Accounting Review Ch 5-8

Front

The balance sheet column of the worksheet includes revenue and expenses.

Back

False

Front

The amount of the supplies used during a fiscal period is an expense.

Back

True

Front

Only accounts with a balance are listed in the Trial Balance columns of a worksheet.

Back

False

Front

When expenses are higher than revenue, this results in a net income.

Back

False

Front

Many businesses choose a one-year fiscal period that ends during a period of high business activity.

Back

False

Front

Adjusting entries must be posted to the ledger accounts.

Back

True

Front

Changes recorded on a work sheet to update general ledger accounts at the end of a fiscal period are called adjustments.

Back

True

Front

A proof of the equality of debits and credits in a general ledger.

Back

trial balance

Front

The value of the prepaid insurance coverage used during a fiscal period is an expense.

Back

True

Front

The prepaid insurance account must be adjusted at the end of a fiscal period because the account balance does not reflect the value of the insurance that expired during the period.

Back

True