NOCTI Basic Accounting Flashcard

Front

Susan opened a business and invested $5,000 in cash and a computer worth $2,500. These investments will increase

Back

assets by $7,500

Front

The appropriate entry for receiving money from a customer is to

Back

increase Cash

Front

The journal entry to record cash investment by the owner is to debit Cash and credit

Back

Capital

Front

Jason invested $15,000 cash to start his business. How does this transaction impact the basic accounting equation?

Back

increase owner’s equity by $15,000

Front

Journalizing is a process in which

Back

source documents are analyzed for debit and credit entries

Front

Debbie has a balance of $8,600 in Accounts Receivable before receiving a check for $3,455 from a customer she had worked for last month. What is the balance in Accounts Receivable after she records the receipt of this check?

Back

$5,145

Front

The controlling account summarizes all of the accounts from a _____ account.

Back

subsidiary

Front

An employee earns a commission of 7 percent of total sales. This week, the employee’s total sales are $2,345. What was the commission earned for the week?

Back

$164.15

Front

An employee works 38 hours per week, is paid $8.50 per hour, and is paid every 2 weeks. What is the gross pay the employee will receive each pay period?

Back

$646.00

Front

Regular hours times regular rate is the calculation for ____ earnings.

Back

regular