We have sent an email with your new password.


Adjusting Entries

40 Questions  I  By An_pangader1987
Adjusting Entries
Online quiz number 1

  
Changes are done, please start the quiz.


Question Excerpt

Removing question excerpt is a premium feature

Upgrade and get a lot more done!
1.  One of the following statements about the accrual basis of accounting is false. That statement is/are:
A.
B.
C.
D.
E.
2.  Accrual accounting involves all of the following except
A.
B.
C.
D.
E.
3.  Under the perpetual inventory system, the ending inventory is determined by a physical count and is recorded in the Merchandise Inventory Account
A.
B.
4.  The Unearned Revenue account is listed in the 
A.
B.
C.
D.
E.
5.  When revenues and expenses are equal for the same accounting period, it is called the matching principle and there is neither a loss or a profit
A.
B.
6.  Reduction in a receivable or a payable that is granted if it is paid within the discount period
A.
B.
C.
D.
E.
7.  Purchaser's description of a cash discount received from a supplier of goods
A.
B.
C.
D.
E.
8.  The net increase in owner's equity that results from business operations is called:
A.
B.
C.
D.
9.  Under the periodic inventory system entries to the inventory account are made:
A.
B.
C.
D.
10.  In the adjustments column of the worksheet, the debit to the Merchandise Inventory account represents
A.
B.
C.
D.
E.
11.  _______is the merchandise a company owns and expects to sell to customers
12.  Which of the following is an adjunct account?
A.
B.
C.
D.
E.
13.  ______is equal to Net sales minus cost of goods sold
14.  A business can choose a fiscal year that corresponds to
A.
B.
C.
D.
E.
15.  The time period assumption states that:
A.
B.
C.
D.
E.
16.  Cost of goods sold is equal to:
A.
B.
C.
D.
17.  ________ It is defined as the systematic allocation of the cost of an asset over its useful life.
18.  Adjusting entries are used to
A.
B.
C.
D.
E.
19.  Which of the following is/are a purpose of adjusting entries?
A.
B.
C.
D.
E.
20.  Which of the following is an example of a deferral?
A.
B.
C.
D.
E.
21.  What it the purpose of the adjusting entry under the Liability Method?
A.
B.
C.
D.
E.
22.  If adjusting entries are recorded in the worksheet, there is no need for them to be journalized or posted
A.
B.
23.  Adjustments for accrued revenues:
A.
B.
C.
D.
E.
24.  Assigning revenues to the accounting period in which goods are delivered or services performed and expenses to the accounting period in which they are used to produce revenues is called the
A.
B.
C.
D.
25.  The second adjusting entry for merchandise inventory, when using the periodic inventory system, causes a zero balance in the Merchandise Inventory account
A.
B.
26.  The minor expense of a merchandiser is cost of goods sold
A.
B.
27.  The adjusted trial balance is a list of accounts and their balances at
A.
B.
C.
D.
E.
28.  A purchase of office supplies that was recorded in the Office Equipment account would require a correcting entry that
A.
B.
C.
D.
E.
29.  Adjusting entries are made to ensure that:
A.
B.
C.
D.
E.
30.  The second adjusting entry for merchandise inventory under the periodic system, is 
A.
B.
C.
D.
E.
31.  Subscriptions received in advance by a publishing company is called unearned revenue if the subscriptions revenue will be earned in one fiscal period
A.
B.
32.  The principle which dictates that efforts be matched with accomplishments is the:
A.
B.
C.
D.
E.
33.  When using the periodic inventory system, the main reason for the adjusting the asset account Merchandise Inventory in two steps is
A.
B.
C.
D.
E.
34.  Each of the following is major type (category) of adjusting entries, except:
A.
B.
C.
D.
E.
35.  True or False. Under a perpetual inventory system, there is no need to conduct a physical inventory count
A.
B.
36.  A contra asset account is an account that is added to another asset account
A.
B.
37.  What is the purpose of the adjusting entry under the Expense Method?
A.
B.
C.
D.
E.
38.  Adjustments for unearned revenues:
A.
B.
C.
D.
E.
39.  Accounts that are partly income statement accounts and balance sheet accounts are called dual accounts
A.
B.
40.  In general, the accounts in the income statement are
A.
B.
C.
D.
Back to top

Removing ad is a premium feature

Upgrade and get a lot more done!
Take Another Quiz