AAMI ACCOUNTING 1 COMPREHENSIVE EXAM 2026
QUESTIONS AND SOLUTIONS RATED A+
✔✔Creditors - ✔✔companies and individuals to whom money is owed.
✔✔Balance Sheet - ✔✔itemized list of assets, liabilities, and owners equity, showing
financial position of a business on a certain date.
✔✔Business Transaction - ✔✔business activities involving the exchange of one item of
value for another.
✔✔Accounts Receivable - ✔✔amounts customers have promised to pay in the future for
services or goods bought on credit.
✔✔Assets - ✔✔which category does Cash go in?
✔✔Assets - ✔✔which category does Accounts Receivable go in?
✔✔Assets - ✔✔which category does Furniture and Office Equipment go in?
✔✔Assets - ✔✔which category does buildings go in?
✔✔Assets - ✔✔which category does Automobiles go in?
✔✔Assets - ✔✔which category does Machinery go in?
✔✔Liabilities - ✔✔which category does Accounts Payable go in?
✔✔Liabilities - ✔✔which category does Mortgage payable go in?
✔✔Liabilities - ✔✔which category does Sales Tax Payable go in?
✔✔Capital - ✔✔which category does Monies Invested By Owner go in?
✔✔Capital - ✔✔which category does Monies Withdrawn By Owner go in?
✔✔Revenue - ✔✔which category does Sales/Income/Fees go in?
✔✔Expenses - ✔✔what category does Postage go in?
✔✔Expenses - ✔✔what category does Advertising go in?
✔✔Expenses - ✔✔what category does Wages and Overtime go in?
, ✔✔Expenses - ✔✔what category does Utilities go in?
✔✔Expenses - ✔✔what category does the Cost of Goods Purchased for resale go in?
✔✔Debits must Equal Credits - ✔✔what is the primary rule of accounting.
✔✔Transposition - ✔✔the numbers in the entry were reversed.
✔✔Pencil Footing - ✔✔the balance of the account is written in small numbers at the
bottom of the column in pencil.
✔✔Account Balance - ✔✔what can you do to make sure the entries are correct?
✔✔Debit Balances - ✔✔Assets and Expense account should have?
✔✔Credit Balances - ✔✔Liability, Capital, and Revenue accounts should have?
✔✔Trial Balance - ✔✔in order to prove the equity of debits and credits we would
perform or prepare a?
✔✔Account - ✔✔record showing increases and decreases in a single asset, liability, or
owners equity item.
✔✔Debit Side - ✔✔left side of an account.
✔✔Credit Side - ✔✔right side of an account.
✔✔General Ledger - ✔✔entire group of accounts for a business's assets, liabilities, and
owners equity.
✔✔Debiting - ✔✔entering an amount on the left side of an account.
✔✔Crediting - ✔✔entering an amount on the right side of an account.
✔✔Asset Accounts - ✔✔- records increases as debits.
- records decreases as credits.
✔✔Liability and Owners Equity Accounts - ✔✔- record increases as credits
- record decreases as debits.
✔✔Source Documents - ✔✔paper evidence of a transaction.
QUESTIONS AND SOLUTIONS RATED A+
✔✔Creditors - ✔✔companies and individuals to whom money is owed.
✔✔Balance Sheet - ✔✔itemized list of assets, liabilities, and owners equity, showing
financial position of a business on a certain date.
✔✔Business Transaction - ✔✔business activities involving the exchange of one item of
value for another.
✔✔Accounts Receivable - ✔✔amounts customers have promised to pay in the future for
services or goods bought on credit.
✔✔Assets - ✔✔which category does Cash go in?
✔✔Assets - ✔✔which category does Accounts Receivable go in?
✔✔Assets - ✔✔which category does Furniture and Office Equipment go in?
✔✔Assets - ✔✔which category does buildings go in?
✔✔Assets - ✔✔which category does Automobiles go in?
✔✔Assets - ✔✔which category does Machinery go in?
✔✔Liabilities - ✔✔which category does Accounts Payable go in?
✔✔Liabilities - ✔✔which category does Mortgage payable go in?
✔✔Liabilities - ✔✔which category does Sales Tax Payable go in?
✔✔Capital - ✔✔which category does Monies Invested By Owner go in?
✔✔Capital - ✔✔which category does Monies Withdrawn By Owner go in?
✔✔Revenue - ✔✔which category does Sales/Income/Fees go in?
✔✔Expenses - ✔✔what category does Postage go in?
✔✔Expenses - ✔✔what category does Advertising go in?
✔✔Expenses - ✔✔what category does Wages and Overtime go in?
, ✔✔Expenses - ✔✔what category does Utilities go in?
✔✔Expenses - ✔✔what category does the Cost of Goods Purchased for resale go in?
✔✔Debits must Equal Credits - ✔✔what is the primary rule of accounting.
✔✔Transposition - ✔✔the numbers in the entry were reversed.
✔✔Pencil Footing - ✔✔the balance of the account is written in small numbers at the
bottom of the column in pencil.
✔✔Account Balance - ✔✔what can you do to make sure the entries are correct?
✔✔Debit Balances - ✔✔Assets and Expense account should have?
✔✔Credit Balances - ✔✔Liability, Capital, and Revenue accounts should have?
✔✔Trial Balance - ✔✔in order to prove the equity of debits and credits we would
perform or prepare a?
✔✔Account - ✔✔record showing increases and decreases in a single asset, liability, or
owners equity item.
✔✔Debit Side - ✔✔left side of an account.
✔✔Credit Side - ✔✔right side of an account.
✔✔General Ledger - ✔✔entire group of accounts for a business's assets, liabilities, and
owners equity.
✔✔Debiting - ✔✔entering an amount on the left side of an account.
✔✔Crediting - ✔✔entering an amount on the right side of an account.
✔✔Asset Accounts - ✔✔- records increases as debits.
- records decreases as credits.
✔✔Liability and Owners Equity Accounts - ✔✔- record increases as credits
- record decreases as debits.
✔✔Source Documents - ✔✔paper evidence of a transaction.
