ACCT 205 Exam #1
A firm's beginning Cash Balance was $9,000. At the end of the period, the balance was $7,000. If total cash paid out during the period was $19,000, the amount of cash receipts was
$17,000
Accounts Payable had a normal beginning balance of $ 1,600. During the period, there were debit postings of $ 200 and credit postings of $ 600. What was the ending balance?
$2,000 credit
Accounts Receivable
Asset
Equipment
Asset
Merchandise Inventory
Asset
Prepaid expenses
Asset
Supplies
Asset
Land
Asset, Debit
Paid amount owed to vendor for the office supplies purchased on account on January 2nd
Assets & Liabilities Decrease
Purchased office supplies on account for $500
Assets & Liabilities Increase
Issued common stock for cash for $5,000
Assets & Stockholders equity Increase
Performed services for $200 CASH
Assets & Stockholders equity increase
Performed services on account for $10,000.
Assets & Stockholders equity increase
Paid employees for monthly payroll $1,500
Assets & Stockholders' Equity both Decrease
Received CASH for payment on account form revenue on January 10th
Assets both Increase & Decrease
General Motors wants to determine which division of the company - Chevrolet or Cadillac - is more profitable
Entity Assumption
Quick Tip when filling out the Journal Entries
Fill out Debit first on the left column ! Then fill out the credit on the right column !
Burger King, the restaurant chain, sold a store location to McDonald's. How can Burger King determine the sale price of the store - by a professional appraisal, Burger King original cost, or the amount actually received from the sale?
Historical Cost Principle
You get an especially good buy on a laptop, paying only $ 300 when it normally costs $ 800. What is your accounting value for this laptop?
Historical Cost Principle
First Mortgage's net (blank)
Income
Accounts payable
Liability
Accrured expenses payable
Liability
Long-term debt
Liability
Notes Payable
Liability
Unearned revenues are liabilities because The New York Times has ___ subscribers ___ providing them with newspapers and online access
Received Cash from, Before
Inflation has been about 2.5% for some time. Village Realtors is considering measuring its land values in inflation-adjusted amounts.
Stable-monetary-unit assumption
Common Stock
Target Corporation
Retained earnings
Target corporation
As the New York Times delivers newspapers to subscribers, The New York Times earns the revenue, and that amount then ___
goes from the Unearned Revenue account to the Revenue Account
Which is the correct sequence for recording transactions and preparing financial statements?
Journal, ledger, trial balance, financial statements
