Question 1

Indicate in the spaces below whether or not each of the following adjustments may be reversed.

Accepted Answer

The answer of Indicate in the spaces below whether or...

Question 2

The Withdrawals account bypasses the Income Summary account when it is being closed.

Accepted Answer

A) True 
 B)False

Question 3

Preparing the work sheet and recording closing entries are important steps that save money and prevent mistakes.

Accepted Answer

A) True 
 B)False

Question 4

Which of the following adjustments most likely would be reversed?

Accepted Answer

A)  Adjustment to record depreciation expense
B)  Adjustment to allocate prepaid insurance to the current period
C)  Adjustment to determine supplies expense for the period
D)  Adjustment to accrue salariesE) A) and B)
F) None of the above

Question 5

Cash is a nominal account.

Accepted Answer

A) True 
 B)False

Question 6

An adjusting entry was made on the last day of the previous fiscal year debiting Accounts Receivable and crediting Service Revenue.If a reversing entry has been made,then at the time of cash collection

Accepted Answer

A)  the accountant needs to find out how much of the cash collection applies to the current period and how much applies to the previous period.
B)  the accountant will debit Accounts Receivable and credit Service Revenue.
C)  the accountant will debit Cash and credit Service Revenue.
D)  the accountant will debit Service Revenue and credit Cash.E) C) and D)
F) A) and B)

Question 7

The post-closing trial balance differs from the adjusted trial balance in that it does not

Accepted Answer

A)  take into account owner investments and withdrawals.
B)  take into account adjusting entries.
C)  include income statement accounts.
D)  include balance sheet accounts.E) A) and B)
F) All of the above

Question 8

Which of the following accounts would not be closed?

Accepted Answer

A)  Design Revenue
B)  Interest Income
C)  Accumulated Depreciation - Equipment
D)  Interest ExpenseE) A) and B)
F) B) and C)

Question 9

When there is a net loss,the entry to close the Income Summary account is

Accepted Answer

A)  debit Owner's Capital and credit Income Summary.
B)  debit Income Summary and credit Owner's Capital.
C)  debit Net Loss and credit Income Summary.
D)  debit Income Summary and credit Net Loss.E) B) and D)
F) A) and B)

Question 10

The work sheet is prepared after the formal adjusting and closing entries.

Accepted Answer

A) True 
 B)False

Exam 4: Completing the Accounting Cycle

Preparing the work sheet and recording closing entries are important steps that save money and prevent mistakes.

Correct Answer
verified

Which of the following accounts would not be closed?

Correct Answer
verified

The work sheet is prepared after the formal adjusting and closing entries.

Correct Answer
verified

An adjusting entry was made on the last day of the previous fiscal year debiting Accounts Receivable and crediting Service Revenue.If a reversing entry has been made,then at the time of cash collection

Correct Answer
verified

When there is a net loss,the entry to close the Income Summary account is

Correct Answer
verified

Which of the following adjustments most likely would be reversed?

Correct Answer
verified

Cash is a nominal account.

Correct Answer
verified

The Withdrawals account bypasses the Income Summary account when it is being closed.

Correct Answer
verified

Indicate in the spaces below whether or not each of the following adjustments may be reversed.

Correct Answer
verified

The post-closing trial balance differs from the adjusted trial balance in that it does not

Correct Answer
verified

Exam 4: Completing the Accounting Cycle

Preparing the work sheet and recording closing entries are important steps that save money and prevent mistakes.

Correct AnswerverifiedShow Answer

Which of the following accounts would not be closed?

Correct AnswerverifiedShow Answer

The work sheet is prepared after the formal adjusting and closing entries.

Correct AnswerverifiedShow Answer

An adjusting entry was made on the last day of the previous fiscal year debiting Accounts Receivable and crediting Service Revenue.If a reversing entry has been made,then at the time of cash collection

Correct AnswerverifiedShow Answer

When there is a net loss,the entry to close the Income Summary account is

Correct AnswerverifiedShow Answer

Which of the following adjustments most likely would be reversed?

Correct AnswerverifiedShow Answer

Cash is a nominal account.

Correct AnswerverifiedShow Answer

The Withdrawals account bypasses the Income Summary account when it is being closed.

Correct AnswerverifiedShow Answer

Indicate in the spaces below whether or not each of the following adjustments may be reversed.

Correct AnswerverifiedShow Answer

The post-closing trial balance differs from the adjusted trial balance in that it does not

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
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Correct Answer
verified

Correct Answer
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Correct Answer
verified

Correct Answer
verified