+
Related Flashcards
Related Topics
Cards In This Set
| Front | Back |
|
A NEW ACCOUNT IS OPENED FOR EACH TRANSACTION ENTERED INTO BY A BUSINESS FIRM
(true or false)
|
FALSE
|
|
THE RECORDING PROCESS BECOMES MORE EFFICIENT & INFORMATIVE IF ALL TRANSACTIONS ARE RECORDED IN ONE ACCOUNT.
(true or false)
|
FALSE
|
|
WHEN THE VOLUME OF TRANSACTIONS IS LARGE, RECORDING THEM IN TABULAR FORM IS MORE EFFICIENT THAN USING JOURNALS & LEDGERS
(true or false)
|
FALSE
|
|
AN ACCOUNT IS OFTEN REFERRED TO AS A T-ACCOUNT BECAUSE OF THE WAY IT IS CONSTRUCTED.
(true or false)
|
TRUE
|
|
A DEBIT TO AN ACCOUTN ALWAYS INDICATES AN INCREASE IN THAT ACCOUNT.
(true or false)
|
FALSE
|
|
IF A REVENUE ACOUNT IS CREDITED, THE REVENUE ACCOUNT IS INCREASED.
(true or false)
|
TRUE
|
|
THE NORMAL BALANCE OF ALL ACCOUNT IS DEBT.
(true or false)
|
FALSE
|
|
DEBIT & CREDIT CAN BE INTERPRETED TO MEAN "BAD" & "GOOD" RESPECTIVELY.
(true or false)
|
FALSE
|
|
THE DOUBLE-ENTRY SYSTEM OF ACCOUNTING REFERS TO THE PLACEMENT OF A DOUBLE LINE AT THE END OF A COLUMN OF FIGURES. (true or false)
|
FALSE
|
|
A CREDIT BALANCE IN A LIABILITY ACCOUNT INDICATES THAT AN ERROR IN RECORDING HAS OCCURRED. (true or false)
|
FALSE
|
|
THE DIVIDENDS ACCT IS A SUBDIVISION OF THE RETAINED EARNINGS ACCT & APPEARS AS AN EXPENSE ON THE INCOME STATEMENT. (true or false)
|
FALSE
|
|
REVENUE ARE A SUBDIVISION OF STOCKHOLDERS' EQUITY.
(true or false)
|
TRUE
|
|
UNDER THE DOUBLE-ENTRY SYSTEM, REVENUES MUST ALWAYS EQUAL EXPENSES.
(true or false)
|
FALSE
|
|
TRANSACTIONS ARE ENTERED IN THE LEDGER FIRST & THEN THEY ARE ANALYZED IN TERMS OF THEIR EFFECT ON THE ACCOUNT.
(true or false)
|
FALSE
|
|
BUSINESS DOCUMENTS CAN PROVIDE EVIDENCE THAT A TRANSACTION HAS OCCURRED.
(true or false)
|
TRUE
|
