ACCT 1A - Quiz Ch 4
The journal entry to close Fees Earned, $750, and Rent Revenue, $175, during the year-end closing process would be a. Dec. 31Fees Earned750 Rent Revenue175 Owner's Capital925 b. Dec. 31Owner's Capital925 Fees Earned750 Rent Revenue175 c. Dec. 31Revenues925 Owner's Capital925 d. Dec. 31Owner's Capital925 Revenues925
a. Dec. 31Fees Earned750 Rent Revenue175 Owner's Capital925
What is the major difference between the unadjusted trial balance and the adjusted trial balance? a. The adjusted trial balance includes the postings of the adjustments for the period in the balance of the accounts. b. The adjusted trial balance will show the net income (loss) as an additional account. c. Unlike the adjusted trial balance, the unadjusted trial balance will continue with the end-of-period processing even if it is not in balance. d. The adjusted trial balance will be used to record the adjustments for the period.
a. The adjusted trial balance includes the postings of the adjustments for the period in the balance of the accounts.
The following accounts were taken from the Adjusted Trial Balance columns of the work sheet: Accumulated Depreciation $ 3,200 Fees Earned 17,400 Depreciation Expense 1,300 Insurance Expense 400 Prepaid Insurance 4,800 Supplies 900 Supplies Expense 3,800 Net income for the period is a. $17,400 b. $11,900 c. $8,700 d. $5,500
b. $11,900
Which of the following accounts ordinarily appears in the post-closing trial balance? a. Fees Earned b. Unearned Rent c. Zane White, Drawing d. Supplies Expense
b. Unearned Rent
The classified balance sheet will show which liability subsections? a. present liabilities and tomorrow's liabilities b. current liabilities and other liabilities c. current liabilities and long-term liabilities d. other liabilities and long-term liabilities
c. current liabilities and long-term liabilities
There are two closing entries. The first one is to close _____; the second one is to close _____. a. revenues, expenses and the drawing account b. revenues, expenses c. revenues and expenses, the drawing account d. the drawing account, revenues
c. revenues and expenses, the drawing account
After posting the first closing entry to the owner's capital account, the balance will be increased (decreased) by a. revenues for the period b. zero c. the net income (net loss) for the period d. owner's equity
c. the net income (net loss) for the period
The balance sheet should be prepared a. after the income statement and before the statement of owner's equity b. before the income statement and the statement of owner's equity c. before the income statement and after the statement of owner's equity d. after the income statement and the statement of owner's equity
d. after the income statement and the statement of owner's equity
Prepaid insurance is reported on the balance sheet as a a. current liability b. long-term liability c. fixed asset d. current asset
d. current asset
