets of $288,000,what is the balance of the company's Salaries Payable account?

Accepted Answer

A)  $15,000.
B)  $25,000.
C)  $12,000.
D)  Cannot be determined given the information provided.E) None of the above
F) B) and D)

Question 9

When a company pays cash for equipment,what is the effect on the accounting equation for that company?

Accepted Answer

A)  Increase assets and increase liabilities.
B)  Decrease assets and decrease liabilities.
C)  No change.
D)  Increase assets and increase stockholders' equity.E) B) and C)
F) A) and D)

Question 10

For each of the following accounts,indicate whether a debit or credit is used to increase (+)or decrease (-)the balance of the account.

Accepted Answer

(a)
,+; (b) C:\Users\user\Dropbox\Quiz...

Question 11

On July 5,Harris Company purchased supplies from the hardware store for $600 on account.On July 10,Harris receives a bill from the hardware store as a reminder about the account balance.On July 17,Harris pays the account in full.How does Harris record the transaction on July 17?

Accepted Answer

A)  Supplies 600 Accounts Payable 600
B)  Accounts Payable 600 Supplies 600
C)  Cash 600 Accounts Payable 600
D)  Accounts Payable 600 Cash 600E) B) and C)
F) None of the above

Question 12

Liabilities normally carry a _______ balance and are shown in the ______________.

Accepted Answer

A)  Debit;Statement of stockholders' equity.
B)  Debit;Income statement.
C)  Credit;Balance sheet.
D)  Debit;Balance Sheet.E) A) and D)
F) B) and C)

Question 13

Receiving cash in advance from a customer for services to be provided in the future causes assets to increase and stockholders' equity to increase.

Accepted Answer

A) True 
 B)False

Question 14

Amounts owed from customers are recorded in the Accounts Receivable account.

Accepted Answer

A) True 
 B)False

Question 15

When a company pays $2,500 dividends to its stockholders,the transaction should be recorded as:

Accepted Answer

A)  Debit Cash;credit Dividends.
B)  Debit Retained Earnings;credit Dividends.
C)  Debit Dividends;credit Cash.
D)  Debit Dividends;credit Accounts Payable.E) A) and B)
F) A) and C)

Question 16

Posting transactions to T-accounts involve:

Accepted Answer

A)  Analyzing source documents to determine the effects of transactions on the company's accounts.
B)  Listing all accounts and their balances at a particular date to ensure that debits equal credits.
C)  Preparing a chronological record of all transactions affecting the company.
D)  Transferring debit and credit information from the journal to the accounts in the general ledger.E) All of the above
F) None of the above

Question 17

Liability accounts increase with a debit and decrease with a credit.

Accepted Answer

A) True 
 B)False

Question 18

Posting is the process of:

Accepted Answer

A)  Analyzing the impact of the transaction on the accounting equation.
B)  Obtaining information about external transactions from source documents.
C)  Transferring the debit and credit information from the journal to individual accounts in the general ledger.
D)  Listing all accounts and their balances at a particular date.E) B) and C)
F) A) and C)

Question 19

Purchasing office supplies is recorded with a credit to office supplies.

Accepted Answer

A) True 
 B)False

Question 20

A company purchases office supplies on account for $7,500.Record the transaction.

Accepted Answer

Office Sup...

Exam 2: The Accounting Cycle: During the Period

Amounts owed from customers are recorded in the Accounts Receivable account.

Correct Answer
verified

A company purchases office supplies on account for $7,500.Record the transaction.

Correct Answer
verified
Office Sup...
View Answer

Correct Answer
verified

When a company pays $2,500 dividends to its stockholders,the transaction should be recorded as:

Correct Answer
verified

When a company pays utilities of $1,800 in cash,the transaction is recorded as:

Correct Answer
verified

When a company pays cash for equipment,what is the effect on the accounting equation for that company?

Correct Answer
verified

If a company provides services on account,which of the following is true?

Correct Answer
verified

Posting is the process of:

Correct Answer
verified

When a payment is made on an account payable:

Correct Answer
verified

Record the following transactions for Acme Builders: (a)Purchase office supplies on account,$1,200. (b)Provide services to customers for cash,$2,500. (c)Pay $1,100 in salaries for the current month.

