Adjusting
 
  1. Question: The time of period assumption states that:

    A
    revenue should be recognized in the accounting period in which it is earned.

    B
    expenses should be matched with revenues.

    C
    the economic life of a business can be divided into artificial time periods.

    D
    the fiscal year should correspond with the calendar year.

    Note: Not available
    1. Report
  2. Question: The principle dictating that efforts (expenses) be matched with accomplishments (revenues) is the:

    A
    matching principle

    B
    cost principle

    C
    periodicity principle

    D
    revenue recognition principle

    Note: Not available
    1. Report
  3. Question: One of the following statements about the accrual basis of accounting is false. That statement is:

    A
    Events that change a company's financial statements are recorded in the periods in which the events occur.

    B
    Revenue is recognized in the period in which it is earned.

    C
    This basis is in accord with generally accepted accounting principles.

    D
    Revenue is recorded only when cash is received and expense is recorded when cash is paid.

    Note: Not available
    1. Report
  4. Question: Adjusting entries are make to ensure that:

    A
    expense are recognized in the period in which thay are incurred

    B
    revenues are recoreded in the period in which they are earned

    C
    balance sheet and income statement accounts have correct balances at the end of an accounting period.

    D
    all

    Note: reference - kieso 6th edition
    1. Report
  5. Question: Each of the following is a major type ( or category ) of adjusting entries except:

    A
    perpaid expenses

    B
    accrued revenues

    C
    accrued expenses

    D
    earned revenues

    Note: Not available
    1. Report
  6. Question: The trial balance shows Supplies $1,350 and Supplies Expense $0. If $600 of supplies are on hand at the end of the periaod, the adjusting entry is:

    A
    TitleDrCr
    Supplies$600---
    Supplies Expense---$600

    B
    TitleDrCr
    Supplies$750---
    Supplies Expense---$750

    C
    TitleDrCr
    Supplies Expense$750---
    Supplies---$750

    D
    TitleDrCr
    Supplies Expense$600---
    Supplies---$600

    Note: Not available
    1. Report
  7. Question: Adjusting for unearned revenues:

    A
    decrease liabilities and increase revenues.

    B
    have an assets and revenues account relationship.

    C
    increase assets and increase revenues.

    D
    decrease revenues and decrease assets.

    Note: Not available
    1. Report
  8. Question: Adjustments for accrued revenues:

    A
    have a liabilities and revenues account relationahsip

    B
    have an assets and revenues account relationahsip

    C
    decrease assets and revenues

    D
    decrease liabilities and increase revenues

    Note: Not available
    1. Report
  9. Question: Kathy Siska earned a salary of $400 for the last week of September. She will be paid on October 1. The adjusting entry for Kathy's employer at September 30 is:

    A
    No entry is required

    B
    TitleDrCr
    Salaries Expense$400---
    Salaries Payable---$400

    C
    TitleDrCr
    Salaries Expense$400---
    Cash---$400

    D
    TitleDrCr
    Salaries Payable$400---
    Cash---$400

    Note: Not available
    1. Report
  10. Question: Which of the following statements is incorrect concerning the adjusted trial balance?

    A
    An adjusted trial balance proves the equality of the total debit balances and credit balances in the ledger after all adjustments are made.

    B
    The adjusted trial balance provides the primary basis for the preparation of financial statements.

    C
    The adjusted trial balance lists the account balances segregated by assets and liabilities.

    D
    The adjusted trial balance is prepared after the adjusting entries have been journalized and posted.

    Note: Not available
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