WorksheetsFerg - Acctg Test 9/13/2018
Total questions: 15
Worksheet time: 8mins
The financial statement that reports the revenues and expenses for a period of time such as a year or a month is the:
Income Statement
Statement of Cash Flows
Balance Sheet
Owner's Equity
Under the accrual basis of accounting, expenses are reported in the accounting period when the:
Expense matches the revenue or is used up
Cash is paid
Cash is received
Expenses matches liabilities or is used up
Assets are usually reported on the balance sheet at which amount?
Cost of the asset
Current market value
Expected selling price
Average sales price
Liabilities often have the word __________ in their account title.
Payable
Cost
Die
Received
Unearned Revenues is what type of account?
Liability
Asset
Expense
Equity
The listing of all of the accounts available for use in a company's accounting system is known as the __________.
Chart of accounts
Company's equity report
Income Statement
Accounts of balance
In January when the company receives the $2,000 from the customer, which account should the company credit?
Accounts receivable
Service revenue
Liabilities
Income
Resources owned by a company (such as cash, accounts receivable, vehicles) are reported on the balance sheet and are referred to as __________.
Assets
Liabilities
Revenues
Equity
Obligations (amounts owed) are reported on the balance sheet and are referred to as __________.
Liabilities
Equity
Expenses
Assets
Why are accruals needed every month?
To report the revenues, receivables, expenses, and liabilities which were earned during the month, but not recorded.
To make an end-of-the-month entry so debits and credits balance.
To report cash received and cash spend but not previously recorded.
None of these.
A T account is a visual aid used to balance the:
General ledger
Account statements
Corporate ledger
Financial statements
A temporary account begins each year with which balance?
Zero
The previous year's ending balance.
An opposite transaction balance to create a positive value.
None of these.
Retained earnings is an account that reports:
A corporation's cumulative earnings since the corporation was formed minus the dividends it has declared since it began.
A corporation's current earnings since the corporation last filed a dividend.
A corporation's cumulative earnings since the corporation last filed a dividend.
A corporation's current earnings since the corporation was formed minus the dividends it has declared since it began.
What is an account?
A record in the general ledger that is used to collect and store debit and credit amounts.
A listing in the chart of accounts that shows the cumulative additions or subtractions of money.
A record in the chart of accounts that is used to collect and store debit and credit amounts.
A listing in the general ledger that is used to show the cumulative additions and subtractions of money.
Which is NOT correct?
Debits are on the left, Credits are on the right.
The chart of account is a listing of all available accounts the company might utilize.
Equity + Assets = Prepaid Revenues or Prepaid Liabilities
Assets may have several T accounts showing transactions that lead to the final balance.
