Final - Accounting

The accounting equation

• assets=liabilities - owner's equity

• assets=liabilities + owner's equity

• assets + liabilities = owner's equity

• assets + owner's equity = liabilities

Which account is a liability?

• Supplies

• Accounts Receivable - J. Herrera

• Accounts Payable - Cenex

• S. Flanders - Capital

Which accounts have a normal balance on the credit side? (Increase with a credit.)

• liabilities and owner's capital

• assets and expenses

• assets and liabilities

• assets and owner's capital

Received cash on account from M. Drapeau.

• Cash-Credit; Accounts Payable - M.Drapeau Credit

• Cash - Debit; Accounts Receivable - M. Drapeau - Credit

• Cash - Debit; Accounts Payable - M. Drapeau - Debit

• Cash - Credit; Accounts Receivable - M. Drapeau - Debit

Bought supplies on account from Walmart.

• Supplies-credit; Accounts Receivable-Walmart - debit

• Supplies-debit; Accounts Receivable-Walmart - credit

• Supplies-debit; Accounts Payable-Walmart - credit

• Supplies-credit; Accounts Payable-Walmart - debit

What columns are the separate amounts posted?

• Sales Credit

• General Debit and General Credit

• Sales Credit, Cash Debit, and Cash Credit

• Cash Debit and Cash Credit

What is the new balance after the last item posted?

• $50 debit

• $50 credit

• $250 debit

• $250 credit

Balance of Supplies on trial balance $2,500. Supplies on hand December 31 $2,000. Adjusting entry would be

• Supplies Expense - $500 debit; Supplies - $500 credit

• Supplies Expense - $2,000 debit; Supplies - $2,000 credit

• Supplies - $500 debit; Supplies Expense - $500 credit

• Supplies - $2,000 debit; Supplies Expense - $2,000 credit

Heading, assets, liabilities, and owner's equity are sections of the

• general ledger

• journal

• income statement

• balance sheet

Journal entries used to prepare temporary accounts for a new fiscal period

• closing entries

• adjusting entries

• temporary entries

• permanent entries