Only permanent accounts appear on the post-closing trial balance. Indicate whether the statement is true or false ANSWER TRUE
Date: September 2nd, 2020
A sales allowance is recorded with a credit to Accounts Payable. Indicate whether the statement is true or false ANSWER FALSE
Date: September 2nd, 2020
When a seller grants a sales allowance, the customer does not return any goods to the seller. Indicate whether the statement is true or false ANSWER TRUE
Date: September 2nd, 2020
A company purchased 400 units for $30 each on January 31. It purchased 95 units for $40 each on February 28. It sold 150 units for $55 each from March 1 through December 31 If the company uses the last-in, first-out inventory costing method, what is the amount of Cost of Goods Sold on the […]
Date: September 2nd, 2020
The accounting records for Patricia Event Planning Services include the following select unadjusted balances on December 31, 2016: Salaries Expense, $6,000; Service Revenue: $19,000; Unearned Revenue, $400; Supplies Expense, $600; Rent Expense, $300; Dep A) debit balance of $21,400 B) credit balance of $19,000 C) debit balance of $2,400 D) credit balance of $19,800 ANSWER […]
Date: September 2nd, 2020
A company purchased 400 units for $20 each on January 31. It purchased 200 units for $30 each on February 28. It sold a total of 270 units for $90 each from March 1 through December 31 If the company uses the last-in, first-out inventory costing method, calculate the amount of ending inventory on December […]
Date: September 2nd, 2020
On the first day of January, Harris, Inc. borrowed $2,000 on a one-year note payable bearing interest at 7% per year. The note specifies that principal and interest must be paid in full at the end of the one-year period On June 30, the adjusted trial balance will show Interest Payable of ________. A) $70 […]
Date: September 2nd, 2020
Which of the following is included in the internal control procedure—documents? A) Mandatory vacations will improve internal control. B) Separate the custody of assets from accounting. C) The invoices and orders must be pre-numbered. D) A company should purchase a fireproof vault to protect legal documents. ANSWER C
Date: September 2nd, 2020
The following is the adjusted trial balance as of December 31, 2016 of Aims Photography: Account Debit Credit Cash $1,700 Accounts Receivable 8,500 Supplies 100 Equipment 7,500 Accumulated Depreciation—Equipment $2,000 Accounts Payable 1 What will be an ideal response ANSWER Income Summary 27,900 Salaries Expense 24,000 Supplies Expense 2,300 Depreciation Expense—Equipment 1,600
Date: September 2nd, 2020
Which of the following illustrates the internal control procedure—separation of duties? A) Cashiers must not have access to accounting records. B) External auditors will monitor internal controls. C) Electronic devices must be installed to reduce theft. D) The invoices and other documents must be pre-numbered. ANSWER A
Date: September 2nd, 2020
