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Long Quiz 001
1. A reversing entry should never be made for an adjusting entry that
a. Accrues unrecorded expenses.
b. Adjusts unexpired costs from an expense account to an asset account.
c. Accrues unrecorded revenue.
d. Adjusts expired costs from an asset account to an expense account.
2. Which of the following transactions does not affect the balance sheet totals?
a. Purchasing P50,0000 equipment on account.
b. Collecting P40,000 from customers on account.
c. Withdrawal of P80,000 by the firm's owner.
d. Paying P300,000 accounts payable.
3. A post closing trial balance
a. Helps to ensure that the closing process has been performed correctly.
b. Is a listing of general ledger accounts and their balances after closing
entries have been made.
c. All of the choices
d. Consist entirely of real accounts
4. Which of the following is the proforma adjusting entry for the recognition of
depreciation?
a. Dr: Depreciation Expense; Cr: Retained Earnings
b. Dr: Depreciation Expense; Cr: Accumulated Depreciation
c. Dr: Accumulated Depreciation; Cr: Depreciation Expense
d. Dr: Accumulated Depreciation; Cr: Retained Earnings
5. Which of the following accounts is reported in the Equity section statement
of financial postion?
a. Revenues.
b. Dividends.
c. Share capital-ordinary.
d. All of the choices are reported in the Equity section of the statement
of financial position.
6. Basic steps in the recording process include all of the following except
a. All of the choices are correct regarding the basic steps in the recording
process.
b. Transfer the journal information to the appropriate account in the statement
of financial position.
c. Enter the transaction information in a journal.
d. Analyze each transaction for its effect on the accounts.
7. Which among the following closing procedures should a corporation use?
a. Close the Owners' Drawing account to the Owners' Capital account.
Page 1 of 7
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b. Close the Income Summary account to the Retained Earnings account.
Page 2 of 7
Long Quiz 001
1. A reversing entry should never be made for an adjusting entry that
a. Accrues unrecorded expenses.
b. Adjusts unexpired costs from an expense account to an asset account.
c. Accrues unrecorded revenue.
d. Adjusts expired costs from an asset account to an expense account.
2. Which of the following transactions does not affect the balance sheet totals?
a. Purchasing P50,0000 equipment on account.
b. Collecting P40,000 from customers on account.
c. Withdrawal of P80,000 by the firm's owner.
d. Paying P300,000 accounts payable.
3. A post closing trial balance
a. Helps to ensure that the closing process has been performed correctly.
b. Is a listing of general ledger accounts and their balances after closing
entries have been made.
c. All of the choices
d. Consist entirely of real accounts
4. Which of the following is the proforma adjusting entry for the recognition of
depreciation?
a. Dr: Depreciation Expense; Cr: Retained Earnings
b. Dr: Depreciation Expense; Cr: Accumulated Depreciation
c. Dr: Accumulated Depreciation; Cr: Depreciation Expense
d. Dr: Accumulated Depreciation; Cr: Retained Earnings
5. Which of the following accounts is reported in the Equity section statement
of financial postion?
a. Revenues.
b. Dividends.
c. Share capital-ordinary.
d. All of the choices are reported in the Equity section of the statement
of financial position.
6. Basic steps in the recording process include all of the following except
a. All of the choices are correct regarding the basic steps in the recording
process.
b. Transfer the journal information to the appropriate account in the statement
of financial position.
c. Enter the transaction information in a journal.
d. Analyze each transaction for its effect on the accounts.
7. Which among the following closing procedures should a corporation use?
a. Close the Owners' Drawing account to the Owners' Capital account.
Page 1 of 7
, 1
b. Close the Income Summary account to the Retained Earnings account.
Page 2 of 7
