accounting 11

To indicate that column totals are not to be posted, ___ A. a check mark is placed in parentheses under the total B. a check mark is placed in the Post Ref. column of the journal on the total line C. nothing is placed under the total D. an account number is placed in the Post Ref. column of the journal

a check mark is placed in parentheses under the total

An account in a general ledger that summarizes all accounts in a subsidiary ledger is _____ A. an expense account B. a contra account C. a controlling account D. a capital account

a controlling account

t/f when the balance of a vendor account in an accounts payable ledger is changed, the balance of the controlling account is unaffected.

F

(T/F) A schedule of accounts payable is prepared before all entries in a journal are posted

F

t/f Procedures for opening customer accounts are completely different from those used for opening vendor accounts

F

t/f The last journal to be posted should be the general journal

F

t/f The total of all customer accounts balances in the account receivable ledger equals the balance of the general ledger controlling account Accounts Payable

F

t/f The totals of the general columns of the cash payments journal are posted

F

t/f entries in a cash receipts journal affect account balances in the accounts payable ledger and the general ledger

F

t/f errors made in recording amounts in subsidiary ledgers always affect the general ledger controlling account

F

t/f the heading of the balance column of an account in the accounts payable ledger is titled Debit Balance

F

t/f the total amount of the purchases journal are posted to the purchases and account receivable accounts

F

T/F a business's size, number of transactions, and type of transaction determine the number of ledgers used in an accounting system

T

T/F: the amount on each line of a purchases journal are posted to a vendor accounts in the accounts payable ledger

T

t/f Accounts Payable is a single ledger account that summarizes the total amount owned to all vendors

T

t/f Balances of general ledger accounts are usually needed only when financial statements are prepared

T

t/f Items affecting customer or vendor accounts are posted periodically during the month

T

t/f The account form for a vendor has a Credit balance column because accounts payable are liabilities and liabilities have normal credit balances

T

t/f The balance of the controlling account Accounts Payable equals the total of vendor account balances in the accounts payable subsidiary ledger

T

t/f The number of transaction determines how often to post to a general ledger

T

t/f The sales journal should be posted before the remaining journals are posted

T

t/f a general ledger sorts and summarizes all info affecting income statement and balance sheet accounts

T

t/f a listing of customer accounts, account balances, and total amount due from all customers is a schedule of accounts receivable.

T

t/f a vendor account is opened by writing the vendor name and vendor number on the heading of the ledger account

T

t/f an account in a general ledger that summarizes all accounts in a subsidiary ledger is a controlling account`

T

t/f each amount in the General columns of a cash receipts journal is posted to a general ledger account

T

t/f each amount in the general columns of a cash payments journal is posted to a general ledger account

T

t/f each amount in the sales journal's Account Receivable Debit column is posted to the accounts receivable ledger

T

t/f each entry in the Account Receivable Credit column of the cash receipts journal affects the customer named in the Account Title Column

T

t/f entries in a sales journal affect account balances in both the accounts receivable ledger and the general ledger

T

t/f the total amount of the purchases journal is posted to two general ledger accounts, Purchases and Accounts Payable

T

t/f when using an accounts receivable ledger, the total amount due from all customers is summarized in a single general ledger account

T

A schedule of accounts receivable is prepared___. A. before all current entries are posted B. after all current entries are posted C. before the special column totals are posted D. at the beginning of the month

after all current entries are posted

Information to be recorded in the accounts payable ledger is ____. A. the date and posting reference information B, a debit and credit amount C. the new account balance D. all of the above

all of the above

To open a new customer account, ____. A. the customer name is obtained from the first invoice prepared B. the customer number is assigned C. the customer name and number are written on the account form D. all of the above

all of the above

A subsidiary ledger containing only accounts for vendors from whom items are purchased or bought on account is ____ A. an accounts payable ledger B. an accounts receivable ledger C. a general ledger D. none of the above

an accounts payable ledger

The amount on each line of a purchases journal is posted as a ___ A. debit to an account in the accounts payable ledger B. debit to an account in the accounts receivable ledger C. credit to an account in the accounts payable ledger D. credit to an account in the accounts receivable ledger

credit to an account in the accounts payable ledger

The ledger that contains all accounts needed to prepare financial statements is the ____ A. accounts Payable ledger B.accounts Receivable ledger C. general ledger D. subsidiary ledger

general ledger

Each entry in the purchases journal is an amount that ___ A. is to be paid to a vendor B. has been paid to a vendor C. is to be collected from a customer D. None of the about

is to be paid to a vendor

A general ledger sorts and summarizes all information affecting___. A. income statement and balance sheet accounts B. accounts receivable accounts C. accounts payable accounts. D. none of the above

none of the above

The totals of the general columns of the cash payments journal are posted to ___. A. the accounts payable ledger B. the accounts receivable ledger C. the general ledger D. none of the above

none of the above

Each entry in the purchases journal is ____. A. posted daily B. posted often C. posted at the end of a month D. none of the above

posted often

The special amount column totals of the cash receipts journal are ____. A. posted monthly to a customer account B. posted to the general ledger controlling account at the end of each month C. not posted D. posted often

posted to the general ledger controlling account at the end of each month

The total amount fo the purchases journal is posted to the general ledger account ___. A. purchases B. accounts payable C. purchases and accounts Payable D. none of the above

purchases and accounts Payable

A listing of customer accounts, account balances, and total amount due from all customers ___. A. schedule of accounts payable B. schedule of accounts receivable C. subsidiary ledger D. controlling list

schedule of accounts receivable

A vendor number is written in the Post. Ref. column of the journal as the last posting step to ____. A. identify the vendor B. start a new journal page C. show that posting of this line to the accounts payable ledger is complete D. show the general ledger account to which the total was posted.

show that posting of this line to the accounts payable ledger is complete

A ledger that is summarized in a single general ledger account is a ____ A. ledger B. controlling ledger C. secondary ledger D. subsidiary ledger

subsidiary ledger

When posting the Accounts Receivable Credit column total of the cash receipts journal, return to the journal and write ____. A. the account number in the Post Ref. column B. a check mark under the column total C. the account number under the column total in parentheses D. none of the above.

the account number under the column total in parentheses

The total of the schedule of accounts receivable should equal__ A. the accounts receivable account balance in the general ledger B. cash amount C. the debit and credit proof D. none of the above.

the accounts receivable account balance in the general ledger

When a customer account balance is changed, ____. A. the total of all account balances will be less than the balance of the controlling account B. all vendor numbers will change C. the balance of the controlling account Accounts Receivable is also changed D. none of the above.

the balance of the controlling account Accounts Receivable is also changed

When a debit is posted to the accounts payable ledger, ___ a. the debit amount is written in the Debit column of the account. b. the cash account increases. c. the controlling account is increased by the entry. d. all of these.

the debit amount is written in the Debit

When opening a new page in an accounts receivable ledger, ____. A. Balance is written in the Item column B. the item column is left balance C. a number is written in the Post Ref. Column D. none of the above

the item column is left balance

When a credit is posted to the accounts receivable ledger, ____. A. the new amount posted in the Credit column is subtracted from the previous balance B. the source document number and page number of the journal are written in the Post.Ref. column of the account C. the credit amount is written in the Debit column of the account D. Balance is written in the Item column

the new amount posted in the Credit column is subtracted from the previous balance

Each account in a subsidiary ledger has ____. A. two amount columns C. four amount columns B. three amount columns D. none of the above

three amount columns

Daily general ledger account balances are ____. A. usually not necessary B. necessary to do monthly financial statements C. posted to the accounts receivable ledger daily D. needed if the dollar amounts are large

usually not necessary