Accounting Ch 8 Review

A work sheet is prepared at the end of each fiscal period.

• True

• False

The work sheet is a working paper and is prepared in pen.

• True

• False

Account titles are listed on the work sheet in alphabetical order.

• True

• False

A double rule under a column of figures means that the figures are to be added or subtracted.

• True

• False

A net income for the period is the amount left after the expenses for the period have been subtracted from revenue.

• True

• False

All asset accounts are extended to the Balance Sheet section.

• True

• False

Preparing the work sheet is the sixth step in the accounting cycle.

• True

• False

Amounts from the Trial Balance section are extended first to the Income Statement section.

• True

• False

A single rule across both amount columns of the Trial Balance section means that no more entries will be made.

• True

• False

A net loss decreases the balance in the owner's capital account.

• True

• False