Correct Answer
verified
(a)
Supplies 1,200
Accounts Pa...
View Answer

Purchasing office supplies is recorded with a credit to office supplies.

Correct Answer
verified

Receiving cash in advance from a customer for services to be provided in the future causes assets to increase and stockholders' equity to increase.

Correct Answer
verified

Liabilities normally carry a _ balance and are shown in the ________.

Correct Answer
verified

For each of the following accounts,indicate whether a debit or credit is used to increase (+)or decrease (-)the balance of the account.

Correct Answer
verified
(a)
,+; (b) C:\Users\user\Dropbox\Quiz...
View Answer

Styleson Inc.performed cleaning services for its customers for cash.These transactions would be recorded as:

Correct Answer
verified

A company provides services to customers on account for $2,400.Indicate the amount of increases and decreases in the accounting equation.

Correct Answer
verified

Liability accounts increase with a debit and decrease with a credit.

Correct Answer
verified

Dividends normally carry a _ balance and are shown in the ________.

Correct Answer
verified

On July 5,Harris Company purchased supplies from the hardware store for $600 on account.On July 10,Harris receives a bill from the hardware store as a reminder about the account balance.On July 17,Harris pays the account in full.How does Harris record the transaction on July 17?

Correct Answer
verified

Posting transactions to T-accounts involve:

Correct Answer
verified

Exam 2: The Accounting Cycle: During the Period

Amounts owed from customers are recorded in the Accounts Receivable account.

Correct AnswerverifiedShow Answer

A company purchases office supplies on account for $7,500.Record the transaction.

Correct AnswerverifiedOffice Sup...View AnswerShow Answer

Correct AnswerverifiedShow Answer

When a company pays $2,500 dividends to its stockholders,the transaction should be recorded as:

Correct AnswerverifiedShow Answer

When a company pays utilities of $1,800 in cash,the transaction is recorded as:

Correct AnswerverifiedShow Answer

When a company pays cash for equipment,what is the effect on the accounting equation for that company?

Correct AnswerverifiedShow Answer

If a company provides services on account,which of the following is true?

Correct AnswerverifiedShow Answer

Posting is the process of:

Correct AnswerverifiedShow Answer

When a payment is made on an account payable:

Correct AnswerverifiedShow Answer

Record the following transactions for Acme Builders: (a)Purchase office supplies on account,$1,200. (b)Provide services to customers for cash,$2,500. (c)Pay $1,100 in salaries for the current month.

Correct Answerverified(a)Supplies 1,200Accounts Pa...View AnswerShow Answer

Purchasing office supplies is recorded with a credit to office supplies.

Correct AnswerverifiedShow Answer

Receiving cash in advance from a customer for services to be provided in the future causes assets to increase and stockholders' equity to increase.

Correct AnswerverifiedShow Answer

Liabilities normally carry a _______ balance and are shown in the ______________.

Correct AnswerverifiedShow Answer

For each of the following accounts,indicate whether a debit or credit is used to increase (+)or decrease (-)the balance of the account.

Correct Answerverified(a) ,+; (b) C:\Users\user\Dropbox\Quiz...View AnswerShow Answer

Styleson Inc.performed cleaning services for its customers for cash.These transactions would be recorded as:

Correct AnswerverifiedShow Answer

A company provides services to customers on account for $2,400.Indicate the amount of increases and decreases in the accounting equation.

Correct AnswerverifiedShow Answer

Liability accounts increase with a debit and decrease with a credit.

Correct AnswerverifiedShow Answer

Dividends normally carry a _______ balance and are shown in the ______________.

Correct AnswerverifiedShow Answer

On July 5,Harris Company purchased supplies from the hardware store for $600 on account.On July 10,Harris receives a bill from the hardware store as a reminder about the account balance.On July 17,Harris pays the account in full.How does Harris record the transaction on July 17?

Correct AnswerverifiedShow Answer

Posting transactions to T-accounts involve:

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
verified
Office Sup...
View Answer

Correct Answer
verified

Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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(a)
Supplies 1,200
Accounts Pa...
View Answer

Correct Answer
verified

Correct Answer
verified

Liabilities normally carry a _ balance and are shown in the ________.

Correct Answer
verified

Correct Answer
verified
(a)
,+; (b) C:\Users\user\Dropbox\Quiz...
View Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Dividends normally carry a _ balance and are shown in the ________.

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified