Page 1 of 43
ACCT 5312 2026 EXAM 2 COMPLETE (118)
CURRENT TESTING QUESTIONS AND
DETAILED CORRECT
ANSWERS|GUARANTEED PASS.
ACCT 5312
Prepare effectively with this ACCT 5312 Exam2 , designed to
assess comprehensive knowledge of accounting principles and
financial analysis. It focuses on financial reporting, managerial
accounting concepts, and application of accounting standards.
The exam strengthens analytical thinking and problem-solving
skills in business and accounting scenarios. Suitable for
accounting and business students.
An accounts receivable results from the sale of:
property, plant, and equipment for cash.
goods and services to customers on account.
goods and services to customers for cash.
the firm's common stock. ✓ ✓ ...... ANSWER .......
goods and services to customers on account.
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An accounts receivable results from the sale of:
property, plant, and equipment for cash.
goods and services to customers on account.
goods and services to customers for cash.
the firm's common stock. ✓ ✓ ...... ANSWER .......
goods and services to customers on account.
The balance sheet presentation of accounts receivable net
of the allowance for bad debts has the effect of stating
accounts receivable at:
original cost.
net realizable value.
market value.
lower of cost or market. ✓ ✓ ...... ANSWER ....... net
realizable value.
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If an organization purchases $3,000 of supplies on account,
with terms of 2/10, n30:
$2,880 must be paid within 10 days of the invoice date.
$2,994 must be paid within 30 days of the invoice date.
$2,940 can be paid within 10 days of the invoice date, or
$3,000 must be paid within 30 days of the invoice date.
$2,940 can be paid within 10 days of the invoice date, or
$3,060 must be paid within 30 days of the invoice date. ✓ ✓
...... ANSWER ....... $3,000 × 98% = $2,940
$2,940 can be paid within 10 days of the invoice date, or
$3,000 must be paid within 30 days of the invoice date.
Agrico Incorporated accepted a 10-month, 11% (annual
rate), $5,450 note from one of its customers on July 15,
2022; interest is payable with the principal at maturity. ✓ ✓
...... ANSWER ....... Interest Receiveable: Debit 274.77
Interest Revenue: Credit 274.77
Interest earned = $5,450 × 11% × 5.5 ÷ 12 = $274.77
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1. A company makes the payment of a one-year insurance
premium of $3,240 on April 1, 2022.
2. Prepare the adjusting entry that will be made at the end of
every month to show the amount of insurance premium
"used" that month.
3. Calculate the amount of prepaid insurance that should be
reported on the December 31, 2022, balance sheet with
respect to this policy.
4. If the premium had been $6,480 for a two-year period,
how should the prepaid amount at December 31, 2022, be
reported on the balance sheet? ✓ ✓ ...... ANSWER .......
1. Prepaid insurance: Debit 3,240
Cash: Credit 3,240
2. Insurance Expense: Debt 270
Prepaid Expense: Credit 270
3. Prepaid Insurance: (3240 * 3/12) = 810
4. Non-current Asset: $810
Current Asset: $3240
ACCT 5312 2026 EXAM 2 COMPLETE (118)
CURRENT TESTING QUESTIONS AND
DETAILED CORRECT
ANSWERS|GUARANTEED PASS.
ACCT 5312
Prepare effectively with this ACCT 5312 Exam2 , designed to
assess comprehensive knowledge of accounting principles and
financial analysis. It focuses on financial reporting, managerial
accounting concepts, and application of accounting standards.
The exam strengthens analytical thinking and problem-solving
skills in business and accounting scenarios. Suitable for
accounting and business students.
An accounts receivable results from the sale of:
property, plant, and equipment for cash.
goods and services to customers on account.
goods and services to customers for cash.
the firm's common stock. ✓ ✓ ...... ANSWER .......
goods and services to customers on account.
, Page 2 of 43
An accounts receivable results from the sale of:
property, plant, and equipment for cash.
goods and services to customers on account.
goods and services to customers for cash.
the firm's common stock. ✓ ✓ ...... ANSWER .......
goods and services to customers on account.
The balance sheet presentation of accounts receivable net
of the allowance for bad debts has the effect of stating
accounts receivable at:
original cost.
net realizable value.
market value.
lower of cost or market. ✓ ✓ ...... ANSWER ....... net
realizable value.
, Page 3 of 43
If an organization purchases $3,000 of supplies on account,
with terms of 2/10, n30:
$2,880 must be paid within 10 days of the invoice date.
$2,994 must be paid within 30 days of the invoice date.
$2,940 can be paid within 10 days of the invoice date, or
$3,000 must be paid within 30 days of the invoice date.
$2,940 can be paid within 10 days of the invoice date, or
$3,060 must be paid within 30 days of the invoice date. ✓ ✓
...... ANSWER ....... $3,000 × 98% = $2,940
$2,940 can be paid within 10 days of the invoice date, or
$3,000 must be paid within 30 days of the invoice date.
Agrico Incorporated accepted a 10-month, 11% (annual
rate), $5,450 note from one of its customers on July 15,
2022; interest is payable with the principal at maturity. ✓ ✓
...... ANSWER ....... Interest Receiveable: Debit 274.77
Interest Revenue: Credit 274.77
Interest earned = $5,450 × 11% × 5.5 ÷ 12 = $274.77
, Page 4 of 43
1. A company makes the payment of a one-year insurance
premium of $3,240 on April 1, 2022.
2. Prepare the adjusting entry that will be made at the end of
every month to show the amount of insurance premium
"used" that month.
3. Calculate the amount of prepaid insurance that should be
reported on the December 31, 2022, balance sheet with
respect to this policy.
4. If the premium had been $6,480 for a two-year period,
how should the prepaid amount at December 31, 2022, be
reported on the balance sheet? ✓ ✓ ...... ANSWER .......
1. Prepaid insurance: Debit 3,240
Cash: Credit 3,240
2. Insurance Expense: Debt 270
Prepaid Expense: Credit 270
3. Prepaid Insurance: (3240 * 3/12) = 810
4. Non-current Asset: $810
Current Asset: $3240
