Chapter 6 Work Sheet and Adjusting Entries - T/F

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

• True
• False

Adjusting entries must be posted to the general ledger accounts.

• True
• False

If an amount is written in an incorrect column of a work sheet, the error should be erased and the amount should be written in the correct column.

• True
• False

The accounting concept Consistent Reporting is being applied when a word processing service reports revenue per page one year and revenue per hour the next year.

• True
• False

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

• True
• False

A fiscal period must be 12 months in length.

• True
• False

Journals, ledgers, and work sheets are considered permanent records.

• True
• False

The heading on a work sheet contains the name of the business, the name of the report, and the date of the report.

• True
• False

The four questions asked when analyzing an adjustment are: Why? Where? When? and How?

• True
• False

The two accounts affected by the adjustments for supplies are Supplies and Supplies Expense.

• True
• False