Accounting 2 Quarterly Exam Review

An amount owed by a business is called a(n) ____.

• asset

• iability

• equity

• none of the above

An account balance that is opposite the normal balance is called a(n) ____.

• contra balance

• opposite balance

• liability

• none of the above

A group of accounts is called a(n) ____.

• journal

• special journal

• ledger

• none of the above

Transferring information from a journal entry to a ledger account is called ____.

• ordering

• recording

• posting

• none of the above

A journal used to record only one kind of transaction is called a(n) ____.

• ledger

• special journal

• source document

• none of the above

A record summarizing all the information pertaining to a single item in the accounting equation is called a(n) ____.

• ledger

• account

• journal

• none of the above

The procedure for arranging accounts in a general ledger, assigning account numbers, and keeping records current is called ____.

• accounting

• double-entry accounting

• controlling accounting

• none of the above

An equation showing the relationship among assets, liabilities, and owner's equity is called the ____.

• accounting equation

• financial equation

• journal equation

• none of the above

A cash discount on purchases taken by a customer is called a(n) ____.

• credit discount

• good customer discount

• purchases discount

• none of the above

A ledger that is summarized in a single general ledger account is called a(n) ____.

• controlling account ledger

• subsidiary ledger

• maintenance ledger

• none of the above