NEW
Font size
S
M
L
XL
WorksheetsAdvanced Accounting Chapter 21 - Accrual and Deferrals
Total questions: 20
Worksheet time: 10mins
Name
Class
Date
1.
Expenses incurred in one fiscal period but not paid until a later fiscal period.
a)
accrual
b)
accrued interest expense
c)
accrued expenses
d)
deferral
2.
Payments for goods or services which have not yet been received.
a)
accrued interest expense
b)
accrued expenses
c)
deferral
d)
deferred expenses
3.
An entry made at the beginning of one fiscal period to reverse an adjusting entry made in the previous fiscal period.
a)
accrual
b)
reversing entry
c)
accrued expenses
d)
deferral
4.
An entry recording revenue before the cash is received, or an expense before the cash is paid.
a)
accrual
b)
accrued interest expense
c)
deferral
d)
deferred expenses
5.
Cash received for goods or services which have not yet been provided.
a)
accrued reveneue
b)
deferred revenue
c)
reversing entry
d)
accrued expenses
6.
Interest incurred but not yet paid.
a)
accrual
b)
accrued interest expense
c)
accrued expenses
d)
deferral
7.
An entry recording the receipt of cash before the related revenue is earned, or payment of cash before the related expense is incurred.
a)
accrued interest expense
b)
accrued expenses
c)
deferral
d)
accrual basis
8.
To record revenue that has been received but not yet earned, an entry is made that increases a liability account.
a)
True
b)
False
9.
An expense that is paid in advance is recorded as an asset until the expense is incurred.
a)
True
b)
False
10.
The reversing entry for accrued interest expense increases the balance of Interest Payable.
a)
True
b)
False
11.
The adjusting entry for deferred rent income results in a debit to Rent Income.
a)
True
b)
False
12.
The reversing entry for accrued interest income increases the balance of Interest Receivable.
a)
True
b)
False
13.
After adjustments at the end of a fiscal period, the balance in Unearned Rent Income represents the rent still unearned.
a)
True
b)
False
14.
Accounting procedures require that revenue and expenses be recorded in the accounting period in which revenue is earned and expenses are incurred.
a)
True
b)
False
15.
After adjustments at the end of a fiscal period, the balance in Prepaid Rent represents the amount of rent expense for the current fiscal period.
a)
True
b)
False
16.
The entry to journalize the adjusting entry for unearned rent revenue that has now been earned is
a)
debit Rent Income; credit Unearned Rent Income
b)
debit Rent Income; credit Unearned Rent Income.b. debit Unearned Rent Income; credit Income Summary
c)
debit Income Summary; credit Unearned Rent Income
d)
debit Unearned Rent Income; credit Rent Income
17.
When reversing entries are used, and a note payable that was signed in a previous fiscal period is paid,
a)
Interest Payable is credited for the amount of interest incurred in the current fiscal year
b)
Interest Payable is credited for the total amount of interest incurred during the full term of the note
c)
Interest Expense is debited for the amount of interest incurred in the current fiscal year
d)
Interest Expense is debited for the total amount of interest incurred during the full term of the note
18.
The entry to journalize an adjusting entry for interest income is
a)
debit Income Summary; credit Interest Income.
b)
debit Interest Income; credit Income Summary.
c)
debit Interest Income; credit Interest Receivable.
d)
debit Interest Receivable; credit Interest Income.
19.
The adjusting entry for prepaid rent is
a)
debit Income Summary; credit Rent Expense.
b)
debit Rent Expense; credit Income Summary.
c)
debit Rent Income; credit Prepaid Rent.
d)
debit Rent Expense; credit Prepaid Rent.
20.
The closing entry for interest income is
a)
debit Income Summary; credit Interest Income
b)
debit Interest Income; credit Income Summary
c)
debit Interest Income; credit Interest Receivable
d)
debit Interest Receivable; credit Interest Income
Reset
