WorksheetsAccounting Review
Total questions: 72
Worksheet time: 24mins
Accounts used to accumulate information from one fiscal period to the next are ____ accounts.
revenue
permanent
temporary
expense
If cash is increased by $2,000.00 when the owner invests cash in the business, then capital is?
increased by $2000
decreased by $2000
increased by $1000
not changed
The accounting equation is most often stated as?
Assets=Liabilies
Cash=Assets
Assets=Liabilities + Owner's Equity
Liabilities + Assets = Owner's Equity
After the closing entries are posted, the only accounts with balances are ____ accounts.
Owner's equity
Permanent
Temporary
Asset
The recording of debit and credit parts of a transaction is ____?
checking equality
double-entry accounting
single-entry accounting
transaction analysis
An endorsement on the back of a check consisting only of a signature is?
a blank endorsement
a special endorsement
a restrictive endorsement
an incorrect endorsement
The values of all equities or claims against the assets (liabilities and owner's equity) are on the accounting equations?
left side
right side
debit side
A business form ordering a bank to pay cash from a bank account is a?
check
memorandum
receipt
When a business pays cash on account to another business, the liability account is?
increased by a debit
increased by a credit
decreased by a debit
decreased by a credit
Buying items and paying for them at a future date is?
not recommended
not a common business practice
illegal
a common business practice
The source document for journalizing a bank service charge is a?
check
check
memorandum
A decrease in owner's equity resulting from the operation of a business is?
a withdrawal
an expense
revenue
The percentage relationship between one financial statement item and the total that includes that item is what?
an adjustment
an endorsement
a component persentage
A general journal page is complete when?
it is the last day of the month
there is insufficient space to record any more entries
the fiscal period is completed
A sale on account...
increases an owner's equity account and increases an asset account
increases a liability account and increases an asset account
increases an owner's equity account and increases a liability account
increases an owner's equity account and decreases a liability account
Prepaid Insurance is...
an asset account
a liability account
an owner's equity account
Accounts used to accumulate information from one fiscal period to the next are what type of accounts?
revenue
permanent
temporary
expense
The percentage relationship between one financial statement item and the total that includes that item is what?
an adjustment
an endorsement
a component percentage
An endorsement on the back of a check consisting only of a signature is what type?
a blank endorsement
a special endorsement
a restrictive endorsement
an incorrect endorsement
When accounts are arranged in a general ledger, account numbers are assigned, and the chart of accounts is kept up to date, the accounting personnel are doing what?
posting
doing file maintenance
journalizing
A decrease in owner's equity resulting from the operation of a business charge is what?
a withdrawal
revenue
an expense
When a transaction changes only one side of the equation, if one account is increased, the other account on the same side must?
decrease
not change
increase
When a business pays cash for supplies,...
assets and liabilities decrease
assets increase and assets decrease
assets and liabilities increase
liabilities increase
In the United States, recording business transactions in dollars is an application of the accounting concept...
Going Concern
Separation of Records
Unit of Measurement
Business Entity
The amount paid for rent is recorded as a debit to what?
Supplies
Miscellaneous Expense
Cash
Rent Expense
A signature or stamp on the back of a check transferring ownership is what?
an endorsement
a signature card
a deposit slip
Adjustments are analyzed and planed...
on the financial statements
in the ledgers
on a work sheet
The account used to summarize the owner's equity in a business is what?
capital
owner equity
equity
The account debited when cash is paid for supplies is what?
Supplies
Supplies expense
Cash
When cash is paid on account...
one asset and owner's equity are changed
one liability and owner's equity are changed
one asset and one liability are changed
two assets are changed
The first digit in the account number 120 means that the account is in the ____ division of the general ledger.
expense
liability
revenue
none of them
Transactions are recorded in a journal in order by what?
source document
none of them
date
account name
When a business receives revenue, Sales is...
increased by a debit
increased by a credit
decreased by a debit
decreased by a credit
option 2
A form showing proof of a petty cash payment is a what?
check
petty cash slip
petty cash check stub
journal
A journal entry consists of what?
debits and credits
date
source document
all of them
If an amount is recorded on the side of a T account opposite the normal balance side, the account balance is what?
correct
unaffected
decreased
increased
Preparing source documents for each transaction is an application of the account concept...
