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Chapter 18 Quiz-Accounting II-Part I

Total questions: 11

Worksheet time: 20mins

Name
Class
Date
1.

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

2.

A(n) (a)   is the amount added to or subtracted from an amount balance to bring that balance up to date.

3.

The title of the account used to make the adjustment for merchandise inventory is (a)   .

4.

(a)   is the merchandise a business has on hand at the end of the fiscal period. 

5.

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

6-10.

Answer the questions below after watching the video

6.

What is the purpose of a ten-column worksheet in accounting?

a)

To manage inventory levels

b)

To prepare financial statements

c)

To record daily transactions

d)

To track employee performance

7.

What does the trial balance include?

a)

Only profit and loss accounts

b)

A list of all transactions

c)

All general ledger accounts

d)

Only balance sheet accounts

8.

How is gross profit calculated in the worksheet?

a)

Adjustments plus operating expenses

b)

Sum of debits minus credits

c)

Net of two specific columns

d)

Total revenue minus total expenses

9.

Which columns are used to prepare the profit and loss statement?

a)

Columns 9 and 10

b)

Columns 5 through 8

c)

Columns 3 and 4

d)

Columns 1 and 2

10.

What is added to the equity section of the balance sheet?

a)

Total assets

b)

Gross profit

c)

Net profit

d)

Total liabilities

11.

Which of the following statements is incorrect concerning an adjusted trial balance?

a)
The adjusted trial balance includes the unadjusted trial balance amounts.
b)
The adjusted trial balance is prepared after the financial statements.
c)
The adjusted trial balance is used to prepare the income statement.
d)
The adjusted trial balance only includes temporary accounts.
12.

A store purchased a one-year insurance policy for $1,800 on September 1. Its fiscal

period ended December 31. What is the amount of the adjustment and what

accounts are debited and credited on December 31?

a)

$200; insurance expense and prepaid insurance

b)

$1,800; insurance expense and prepaid insurance

c)

$1,200; insurance expense and prepaid insurance

d)

$600; insurance expense and prepaid insurance

13.

The Income Summary amount in a work sheet’s Adjustments Debit column

represents the_______.

a)
total assets
b)
total liabilities
c)
total equity
d)
total net income or loss for the period
14.

The ending balance of the Supplies account appears in ______.

a)
General Ledger
b)
Income Statement
c)
Trial Balance sheet
d)
Cash Flow Statement
15.

What entries are recorded at the end of the fiscal period to update general ledger accounts?

a)
Closing entries
b)
Adjusting entries
c)
Trial entries
d)
Reversing entries