Accounting II-Review

Using the information below, what is the Gross Profit Margin?

• 0.4 or 40%

• 0.51 or 51%

• 0.6 or 60%

• 0.34 or 34%

Which account has a normal CREDIT balance?

• Sales Discounts

• Accounts Receivable

• Sales Return and Allowances

• Purchase Returns and Allowances

When journalizing the Salaries Expense transaction, all of the deductions are recorded in which classification of accounts?

• Liabilities

• Assets

• Expenses

• Revenues

• $34,000

• $81,000

• $294,000

• $128,000

What type of account is Sales Returns and Allowances?

• Contra revenue account

• Expense account

• Contra expense account

• Revenue account

Namron Corporation has the following balances on their financial statements. What is the company’s Debt-to-Equity Ratio?

• 0.52

• 1.11

• 0.9

• 2.14

On May 6, MM Company sold merchandise on account for $9,500 with credit terms of 2/10, n/30. What is the journal entry to record the receipt of payment on May 14?

• Debit Cash: 9,310 Credit: Accounts Receivable: 9,310

• Debit: Cash: 9,500 Credit: Accounts Receivable: 9,500

• Debit: Cash: 9,310 Debit: Sales Discount: 190

  Credit: Accounts Receivable: 9,500

• Debit: Cash: 8,550 Debit: Sales Discount: 950

  Credit: Accounts Receivable: 9,500

Based upon the information provided in the following table, what is the total employer payroll tax expense?

• $105.75

• $650.95

• $253.80

• $291.40

Using the information below, calculate the NET PAY for Agnes Roberts.

Earnings: $500, Federal Income: $82, State Income Tax $10, FICA/Social Security & Medicare $38.25, Health Insurance $10, Retirement $10

• $369.75

• $311.50

• $349.75

• $408.00

Which account is debited when a corporation purchased merchandise?

• Sales

• Purchases

• Supplies Expense

• Merchandise Inventory