Going Concern
Objective Evidence
Unit of Measurement
Business Equity
When cash is paid for an expense, the expense account is...
debited
credited
zero
Each time cash or checks are placed in a bank account, the customer prepares a...
signature card
deposit slip
check
Total assets are $22,000.00. Supplies are bought on account for $1,500.00. The total assets are now...
$22,000.00
$23,500.00
$20,500.00
$25.000.00
A business form ordering a bank to pay cash from a bank account is a what?
signature card
deposit slip
check
none of them
When a business buys supplies on account, assets...
increase
increase and liabilities decrease
decrease
decrease and liabilities increase
Decreases in any liability account are shown on a T account's...
debit side
credit side
right side
none of them
The right side of a T account is the...
debit side
credit side
normal balance side
equity side
Which of the following statements is false?
words in accounting records are written in full when space permits
words may be abbreviated only when space is limited
abbreviations are preferable to writing out words in full
neatness is very important in accounting records
In a T account, the debit side is...
the left side
the right side
both option one and two
neither option
When a business buys an asset on one date and agrees to pay on a later date, the transaction is...
delayed
on account
increased
The normal balance side of any expense is what?
the right side
the credit side
the debit side
When the owner invests cash in a business, the owner's capital account is...
decreased by a debit
decreased by a credit
increased by a credit
increased by a debit
A record summarizing all the information pertaining to a single item in the accounting equation is what?
a T account
an account
a debit
a credit
The normal balance side of any liability account is what?
the debit side
the credit side
the left side
A journal entry includes what?
the debit part of a transaction recorded under one date and credit part recorded a later date
the debit and credit parts of a transaction recorded in one place
more debits than credits
none of them
The last step in the accounting cycle is what?
The last step in the accounting cycle is what?
to prepare a worksheet and financial statements
to analyze transactions and journalize and post them
none of them
The source document for journalizing an electronic funds transfer is a...
Check
Receipt
Memorandum
The source document for cash payments is a...
receipt
sales invoice
memorandum
check
Temporary accounts begin each new fiscal period with a...
debit balance
credit balance
zero balance
Balance equal to the net income
A check must be signed with...
the same signature as the signature card
only the first and last name
a restrictive endorsement
black ink
Increases in a revenue account are shown on a T account's...
debit side
credit side
left side
Debits must equal credits...
in a T account
in the equation's left side
a worksheet
an income statement
A columnar form used to summarize general ledger information needed to prepare financial statements is...
a balance sheet
a trial balance
a worksheet
an income statement
Double-entry accounting assures that...
a debits equal credits
transaction data is recorded
a transaction did occur
Income summary is...
an asset account
a liability account
a temporary account
a permanent account
Decreases in an asset account are shown on a T account's...
debit side
credit side
balance side
The value of all things owned (assets) are on the accounting equation...
right side
left side
credit side
The normal balance side of an owner's capital account is...
the debit side
the credit side
the left side
Total assets are $19,500.00. Cash is paid for $1,500.00 for supplies. The total assets are?
$19,500.00
$21,000.00
$18,000.00
$22,500.00
The asset most commonly withdrawn by business owners is...
insurance
supplies
cash
contributions
A petty cash fund is always replenished...
daily
weekly
at the end of the month
I don't know when 🤷
The amount remaining after the value of all liabilities is subtracted from the value of all assets of...
the fair market value of the business
owner's equity
a financial report
a transaction
The normal balance side of any revenue account is what?
the debit side
the credit side
the left side
Cash is increased by what?
withdrawals
expenses
revenue
none of them
An amount recorded on the left side of a T account is...
a debit
a credit
normal balance
