Accounting Ch 16

Every transaction recorded in the cash receipts journal requires ____

A debit to cash in bank

A cash sale of merchandise is recorded in the sales journal.

False

On a schedule of accounts receivable, only those accounts with balances are listed.

False

The use of special amount columns eliminates the need to post individual amounts to general ledger accounts.

False

When a special journal page is filled and there are additional transactions to record, write the phrase "Brought Forward" on the last line of the filled journal page.

False

When cash sales and bankcard sales transactions are recorded in the cash receipts journal, a check mark is placed in the Posting Reference column to indicate the amounts are not to be posted individually.

False

A ____ is a column total written in small pencil figures.

Footing

A journal amount column that is not headed with an account name is called a

General amount column

All special journals have special amount columns in which debits and credits to frequently used accounts are entered.

True

An account number in parentheses under a column total in a special journal indicates that the total has been posted to the general ledger account whose number is shown.

True

Proving the equality of debits and credits in the cash receipts journal does not prove the complete accuracy of the recorded transactions.

True

The General Credit column in the cash receipts journal is used for recording credits to accounts for which there are no special amount columns.

True

To prove the accounts receivable subsidiary ledger, the total of the schedule of accounts receivable is compared with the balance of the Accounts Receivable controlling account in the general ledger.

True

Footings are always completed in pencil, and column totals are written in ink.

True

When posting from the sales journal to the accounts receivable subsidiary ledger, write the letter "S" plus the page number on which the transaction was recorded in the Posting Reference column of the subsidiary ledger account.

True

The totals of the special amount columns in the sales journal and the cash receipts journal are posted when?

At the end of the month

All transactions involving incoming cash are recorded in the _______.

Cash receipts journal

The value of the merchandise sold is recorded in the sales journal in the ____

Sales Credit Column

The ____ is a special journal used to record only the sale of merchandise on account.

Sales Journal

A ____ lists all the accounts in the accounts receivable subsidiary ledger and their balances.

Schedule of AR

A list of all customer accounts, account balances, and total amount due from all customers is a

Schedule of AR

A ____ is used for journalizing a specific kind of business transaction.

Special Journal

The number of postings from the sales journal to the general ledger depends upon ____

The number of special amount columns in the sales journal

A check mark in the Posting Reference column of the sales journal indicates that the transaction has been posted to the accounts receivable subsidiary ledger.

True

A check mark under the double rule in the General Credit column of the cash receipts journal indicates the column total is not posted anywhere.

True