Cengage Accounting – Chapter 8 Solutions | Comprehensive Study
Guide for Financial Accounting Concepts
1. The accounts that appear on the post-closing trial balance are
(A) assets, liabilities, and owner's capital.
(B) revenue, expenses, and owner's drawing.
(C) all accounts in the chart of accounts.
(D) all temporary accounts.
A
2. The last step in the accounting cycle is to
(A) record transactions in a journal.
(B) prepare a work sheet.
(C) journalize and post closing entries.
(D) prepare a post-closing trial balance.
D
3. Income Summary is a(n)
(A) asset account.
(B) liability account.
(C) temporary account.
(D) permanent account.
C
4. When the total expenses are greater than the total revenues,
(A) the Income Summary account has a credit balance.
(B) the Income Summary account has a debit balance.
(C) debits equal credits.
(D) none of these.
B
5. Accounts used to accumulate information from one fiscal period to the next are
Guide for Financial Accounting Concepts
1. The accounts that appear on the post-closing trial balance are
(A) assets, liabilities, and owner's capital.
(B) revenue, expenses, and owner's drawing.
(C) all accounts in the chart of accounts.
(D) all temporary accounts.
A
2. The last step in the accounting cycle is to
(A) record transactions in a journal.
(B) prepare a work sheet.
(C) journalize and post closing entries.
(D) prepare a post-closing trial balance.
D
3. Income Summary is a(n)
(A) asset account.
(B) liability account.
(C) temporary account.
(D) permanent account.
C
4. When the total expenses are greater than the total revenues,
(A) the Income Summary account has a credit balance.
(B) the Income Summary account has a debit balance.
(C) debits equal credits.
(D) none of these.
B
5. Accounts used to accumulate information from one fiscal period to the next are
