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WorksheetsAirlangga UiTM - Adjusting Process
Total questions: 10
Worksheet time: 3mins
The revenue recognition concept states that revenue should be recorded in the same period as the cash is received
True
False
An example of deferred revenue is Unearned Rent
True
False
Revenues and expenses should be recorded in the same period to which they relate
True
False
Unearned revenue is a liability
True
False
Deferred revenue is revenue that is
earned and the cash has been received
earned but the cash has not been received
not earned and the cash has not been received
not earned but the cash has been received
Which of the following is considered to be an accrued expense?
A computer technician has installed the latest software updates and was paid on the same day
A computer technician has been paid in advance to install software updates as they become available
A computer technician has just signed an agreement with you regarding pricing for future work
A computer technician has installed the latest software updates, but you have not received an invoice or made payment
The entry to adjust for the cost of supplies used during the accounting period is
debit Supplies Expense; credit Supplies
debit Owner Capital; credit Supplies
debit Accounts Payable; credit Supplies
debit Supplies; credit Owner Capital
The entry to adjust the accounts for salaries accrued at the end of the accounting period is
debit Salaries Payable; credit Salaries Income
debit Salaries Income; credit Salaries Payable
debit Salaries Payable; credit Salaries Expense
debit Salaries Expense; credit Salaries Payable
Deferrals are recorded transactions that delay the recognition of an expense or revenue
True
False
Adjustments for accruals are needed to record a revenue that has been earned or an expense that has been incurred but not recorded
True
False
