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ADJUSTMENTS AT THE END OF ACCOUNTING PERIOD

Total questions: 10

Worksheet time: 5mins

Name
Class
Date
1.

What type of accounts are Interest Receivable and Fees Receivable?

a)

Asset

b)

Liability

c)

Revenue

d)

Expense

2.

What type of Unearned Revenues Account?

a)

Asset

b)

Liability

c)

Owner's Equity

d)

Revenues

3.

What type of accounts are Prepaid Insurance, Prepaid Advertising, and Prepaid Expenses?

a)

Asset

b)

Liability

c)

Owner's Equity

d)

Expense

4.

What type of entry will decrease the normal balances of the accounts Prepaid Insurance and Prepaid Expenses, and Insurance Expense?

a)

Debit

b)

Credit

5.

What type of accounts are Accumulated Depreciation and Allowance for Doubtful Accounts?

a)

Liability

b)

Owner's Equity

c)

Contra Asset

d)

Asset

6.

Which of the following will be included in the adjusting entry to accrue interest expense?

a)

Debit to Cash

b)

Credit to Interest Payable

c)

Debit to Interest Payable

d)

Debit to Prepaid Interest

7.

The adjusting entry that reduces the balance in Prepaid Insurance will also include which of the following?

a)

Credit to Cash

b)

Credit to Insurance Expense

c)

Debit to Insurance Expense

d)

Debit to Insurance Payable

8.

The adjusting entry that reduces the balance in Unearned Revenues will also include which of the following?

a)

Debit to Cash

b)

Credit to Fees Earned

c)

Debit to Fees Earned

d)

Credit to Fees Receivable

9.

Typically an adjusting entry will include which of the following?

a)

One Statement of Comprehensive Income & One Statement of Financial Position

b)

Two Statement of Financial Position

c)

Two Statement of Comprehensive Income

10.

The ending balance in the account Prepaid Insurance is expected to report which of the following?

a)

The Accrued Amount of Insurance Expense

b)

The Original Amount of The Insurance Premiums Paid

c)

The Expired Portion of The Insurance Premiums Paid

d)

The Unexpired Portion of The Insurance Premiums Paid