Accounting (AES)

__________ are journal entries, made at the end of an accounting cycle, to set the balance of temporary accounts to zero to begin the next accounting period.

• Opening entries

• Ledger entries

• Closing entries

• Balance entries

Ledgers area also called:

• V-accounts

• Z-accounts

• T-accounts

• B-accounts

What financial statement provides information about a company's assets, liabilities, and equity at a specific point in time?

• Balance Sheet

• Statement of Cash Flows

• Statement of Owner's Equity

• Income Statement

Adjusting entries are made __________ of the accounting period to distribute revenue and expenses to the period in which they are actually applicable.

• In the middle

• At the end

• Through the entirety

• At the beginning

Which of the following accounts is a temporary account?

• Owner's Equity

• Revenue

• Assets

You must first __________ all of the T-accounts before you can calculate the trial balance.

• Close

• Balance

• Adjust

• List

Which statement concerns the cash going in and out of the business during a specific period?

• Balance Sheet

• Statement of Owner's Equity

• Income Statement

• Statement of Cash Flows

Who or what does a company's financial statements represent?

• The customers

• The company itself

• They do not represent anything

• The company's employees

Source documents include:

• Invoices

• Receipts

• Bank deposit slips

• Invoices, Receipts & Bank deposit Slips

You've just created and emailed the financial statements to your boss. What is the next step you should do in the accounting cycle?

• Perform a trial balance to check the statements

• Close out the revenue and expense accounts.

• Creating a balance sheet.

• Adjusting entries for the next cycle.