Question 11 pts
Adjusting entries affect cash flows in the current period.
Flag this Question
Question 21 pts
A contra account is an account whose balance is subtracted from an associated account in the financial statements.
Flag this Question
Question 31 pts
Net income is misleading when revenue is overstated or expenses are understated by significant amounts.
Flag this Question
Question 41 pts
The only accounts that are closed are income statement accounts.
Flag this Question
Question 51 pts
An adjusted trial balance provides all the data needed to record the closing entries.
Flag this Question
Question 61 pts
Which of the following transactions is most likely not to result in an adjusting entry at the end of the period?
Flag this Question
Question 71 pts
Which of the following transactions results in the recognition of an expense?
Flag this Question
Question 81 pts
Which of the following situations is not an example of a deferral?
Flag this Question
Question 91 pts
Equipment might be depreciated over 15 years because
Flag this Question
Question 101 pts
Which of the following is not an application of accrual accounting?
Flag this Question
Question 111 pts
An adjusting entry made to record salaries earned but not yet paid or recorded is made with which of the following entries?
Flag this Question
Question 121 pts
A work sheet is useful for all except which of the following?
Flag this Question
Question 131 pts
Closing entries will
Flag this Question
Question 141 pts
In preparing closing entries, which of the following columns of the work sheet are the most helpful?
Flag this Question
Question 151 pts
Closing entries ultimately will affect
Flag this Question
Question 161 pts
Prepaid Rent was $800 at the end of May and $1,300 at the end of June. Rent Expense for June was $720. How much cash was paid for rent during June?
Flag this Question
Question 171 pts
Accounts Receivable was $1,500 at the end of November and $1,050 at the end of December. Revenue totaled $8,400 for December. How much cash was received from revenues during December?
Flag this Question
Question 181 ptsSkip to question text.
Use this information to answer the following question.
The trial balance for Nowwick Company appears as follows:
Nowwick Company
Trial Balance
December 31, 20×5
Cash
$ 240
Accounts Receivable
1,000
Prepaid Insurance
100
Supplies
300
Office Equipment
800
Accumulated Depreciation–Office Equipment
$ 400
Accounts Payable
600
Common Stock
1,200
Service Revenue
1,000
Salaries Expense
200
Rent Expense
400
______
$3,200
$3,200
If as of December 31, 20×5, the rent of $100 for December had not been recorded or paid, the adjusting entry would include a
Flag this Question
Question 191 ptsSkip to question text.
The Retained Earnings, Dividends, and Income Summary accounts for Harmon Repair Company for the accounting period are presented below in T account form after the recording and posting of closing entries:
Retained Earnings
Dividends
12/31
300
1/1
1,500
3/1
100
12/31
400
12/31
400
6/1
100
9/1
100
12/31
100
Income Summary
12/31
900
12/31
600
12/31
300
The Retained Earnings balance on 1/1 was
Flag this Question
Question 201 ptsSkip to question text.
The Retained Earnings, Dividends, and Income Summary accounts for Laurel Repair Company for the accounting period are presented below in T account form after the recording and posting of closing entries:
Retained Earnings
Dividends
12/31
200
1/1
2,000
3/1
50
12/31
200
12/31
400
6/1
50
9/1
50
12/31
50
Income Summary
12/31
500
12/31
900
12/31
400
The total amount of expenses for the period is