Accounting Chapter 4 Test
A journal shows, in one place, all the changes in a single account.
False
The steps for posting are to write the date, the journal page number, the amount, and the balance.
False
The two steps for opening an account are writing the account title and recording the balance.
False
A check mark in parentheses below a General Debit column total indicates that the total is not posted.
True
A check mark in the Post. Ref. column of the journal indicates that the amounts on that line are not posted individually.
True
A group of accounts is called a ledger.
True
Account numbers may be assigned by 10s so that new accounts can be added easily.
True
All corrections for posting errors should be made in a way that leaves no question as to the correct amount.
True
Errors discovered after an entry is posted may be corrected by ruling through the item.
False
If the payment of cash for rent was journalized and posted in error as a debit to Miscellaneous Expense instead of Rent Expense, the correcting entry will include a credit to Cash.
False
Separate amounts in a journal's special amount columns are posted individually.
False
Separate amounts in general amount columns are not posted individually.
False
The column total of the General Credit column is posted.
False
The only use for the Post. Ref. column of a journal and general ledger is to indicate which entries in the journal still need to be posted if posting is interrupted.
False
The posting reference should always be recorded in the journal's Post. Ref. column before amounts are recorded in the ledger.
False
If the previous account balance and the current entry posted to an account are both credits, the new account balance is a credit.
True
If the previous account balance and the current entry posted to an account are both debits, the new account balance is a debit.
True
Only the column totals for special amount columns in a journal are posted.
True
Separate amounts in general amount columns are posted individually.
True
The Cash account is the first asset account and is numbered 110.
True
The account number is placed in the Post. Ref. column of the journal as the last step in the posting procedure.
True
The procedure of arranging accounts in a general ledger, assigning account numbers, and keeping records current is known as file maintenance.
True
The totals of general amount columns in a journal are not posted.
True
When adding a new expense account between accounts numbered 510 and 520, the new account is assigned the account number 515.
True
With the exception of the total lines, the Post. Ref. column of the journal is completely filled in with either an account number or a check mark.
True
