QUIZ#3
Question 1
1. Factors that shape an accounting information system include the
A. nature of the business.
B. size of the firm.
C. volume of data to be handled.
D. All of these answer choices are correct.
2.44 points
Question 2 check: I’m not sure
1. The process of transferring figures from the book of original entry to the ledger accounts
is called
A. ledgering.
B. posting.
C. adjusting.
D. balancing.
2.439 points
Question 3
1. An accounting record into which the essential facts and figures in connection with all
transactions are first recorded is called the
A. ledger.
B. account.
C. trial balance.
D. None of these answer choices are correct.
2.439 points
Question 4
1. Nominal accounts are also called
A. temporary accounts.
B. permanent accounts.
C. real accounts.
D. None of these answer choices are correct.
2.439 points
Question 5
1. The double-entry accounting system means
A. Each transaction is recorded with two journal entries.
B. Each item is recorded in a journal entry, then in a general ledger account.
C. The dual effect of each transaction is recorded with a debit and a credit.
D. None of these answer choices are correct.
2.439 points
Question 6
1. The accounting equation must remain in balance
A. throughout each step in the accounting cycle.
B. only when journal entries are recorded.
C. only at the time the trial balance is prepared.
D. only when formal financial statements are prepared.
2.439 points
Question 7
1. An optional step in the accounting cycle is the preparation of
A. a statement of cash flows.
B. adjusting entries.
C. closing entries.
D. a post-closing trial balance.
2.439 points
Question 8
1. A general journal
A. lists all the increases and decreases in each account in one place.
B. contains one record for each of the asset, liability, stockholders’ equity, revenue,
and expense accounts.
C. contains only adjusting entries.
D. chronologically lists transactions and other events, expressed in terms of debits
and credits.
2.439 points
Question 9
1. A journal entry to record a receipt of rent in advance will include a
A. debit to Rent Revenue.
B. credit to Rent Revenue.
C. credit to Unearned Revenue.
D. credit to Cash.
2.439 points
Question 10
1. The omission of the adjusting entry to record depreciation expense will result in an
A. understatement of assets and an understatement of owner’s equity.
B. overstatement of assets and an overstatement of owners’ equity.
C. overstatement of assets and an overstatement of liabilities.
D. overstatement of liabilities and an understatement of owners’ equity.
2.439 points
Question 11
1. How do these prepaid expenses expire?
Rent Supplies
2.
A. With the passage of time With the passage of time
B. Through use and consumption With the passage of time
C. Through use and consumption Through use and consumption
D. With the passage of time Through use and consumption
2.439 points
Question 12 ANS. IS A OR C NOT SURE I PICKED C
1. Unearned revenue on the books of one company is likely to be
A. an accrued expense on the books of the company that made the advance payment.
B. an unearned revenue on the books of the company that made the advance
payment.
