Accounting- 6-2: Adjustments Review

Debit means

• Increase
• Decrease
• Left
• Right

Adjusting journal entries do what?

• Increase Accounts
• Decrease Accounts
• Update Accounts
• Delete Accounts

Revenues are recorded when...

• Cash is paid
• Cash is received
• Revenues are earned
• Expenses are paid

Which of the following accounts would not require an adjustment?

• Accounts Payable
• Prepaid Insurance
• Supplies

To adjust for supplies used, what account would you debit?

• Cash
• Supplies Expense
• Supplies
• Fees Earned

To adjust for Prepaid Insurance, what account would you debit?

• Prepaid Insurance
• Insurance Expense
• Cash
• Unearned income

When adjusting for supplies used, which amount to you journalize?

• Amount of supplies on hand
• Amount of cash spend on supplies
• Amount of supplies used
• Amount of supplies for next year

After journalizing adjustments, you next step is to...

• Close your books
• Make financial statements
• Take a nap
• Post them to the general ledger

When do you record expenses?

• When they happen
• When revenues are earned
• When cash is paid
• When cash is received