WorksheetsAccounting 1 Chapters 1-5
Total questions: 20
Worksheet time: 10mins
A list of accounts used by a business
Chart of Accounts
Account Ledger
Financial Statement
Balance Sheet
Company C paid cash for an electricity bill totaling $200. Which two accounts would be affected using the double entry method?
Utilities Expense and Cash
Accounts Payable and Cash
Utilities Revenue and Cash
Cash and Inventory
Cash ledger balance if next amount posted on Jan. 3 is a Credit of $500?
Debit of $1,000
Debit of $1,500
Debit of $2,000
Debit of $2,500
What type of endorsement is 'For Deposit Only to the account of Delgado Web Services'?
Restrictive Endorsement
Blank Endorsement
Special Endorsement
Conditional Endorsement
Left side of the T-chart
Credit
Debit
Asset
Liability
What is happening in this transaction?
Bought supplies for cash
Paid for supplies
Returned supplies to the store
Bought supplies on account
The petty cash fund is a liability with a normal debit balance.
True
False
It is an asset with a normal credit balance.
It is an expense account with a normal debit balance.
A credit to an account always increases it; a debit to an account always decreases it.
True
False
It depends on the account type
Credits and debits have no effect on the account
Which statement is false regarding sole proprietorships?
Business is owned by more than 1 person
Owner has unlimited liability
Owner receives all profits
Business is easy to set up
Which of the following is NOT an example of a liability?
Interest Payable
Accounts Receivable
Accounts Payable
Unearned Service Revenue
When cash is received, the cash account does what?
Decreases
Remains the same
Increases
Transfers to liabilities
Accounting entries involve a minimum of how many accounts?
1
2
3
4
The basic accounting equation is Assets = Liabilities + _______________________.
Owner's Equity
Assets
Revenue
Expenses
When a company buys supplies on account, the cash account does what?
Increases
Decreases
Stays the same
Becomes negative
Transferring information from a journal entry to a ledger account
Posting
Recording
Summarizing
Classifying
A company immediately receiving $100 cash for providing a service would record the transaction by crediting which account?
Cash
Service Revenue
Owner's Capital
Unearned Service Revenue
An outstanding check is one that has been issued but not yet reported on bank statement by bank.
True
False
Pending
Cancelled
The Cash ledger is shown, if the next amount posted to Cash is a $700 Debit, what amount will be in the balance?
Debit of $1,300
Credit of $1,300
Debit of $2,700
Credit of $2,700
Anything of value that is owned by the company (such as cash, accounts receivables, vehicles, etc.) are reported on the balance sheet and are referred to as _______________.
liabilities
expenses
assets
equity
What is the accounting equation?
Assets = Liabilities + Owner's Equity
Assets + Liabilities = Owner's Equity
Assets - Liabilities = Owner's Equity
Liabilities = Assets + Owner's Equity
