ACC 100 FINAL EXAM EXAM SCRIPT 2026
FULL QUESTIONS WITH CORRECT ANSWERS
◉ due date. Answer: liabilities are classified as current or long-term
based on their:
◉ liability. Answer: a financial obligation that must be paid in the
future through a transfer of assets or services
◉ notes payable. Answer: written documentation of the obligation to
pay the claim or debt (borrower's perspective)
◉ dr cash cr notes payable. Answer: journal entry for signing a note
◉ dr interest expense cr interest payable. Answer: journal entry for
accrued interest on note
◉ dr notes payable dr interest payable cr cash. Answer: journal
entry for payment of cash for mature note
◉ current maturity of long term debt. Answer: the portion of long-
term debt that is due within the year or the operating period- moved
from LT liability to this current liability account
,◉ dr cash cr revenue cr sales taxes payable. Answer: journal entry
for a sale with sales taxes
◉ cash received / 1 + sales tax percentage. Answer: formula for sales
revenue from cash received including sales tax
◉ credit to sales taxes payable for $24. Answer: a company receives
$264, of which $24 is for sales tax. the journal entry to record the
sale would include a:
◉ of the customers. Answer: sales taxes collected by a retailer from a
customer are expenses:
◉ payroll tax payable. Answer: companies are required to withhold
a variety of amounts for their employees from their paychecks which
they must then pay to other parties
◉ dr s and w payable cr cash. Answer: journal entry to record
payment of salaries and wages to employees
◉ salaries and wages expense. Answer: dr account in employee
portion of taxes
, ◉ payroll tax expense. Answer: dr account in employer portion of
taxes
◉ bonds. Answer: a form of interest-bearing notes payable issued by
corporations, universities, and governmental agencies
◉ bondholder. Answer: whoever buys the bond
◉ issuer. Answer: the individual or business organization selling a
bond
◉ financing. Answer: what business activity are we engaging in
when issuing bonds?
◉ better chance of payoff & higher legal claim (in event of
bankruptcy). Answer: why would people buy bond instead of stock?
◉ secured bond. Answer: specific assets of the issuer pledged as
collateral- more frequent with small companies or companies with
poor credit
◉ unsecured bond. Answer: no collateral- frequently used by large
corporations with good credit ratings
FULL QUESTIONS WITH CORRECT ANSWERS
◉ due date. Answer: liabilities are classified as current or long-term
based on their:
◉ liability. Answer: a financial obligation that must be paid in the
future through a transfer of assets or services
◉ notes payable. Answer: written documentation of the obligation to
pay the claim or debt (borrower's perspective)
◉ dr cash cr notes payable. Answer: journal entry for signing a note
◉ dr interest expense cr interest payable. Answer: journal entry for
accrued interest on note
◉ dr notes payable dr interest payable cr cash. Answer: journal
entry for payment of cash for mature note
◉ current maturity of long term debt. Answer: the portion of long-
term debt that is due within the year or the operating period- moved
from LT liability to this current liability account
,◉ dr cash cr revenue cr sales taxes payable. Answer: journal entry
for a sale with sales taxes
◉ cash received / 1 + sales tax percentage. Answer: formula for sales
revenue from cash received including sales tax
◉ credit to sales taxes payable for $24. Answer: a company receives
$264, of which $24 is for sales tax. the journal entry to record the
sale would include a:
◉ of the customers. Answer: sales taxes collected by a retailer from a
customer are expenses:
◉ payroll tax payable. Answer: companies are required to withhold
a variety of amounts for their employees from their paychecks which
they must then pay to other parties
◉ dr s and w payable cr cash. Answer: journal entry to record
payment of salaries and wages to employees
◉ salaries and wages expense. Answer: dr account in employee
portion of taxes
, ◉ payroll tax expense. Answer: dr account in employer portion of
taxes
◉ bonds. Answer: a form of interest-bearing notes payable issued by
corporations, universities, and governmental agencies
◉ bondholder. Answer: whoever buys the bond
◉ issuer. Answer: the individual or business organization selling a
bond
◉ financing. Answer: what business activity are we engaging in
when issuing bonds?
◉ better chance of payoff & higher legal claim (in event of
bankruptcy). Answer: why would people buy bond instead of stock?
◉ secured bond. Answer: specific assets of the issuer pledged as
collateral- more frequent with small companies or companies with
poor credit
◉ unsecured bond. Answer: no collateral- frequently used by large
corporations with good credit ratings
