ACG Final Exam Study Guide UNCW with all Correct & 100%
Verified Answers |Latest Version |Already Graded A+
Equation: Assets - Liabilities
Represent the interest of the owners in the assets of the entity and is equal to the nest assets
on an entity ✔Correct Answer-Stockholder's Equity
Legal Entity ✔Correct Answer-Corporation
Accounting Equation ✔Correct Answer-Assets = Liabilities + Owner's Equity
Analysis of assets that are used in operations and not sold ✔Correct Answer-Going Concern
What organization formulated GAAP ✔Correct Answer-FASB
Steps in Accounting Cycle ✔Correct Answer-Analyze, Record, Adjust, Report, Close
At least 2 entries, a debit and credit must be made for each transaction ✔Correct Answer-
Double Entry System
Journal Entry: Issued Stock ✔Correct Answer-Debit Cash, Credit Stock
Journal Entry: Paid Rent in Advance ✔Correct Answer-Debit Prepaid Rent, Credit Cash
Journal Purchased Office Supplies on Account ✔Correct Answer-Debit Office Supplies, Credit
Accounts Payable
Journal Entry: Signed Bank Note in Exchange for Cash (Bank Issues Note To You) ✔Correct
Answer-Debit cash, Credit Notes Payable
Journal Purchased Office Equipment ✔Correct Answer-Debit Office Equipment, Credit Cash
Journal Entry: Performed Services for Customers ✔Correct Answer-Debit Cash, Credit Fee
Revenue
Journal Entry: Performed Services for Cash and On Account ✔Correct Answer-Debit Cash,
Debit AR, Credit Fee Revenue
Journal Paid Employees Wages ✔Correct Answer-Debit Wage Expense, Credit Cash
Journal Entry:
Received Payment on Account from Customer ✔Correct Answer-Debit Cash, Credit AR
, Journal Entry: Cash Dividends ✔Correct Answer-Debit Dividends, Credit Cash
Always increases a balance sheet account and an income statement account ✔Correct
Answer-Adjusting Entry Accrual
Adjustments in Prepaid Expense and Unearned Revenues ✔Correct Answer-Deferral
Adjustments in Accrued Expenses and Accrued Revenues ✔Correct Answer-Accruals
Allocating previously recorded assets to expenses, to reflect the proper expenses incurred
during that period ✔Correct Answer-Prepaid Expenses
Allocating previously recorded unearned revenues, to earned revenue, to reflect revenues
earned during the period ✔Correct Answer-Unearned Revenues
Recording operating expenses that have not yet been paid or recorded, to reflect expenses
incurred during the period ✔Correct Answer-Accrued Expenses
Recording revenues that have not yet been received or recorded, to reflect revenue earned
during the period ✔Correct Answer-Accrued Revenues
Adjusting Journal Entries ✔Correct Answer-Prepaid Expenses, Unearned Revenues, Accrued
Expenses, Accrued Revenues
Receives entries only at year end, even though income or loss is assumed to be incurred
throughout the year ✔Correct Answer-Income Summary Account
Accounts on Post Closing Trial Balance ✔Correct Answer-Balance Sheets
Closing Entries never affect ✔Correct Answer-Assets, Liabilities, Common Stock
Current Assets ✔Correct Answer-Cash, AR, Inventory, Prepaid Insurance
List Long Term Assets ✔Correct Answer-Land, Buildings, Accumulated Depreciation, Vehicles,
Furnitures, Fixtures, Equipment
Report form on Balance Sheet ✔Correct Answer-Vertical
Presents the assets and liabilities of a business in separate subgroups (long term, current)
✔Correct Answer-Classified Balance Sheet
Presents revenues and expenses in distinct categories to facilitate financial analysis and
management decision making ✔Correct Answer-Multi-Step Income Statement
Verified Answers |Latest Version |Already Graded A+
Equation: Assets - Liabilities
Represent the interest of the owners in the assets of the entity and is equal to the nest assets
on an entity ✔Correct Answer-Stockholder's Equity
Legal Entity ✔Correct Answer-Corporation
Accounting Equation ✔Correct Answer-Assets = Liabilities + Owner's Equity
Analysis of assets that are used in operations and not sold ✔Correct Answer-Going Concern
What organization formulated GAAP ✔Correct Answer-FASB
Steps in Accounting Cycle ✔Correct Answer-Analyze, Record, Adjust, Report, Close
At least 2 entries, a debit and credit must be made for each transaction ✔Correct Answer-
Double Entry System
Journal Entry: Issued Stock ✔Correct Answer-Debit Cash, Credit Stock
Journal Entry: Paid Rent in Advance ✔Correct Answer-Debit Prepaid Rent, Credit Cash
Journal Purchased Office Supplies on Account ✔Correct Answer-Debit Office Supplies, Credit
Accounts Payable
Journal Entry: Signed Bank Note in Exchange for Cash (Bank Issues Note To You) ✔Correct
Answer-Debit cash, Credit Notes Payable
Journal Purchased Office Equipment ✔Correct Answer-Debit Office Equipment, Credit Cash
Journal Entry: Performed Services for Customers ✔Correct Answer-Debit Cash, Credit Fee
Revenue
Journal Entry: Performed Services for Cash and On Account ✔Correct Answer-Debit Cash,
Debit AR, Credit Fee Revenue
Journal Paid Employees Wages ✔Correct Answer-Debit Wage Expense, Credit Cash
Journal Entry:
Received Payment on Account from Customer ✔Correct Answer-Debit Cash, Credit AR
, Journal Entry: Cash Dividends ✔Correct Answer-Debit Dividends, Credit Cash
Always increases a balance sheet account and an income statement account ✔Correct
Answer-Adjusting Entry Accrual
Adjustments in Prepaid Expense and Unearned Revenues ✔Correct Answer-Deferral
Adjustments in Accrued Expenses and Accrued Revenues ✔Correct Answer-Accruals
Allocating previously recorded assets to expenses, to reflect the proper expenses incurred
during that period ✔Correct Answer-Prepaid Expenses
Allocating previously recorded unearned revenues, to earned revenue, to reflect revenues
earned during the period ✔Correct Answer-Unearned Revenues
Recording operating expenses that have not yet been paid or recorded, to reflect expenses
incurred during the period ✔Correct Answer-Accrued Expenses
Recording revenues that have not yet been received or recorded, to reflect revenue earned
during the period ✔Correct Answer-Accrued Revenues
Adjusting Journal Entries ✔Correct Answer-Prepaid Expenses, Unearned Revenues, Accrued
Expenses, Accrued Revenues
Receives entries only at year end, even though income or loss is assumed to be incurred
throughout the year ✔Correct Answer-Income Summary Account
Accounts on Post Closing Trial Balance ✔Correct Answer-Balance Sheets
Closing Entries never affect ✔Correct Answer-Assets, Liabilities, Common Stock
Current Assets ✔Correct Answer-Cash, AR, Inventory, Prepaid Insurance
List Long Term Assets ✔Correct Answer-Land, Buildings, Accumulated Depreciation, Vehicles,
Furnitures, Fixtures, Equipment
Report form on Balance Sheet ✔Correct Answer-Vertical
Presents the assets and liabilities of a business in separate subgroups (long term, current)
✔Correct Answer-Classified Balance Sheet
Presents revenues and expenses in distinct categories to facilitate financial analysis and
management decision making ✔Correct Answer-Multi-Step Income Statement
