Accounting Chapter 10

Walmart must determine the selling price of a computer. The merchandise cost the company $750.00 and they want to markup the computer 15%, what price will Walmart sell the computer for?

• $862.50

• $1875.00

• $761.25

• $900.00

When Adam, the accountant at Target, is using the subsidiary ledgers with a controlling account, which controlling account does he use?

• Debit

• Accounts Payable

• Accounts Receivable

• Credit

Jack is dealing with a rent expense, which contra account should he use?

• Accounts Payable

• Interest Income

• Income Summary

• Sales Discount

What two accounts should Elliot use when calculating any of the Accounts Receivable Debit for Walmart?

• Cash Debit/Sales Credit

• Sales Discount/Sales Tax Payable

• Sales Credit/Sales Tax Payable

• Accounts Receivable credit/Sales Credit

When Dennis is transferring information from sales journal to general ledger for Providence High School. What should he do at the very end of this job?

• Account balance

• Account Number

• Journal Number

• Transfer debit/credit

At Medical Clinic International, the accountant, Jay recorded merchandise sold on account to Central Medical Clinic for $710.00 plus 8% sales tax. What mistake did he make?

• The sales credit and the sales tax payable credit was added incorrectly

• The sales tax should be $56.80, not $56.00

• The accounts receivable debit should be $718.00

• The sales tax payable credit amount should be left blank

Lauren is the accountant at Taco Bell and wants to create a Sales Journal, what should she do first?

• Add the debit amount

• Journal Page Number

• Customer number

• Date

Sophie is the accountant for Apple and creates a sales journal with a page number 15 which has a post reference of _______ in the GL.

• SJ 15

• S15

• 15

• J15

At Harris Teeter, the accountant Sophie, wants to use a special journal used for recording cash receipt transactions, which of the special journals will she use?

• Purchase journal

• Cash payment journal

• Cash receipts journal

• Sales journal

Anabell is the accountant at Uptown Housing, which account will she NOT use for the sales journal for Wells Apartments?

• Sales

• Sales Tax

• Accounts Payable credit

• Accounts Receivable debit