Accounting Chapter 4

Front

All corrections for posting errors should be made in a way that leaves no question as to the correct amount

Back

True

Front

A journal shows in one place all the changes in a single account. True or False?

Back

False

Front

Is the account number placed in the Post. Ref. column of the journal as the last step in the posting procedure?

Back

True

Front

The posting reference should always be recorded in the journal’s Post. Ref. column before amounts are recorded in the ledger. True or False?

Back

False

Front

The two steps for opening an account are writing the account title and recording the balance.

Back

False

Front

The procedure of arranging accounts in a general ledger, assigning account numbers, and keeping records current is known as file maintenance.

Back

True

Front

The Cash account is the first asset account and is numbered 110.

Back

True

Front

The steps for posting are to write the date, the journal page number, the amount, and the balance.

Back

False

Front

If the payment of cash for rent was journalized and posted in error as a debit to Miscellaneous Expense instead of Rent Expense, the correcting entry will include a credit to Cash.

Back

False

Front

If the previous account balance and the current entry posted to an account are both debits, is the new account balance a debit?

Back

True