ACING MBA 510 MODULE 2 EXAM WITH THE LATEST A+
QUESTIONS AND ANSWERS STUDY COMPANION.
The general ledger can be used to determine:
which accounts are being used by a company and their balances at any given time.
common and unique accounts used by a business.
increases and decreases in all accounts in a business.
Which of the following statements is the best definition of an asset?
A.)Assets are resources owned or controlled by a company and that have
expected future benefits.
B.)Assets represent the owner's claims against a company.
C.)Assets are the distributions to the owners of a company.
D.) Assets are claims against the company.
A
Identify which of the following lists include only examples of assets.
A.) Unearned revenue, Accounts payable, Cash
B.) Equipment, Dividends, Land
C.) Building, Cash, Accounts receivable
D._) Cash, Accounts payable, Supplies
C
Which of the following is the best definition of a source document in the
accounting process?
A.) A source document shows all the information about the legal rights a
company has in relation to when it should pay a bill.
B.) A source document identifies and describes transactions and is the basis for
entering an event into the accounting system.
,C.) A source document is used to determine who hired an employee that is
assigned the duty of entering transactions into the accounting process.
B
Which of the following items would be considered "cash" and reflected in a
company's Cash account? (Check all that apply.)
A.) Money orders
B.)Checks
C.)Prepaid Insurance
D.)Coins
E.) Notes Receivable
A, B, D
An account is a record of increases and ________ in a specific asset, liability,
equity, revenue or expense.
decreases
Notes receivable are a(n) _________ (asset/liability).
asset
Which of the following describes a general ledger?
A.) The general ledger is a record of all transactions in alphabetical order.
B.) The general ledger describes all liability accounts.
C.) The general ledger is a record containing all accounts used by a company.
D.) The general ledger combines sales and expenses to determine the net income
of a business.
C
Assets are claims (by creditors) against the company.
True or False
False: Assets are resources owned or controlled by the business.
Which of the following statements is correct about prepaid expenses?
, A.) Prepaid expenses are also called prepaid liabilities and are classified as
liabilities.
B.) Prepaid expenses are current expense accounts and are reported on the
income statement.
C.) Prepaid expenses are also called prepaid accounts and are considered assets.
D.) Prepaid expenses are another name for accounts receivable and are reported
as an asset.
C: Prepaid expenses are also called prepaid accounts and are considered assets.
Which of the following accounts is an asset?
A.) Building
B.) Cash
C.) Owners Capital
D.) Account Payable
E. Account Recievable
F.) Supplies
Building, Cash, Accounts Receivable, Supplies
Prepaid accounts are _________ (assets/liabilities) that represent prepayments of
future expenses and are increased with a ____________ (debit/credit).
assets
debit
Cash can take many forms. From the lists of items below, choose the one which
includes only items that would be defined as cash.
A.) Coins, checks, money orders
B.) Coins, accounts receivables, C.) checks
D.) Checks, coins, accounts payable
E.) Checks, money orders, supplies
A.) Coins, checks, and money orders
Select all that apply
QUESTIONS AND ANSWERS STUDY COMPANION.
The general ledger can be used to determine:
which accounts are being used by a company and their balances at any given time.
common and unique accounts used by a business.
increases and decreases in all accounts in a business.
Which of the following statements is the best definition of an asset?
A.)Assets are resources owned or controlled by a company and that have
expected future benefits.
B.)Assets represent the owner's claims against a company.
C.)Assets are the distributions to the owners of a company.
D.) Assets are claims against the company.
A
Identify which of the following lists include only examples of assets.
A.) Unearned revenue, Accounts payable, Cash
B.) Equipment, Dividends, Land
C.) Building, Cash, Accounts receivable
D._) Cash, Accounts payable, Supplies
C
Which of the following is the best definition of a source document in the
accounting process?
A.) A source document shows all the information about the legal rights a
company has in relation to when it should pay a bill.
B.) A source document identifies and describes transactions and is the basis for
entering an event into the accounting system.
,C.) A source document is used to determine who hired an employee that is
assigned the duty of entering transactions into the accounting process.
B
Which of the following items would be considered "cash" and reflected in a
company's Cash account? (Check all that apply.)
A.) Money orders
B.)Checks
C.)Prepaid Insurance
D.)Coins
E.) Notes Receivable
A, B, D
An account is a record of increases and ________ in a specific asset, liability,
equity, revenue or expense.
decreases
Notes receivable are a(n) _________ (asset/liability).
asset
Which of the following describes a general ledger?
A.) The general ledger is a record of all transactions in alphabetical order.
B.) The general ledger describes all liability accounts.
C.) The general ledger is a record containing all accounts used by a company.
D.) The general ledger combines sales and expenses to determine the net income
of a business.
C
Assets are claims (by creditors) against the company.
True or False
False: Assets are resources owned or controlled by the business.
Which of the following statements is correct about prepaid expenses?
, A.) Prepaid expenses are also called prepaid liabilities and are classified as
liabilities.
B.) Prepaid expenses are current expense accounts and are reported on the
income statement.
C.) Prepaid expenses are also called prepaid accounts and are considered assets.
D.) Prepaid expenses are another name for accounts receivable and are reported
as an asset.
C: Prepaid expenses are also called prepaid accounts and are considered assets.
Which of the following accounts is an asset?
A.) Building
B.) Cash
C.) Owners Capital
D.) Account Payable
E. Account Recievable
F.) Supplies
Building, Cash, Accounts Receivable, Supplies
Prepaid accounts are _________ (assets/liabilities) that represent prepayments of
future expenses and are increased with a ____________ (debit/credit).
assets
debit
Cash can take many forms. From the lists of items below, choose the one which
includes only items that would be defined as cash.
A.) Coins, checks, money orders
B.) Coins, accounts receivables, C.) checks
D.) Checks, coins, accounts payable
E.) Checks, money orders, supplies
A.) Coins, checks, and money orders
Select all that apply
