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Accounting Final Exam

Total questions: 25

Worksheet time: 13mins

Name
Class
Date
1.

The account Accounts Receivable is an example of a(n) ____.

a)

asset

b)

liability

c)

owner's equity

d)

capital

2.

A business transaction that involves a purchase on account is considered to be a(n) ____.

a)

cash transaction

b)

credit transaction

c)

investment by the owner

d)

expense transaction

3.

The purchase of a desk on account will increase Office Furniture and will also increase ____.

a)

Cash in Bank

b)

Accounts Payable

c)

Accounts Receivable

d)

Marie Krabish, Capital

4.

Which of the following accounts is not closed at the end of the accounting period?

a)

Revenue

b)

Income Summary

c)

Maintenance Expense

d)

John Smith, Capital

5.

Transferring the expense account balances to the Income Summary account is the ____.

a)

first closing entry

b)

second closing entry

c)

third closing entry

d)

fourth closing entry

6.

The balance of the revenue account is transferred to the ____.

a)

debit side of the cash in the Bank Account

b)

credit side of the owner's capital account

c)

credit side of the Income Summary account

d)

debit side of the owner's withdrawals account

7.

Closing entries are used to transfer the net income or net loss for the accounting period to the ____.

a)

Cash in Bank

b)

Expense Account

c)

Revenue Account

d)

Capital Account

8.

At the start of a fiscal period, the merchandise a business has on hand is called the ____.

a)

beginning inventory

b)

ending inventory

c)

adjustment

d)

physical inventory

9.

A(n) ____ is taken to actually count by hand the items in stock.

a)

Beginning Inventory

b)

Ending Inventory

c)

Physical Inventory

d)

adjustment

10.

The amount of money actually received by the employee after all deductions are subtracted is called the ____.

a)

Gross Pay

b)

Net Pay

c)

overtime rate

d)

accumulated earnings

11.

A(n) ____ is paid to the employee as a percentage of the employee's sales.

a)

time card

b)

salary

c)

wage

d)

commission

12.

The amount deducted from gross earnings for federal income tax each pay period depends on the total earnings, marital status, and the number of ____ an employee claims on Form W-4.

a)

payroll

b)

exemptions

c)

deduction

d)

wage

13.

____ are the year-to-date gross earnings of an employee.

a)

Net Pay

b)

Direct Deposit

c)

Accumulate Earnings

d)

wage

14.

A list of employees in a business and the earnings due to each employee for a specific period of time is a(n) ____.

a)

payroll

b)

salary

c)

wage

d)

net pay

15.

Revenue and expense accounts are listed in the Trial Balance section of the work sheet and in the ____ of the work sheet.

a)

Balance Sheet

b)

Worksheet

c)

Income Statement

d)

Post Closing Trial Balance

16.

If the total of the credit column of the Income Statement section is less than the debit column, there is a(n) ____ for the period.

a)

Net Income

b)

Net Loss

c)

Credit

d)

Debit

17.

This has three parts that answers the questions who, what, and when

a)

worksheet

b)

Income Statement Section

c)

heading

d)

Matching Principle

18.

____ means drawing a line under a column of amounts.

a)

Ruling

b)

Heading

c)

Extending

d)

Matching Principle

19.

A chronological (by day) record of accounting events is maintained in the:

a)

general journal

b)

general ledger

c)

trial balance

d)

T-Accounts

20.

A fiscal year is an accounting period

a)

that begins on January 1 and ends on December 31

b)

of an length other than 12 months

c)

of 12 months which begins in the month the business chooses

d)

that may be for any designated length of time

21.

The most common time period covered by an accounting report is one ____.

a)

quarter

b)

year

c)

month

d)

week

22.

The amount of money earned after the costs of operating a business are paid is ____.

a)

revenue

b)

profit

c)

expense

d)

capital

23.

Accounting is often call the "language of business" because ____.

a)

it is easy to understand

b)

all business owners have a good understanding of accounting principles

c)

it is fundamental to the communication of financial information

d)

accountants in many companies share financial information

24.

If the creditor's financial claim to property totals $1,000 and the owner's financial claim to property totals $11,000, the property value is ____.

a)

$10,000

b)

$11,000

c)

$12,000

d)

$1,000

25.

This form lists the marital status and number of exemptions claimed by the employee.

a)

W-3

b)

W-4

c)

Form 1040

d)

Form 1041