Description of this paper

Chapter 2 Recording Business Transactions

Description

solution


Question

Question;12) Which of the following is used by both;internal and external users to the company?;A) chart of accounts;B) trial balance;C) balance sheet;D) costing reports;13) Which of the following statements is;true of a trial balance?;A) A trial balance has the same format as;a balance sheet.;B) A trial balance presents data in debit;and credit format.;C) A trial balance shows the total amounts;of assets and liabilities, but not equity.;D) A trial balance is prepared after the;balance sheet.;14) A journal entry for a $75 payment for;rent expense was posted as a debit to Salaries Expense and a credit to Cash.;Which of the following statements correctly states the effect of the error on;the trial balance?;A) The sum of the credits will equal the;sum of the debits.;B) The sum of the debits will exceed the;sum of the credits by $75.;C) The sum of the debits will exceed the;sum of the credits by $150.;D) The sum of the credits will exceed the;sum of the debits by $150.;15) A journal entry for a $250 payment to;purchase office supplies was erroneously recorded as a debit to Office Supplies;for $520 and a credit to Cash for $250. Which of the following statements;correctly states the effect of the error on the trial balance?;A) The sum of the credits will exceed the;sum of the debits by $270.;B) The sum of the debits will exceed the;sum of the credits by $250.;C) The sum of the debits will exceed the;sum of the credits by $270.;D) The sum of the debits will exceed the;sum of the credits by $520.;16) Which of the following sequences;states the order in which a trial balance lists accounts?;A) Equity? Assets? Liabilities;B) Liabilities? Assets? Equity;C) Assets? Equity? Liabilities;D) Assets?;Liabilities? Equity;17) When is a trial balance usually;prepared?;A) after each entry is journalized;B) before the financial statements are;prepared;C) after the financial statements are;prepared;D) at the beginning of an accounting;period;18) Which of the following statements is;true of a trial balance?;A) A trial balance is the first step in;the accounting cycle.;B) A trial balance is also known as a;balance sheet.;C) A trial balance is a list of all;accounts with their balances.;D) A trial balance is also known as the;chart of accounts.;19) The last step before preparing;financial statements is to ________.;A) post all entries;B) record all transactions in the journal;C) prepare the trial balance;D) review source documents

 

Paper#55128 | Written in 18-Jul-2015

Price : $22
SiteLock