WorksheetsAccounting 1 - Test 2
Total questions: 20
Worksheet time: 40mins
Name
Class
Date
1.
An accounting device used to analyze transactions is a T Account.
a)
True
b)
False
2.
An amount recorded on the left side of a T account is a credit.
a)
True
b)
False
3.
Each asset account has a normal debit balance.
a)
True
b)
False
4.
Each liability account has a normal credit balance.
a)
True
b)
False
5.
The balance of an account increases on the same side as the normal balance side.
a)
True
b)
False
6.
Asset accounts increase on the credit side.
a)
True
b)
False
7.
Each transaction changes the balances in at least two accounts.
a)
True
b)
False
8.
A list of accounts used by a business is a chart of accounts.
a)
True
b)
False
9.
When cash is paid for supplies, the supplies account is increased by a debit.
a)
True
b)
False
10.
Common accounting practice is to record withdraws as debits directly in the owner's capital account.
a)
True
b)
False
11.
The left side of an asset account is the credit side becuase asset accounts are on the left side of the accounting equation.
a)
True
b)
False
12.
The balance of an account decreases on the side opposite the normal balance side.
a)
True
b)
False
13.
Increases in revenue accounts are recorded as debits because they increase the owner's capital account.
a)
True
b)
False
14.
Accounts payable accounts are increased with a debit.
a)
True
b)
False
15.
Accounts receivable accounts are increased with a debit.
a)
True
b)
False
16.
Asset accounts increase on the credit side.
a)
True
b)
False
17.
Businesses use accounts to summarize all the information pertaining to a single item.
a)
True
b)
False
18.
Prepaid insurance is increased with a debit.
a)
True
b)
False
19.
Cash is increased with a credit.
a)
True
b)
False
20.
Advertising Expense is increased with a debit.
a)
True
b)
False
100 %
