Chapter 4 Acct Quiz

Posting sorts journal entries so that all debits and credits affecting each account are brought together in one place.

• True

• False

A separate form for each account is used to summarize all the changes to a single account.

• True

• False

A list of account titles and numbers showing the location of each account in a ledger is known as a(n)

• chart of accounts.

• account summary.

• T account form.

• balance-ruled account form.

A group of accounts is called a(n)

• ledger.

• group.

• account summary.

• chart of accounts.

A general ledger contains all accounts needed to prepare financial statements.

• True

• False

A chart of accounts is a

• line graph showing increases and decreases of account balances in the past year.

• list of all the accounts on the balance sheet.

• list of all the accounts on the income statement.

• None of the answers are correct.

Accounts in a general ledger are arranged in the same order as they appear on financial statements.

• True

• False

Each business has a unique chart of accounts.

• True

• False

Which of the following is not part of file maintenance?

• arranging accounts in a general ledger

• proving a five-column journal

• assigning account numbers

• keeping records current

When an account is no longer needed, it is removed from the general ledger and the chart of accounts; but the now unused number cannot be reassigned.

• True

• False