1. A group of related accounts that comprise a complete unit is called

1. Journal
2. Liability
3. Ledger
4. Transaction

2. A chart of accounts is

1. The same as a balance sheet
2. usually a listing of accounts in alphabetical order
3. usually a listing of accounts in financial statement order
4. used in place of a ledger

3. The Debit side of an account

1. Depends on whether the account is an asset, liability, or owner's equity
2. Can be either side of the account depending on how the accountant set up the system
3. Is the right side of the account
4. Is the left side of the account

4. Which of the following describes the classification and normal balance of the fees earned account?

1. Asset, credit
2. Liability, credit
3. Owner’s equity, debit
4. Revenue, credit

5. The classification and normal balance of the accounts payable account is

1. An asset with a credit balance
2. a liability with a credit balance
3. owner’s equity with a credit balance
4. revenue with a credit balance

6. In which of the following types of accounts are decreases recorded by debits

1. Assets
2. Revenues
3. Expenses
4. Drawing

7. A debit balance in which of the following accounts would indicate a likely error?

1. Salaries Expense
2. Notes Payable
3. N. McGee, Drawing
4. Supplies

8. Which of the following entries records the investment of cash by Tito , owner of a proprietorship?

1. Debit Tito, Capital; credit Accounts Receivable
2. Debit cash; credit Tito, Capital
3. Debit Tito, Drawing; credit cash
4. Debit cash; credit Tito, Drawing

9. Office supplies were sold by J’s Appliance Repair at cost to another repair shop , with cash received. Which of the following entries for J’s Appliance Repair records this transaction?

1. Office Supplies, debit; Cash, credit
2. Office Supplies, debit; Accounts Payable, credit
3. Cash, debit; Office Supplies, credit
4. Accounts Payable, debit; Office Supplies, credit

10. The process of initially recording a business transaction is called

1. Trial balancing
2. Posting
3. Journalizing
4. Balancing

11. Which of the following entries records the acquisition of office supplies on account?

1. Office Supplies, debit; Cash, credit
2. Cash, debit; Office Supplies, credit
3. Office Supplies, debit; Accounts Payable, credit
4. Accounts Receivable, debit; Office Supplies, credit

12. Which of the following entries records the acquisition of equipment on account?

1. Equipment, debit; Accounts Payable, credit
2. Equipment, debit; Cash, credit
3. Accounts Payable, debit; Equipment, credit
4. Accounts Payable, debit; Notes Payable, credit

Answer rating: 100% (QA)

Answer The correct option is as follows Multiple choice ... View the full answer