Journalizing transaction - Study guides, Class notes & Summaries

Chapter 02 1. Accounts are records of increases and decreases in individual financial statement items. a. True b. False ANSWER: True DIFFICULTY: Easy Bloom’s: Remembering LEARNING OBJECTIVES: ACCT.WARD.16. ACCREDITING STANDARDS: ACCT.ACBSP.APC.01 - Purpose ACCT.ACBSP.APC.02 - GAAP ACCT.AICPA.FN.03 - MeasurementBUSPROG: Analytic 2. A chart of accounts is a listing of accounts that make up the journal. a. True b. False ANSWER: False DIFFICULTY: Easy Bloom’s: Remembering...

What determines a company's use of the specific identification method of costing? A : when the company purchases a large number of low-unit-cost items B : when the company sells large numbers of low-unit-cost items C : when the company sells a limited number of high-unit-cost items D : when the physical flow of units cannot be determined - answer-C ________ is located on the balance sheet as a current asset immediately below receivables. A : Cost Of Goods Sold B : Gross Profit ...

Questions 1. The basic shortcut device of accounting is the T-account. It resembles the letter T, and its left side is called the debit side and its right side the credit side. 2. The statement is false because debit means left and credit means right. Debits and credits are used to record increases and decreases in accounts, so debits can be increases or decreases depending on the type of account involved and likewise for credits. 3. Examples: a. A debit to an asset account indicates an ...

TEST BANK FOR ACCOUNTING PRINCIPLES, VOLUME 1, 8TH CANADIAN EDITION JERRY J. WEYGANDT, DONALD E. KIESO, PAUL D. KIMMEL, BARBARA TRENHOLM, VALERIE WARREN, LORI NOVAK CHAPTER 2 THE RECORDING PROCESS CHAPTER LEARNING OBJECTIVES 1. Describe how accounts, debits, and credits are used to record business transactions. Debit means left and credit means right. The normal balance of an asset is a debit because assets are on the left side of the accounting equation. Assets are increased by debits and d...

CHAPTER 3: REVIEW OF A COMPANY’S ACCOUNTING SYSTEM TB_Ch03_Wahlen_Intermediate_2e_Update 1. The primary purpose of an accounting system is to record, organize. summarize, and report useful information to external financial statement users and stakeholders, as well as to company management, who make operating, investing and financing decisions. a. True b. False ANSWER: POINTS: DIFFICULTY: LEARNING OBJECTIVES: NATIONAL STANDARDS: LOCAL STANDARDS: KEYWORDS: True 1 Easy ACCT.WHAL.16.3.1 ...

Accounting, Vol. 1, 9e Cdn. Ed. (Horngren et al.) Chapter 2 Recording Business Transactions Objective 2-1 1) The basic summary device of accounting is the account. Answer: TRUE Diff: 1 Learning Outcome: A-03 Analyze and record transactions and their effects on the financial statements Skill: Knowledge Objective: 2-1 Define and use key accounting terms 2) Notes receivable is a liability account. Answer: FALSE Diff: 1 Learning Outcome: A-03 Analyze and record transactions...

expanded accounting equations - Correct Answer assets= liabilities + se Stockholder equity= cs + re Re= revenues - expensnes - dividends Summary of account normal balances - Correct Answer Assets are increased with a debit. • Liabilities and equities are increased with a credit. • Revenues (a part of equity) are increased with a credit. • Expenses (which decrease equity) are increased with a debit. • Dividends (which decrease equity) are increased with a debit. What is a tri...

Accounting Cycle Actual Exam Questions With All Correct Answers Accounting process - ANSWER- is a sequence of interrelated procedures. Its primary purpose is to produce the entity's financial statements for a given reporting period Accounting cycle - ANSWER- refers to a series of sequential steps or procedures performed to accomplish the accounting process. Chart of Accounts - ANSWER- It is a list of account titles with corresponding account codes used by the business. This list guides...

Accounting Comprehensive Exam Review | latest with questions and answers | 100% verified A device for recording the changes (increases or decreases) in the fundamental accounting elements. - Account The process involved in journalizing, posting to the ledger, taking a trial balance, preparing statements, making adjusting and closing entires, and preparing a post-closing trial balance. - Accounting cycle Which of the following terms is defined as an unwritten promise by a customer to pay,...

Accounting - Answer A process of identifying, recording and communicating Identifying - Answer The accountant analyzes each business transaction and identifies whether the transaction is an "accountable event" or "non-accountable event." Accountable events - Answer those that affect the assets, liabilities, equity, income or expenses of a business Recording - Answer The accountant recognizes the identified accountable events. This process is called journalizing. Account - Answer The b...