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WorksheetsChapter 16: Closing Entries and Post-Closing Trial Balance
Total questions: 10
Worksheet time: 10mins
What is the source of information for completing the closing entries?
Unadjusted trial balance
Income Statement
Adjusted trial balance
Work sheet
Into which account is the amount of net income or net loss closed?
Capital Stock
Retained Earnings
Cash
Dividends
Another name for a temporary account is a(n) (a) account.
If the second closing entry is to close the income statement accounts that have a debit balance, which account would not be closed at this time?
Sales Discounts
Utilities Expense
Federal Income Tax Expense
Purchases Returns and Allowances
The closing entries must be posted to the general ledger before the accounts are actually closed.
True
False
After the first two closing entries are posted, the balance of the Income Summary account should equal the net income/loss on the
balance sheet
statement of owner's equity
work sheet
income statement
If a corporation does not pay out dividends, it would only prepare three closing entries.
True
False
A post-closing trial balance is prepared to prove the equality of debits and credits in the subsidiary ledger.
True
False
Which account would not be contained on a post-closing trial balance?
Allowance for Uncollectible Accounts
Accumulated Depreciation - Office Equipment
Capital Stock
Dividends
After the source documents have been analyzed and transactions have been journalized and posted the next step in the accounting cycle would be to
prepare the unadjusted trial balance
prepare supporting schedules
journalize the adjusting entries
prepare the financial statements
