Midterm Exam #2 Quiz Chapter 4,5,6 ACCT 101

$600

A. How much is the adjustment for computer supplies? (Worked Solution: computer supplies expense=Unadjusted balance-balance on hand at year end Computer supplies expense= $1,100-$500=$600)

Accounts affected/Category/Increase or Decrease/Rules Computer supplies,Asset,Decrease,Credit Computer Supplies Expense,Expense,Increase,Debit T Accounts: Computer Supplies (Left top 1,100)(Bottom right 600) Computer Supplies Expense (Bottom right 600)

B. Complete a transaction analysis chart for this adjustment

Adjusting

Bringing account balances up to date before preparing financial reports is called:

500

C What will the balance of computer supplies be on the adjusted trial balance?

Depreciation expense, Equipment (Top) 1,000 (Debit side) Accumulated Depreciation, Equipment (Bottom) 1,000 (Credit side)

John's Trees Service's depreciation expense on its equipment for the month is $800. The adjusting journal entry is:

Deposit in transit

On a bank reconciliation, deposits added to the bank side are called

Supplies to be understated

The entry to replenish the petty cash fund included a debit to Equipment instead of Supplies for the purchase of supplies. This would cause:

A debit to store supplies expense for $1,500

Unlimited Doors showed supplies available during the year of $2,500. A count of the supplies on hand as of October 31 is $1,000. The adjusting entry for the store supplies would include:

Closing the withdrawals account

When the Capital account is debited, and the withdrawals account is credited, this would be the result of: