Which financial statement is
used to determine cash generated from operations?
In terms of sequence, in what
order must the four basic financial statements be prepared?
In classifying transactions,
which of the following is true in regard to assets?
An increase in an expense
account must be
ABC Corporation issues 100
shares of $1 par common stock at $5 per share, which of the following is the
correct journal entry?
In the first month of
operations, the total of the debit entries to the cash account amounted to
$1,400 and the total of the credit entries to the cash account amounted to
$600. The cash account has a
Which ledger contains control
Smith is a customer of ABC
Corporation. Smith typically purchases merchandise from ABC on account. Which ledger
would ABC use to keep track of the details of Smith’s account?
Under the cash basis of
Under the accrual basis of
The Vintage Laundry Company
purchased $6,500 worth of laundry supplies on June 2 and recorded the purchase
as an asset. On June 30, an inventory of the laundry supplies indicated only
$2,000 on hand. The adjusting entry that should be made by the company on June
Greese Company purchased office
supplies costing $4,000 and debited Office Supplies for the full amount. At the
end of the accounting period, a physical count of office supplies revealed
$1,100 still on hand. The appropriate adjusting journal entry to be made at the
end of the period would be
13) Based on the account balance below,
what is the total of the debit and credit columns of the adjusted trial
An adjusted trial balance
15) Given the following adjusted trial
balance, net income for the year is:
Property, plant & equipment
16)Given the following adjusted trial
balance, what will be the totals for the debit and credit columns of the
post-closing trial balance?
Property, plant, & equipment
the following adjusted trial balance:
Property, plant & equipment
After closing entries have been
posted, the balance in retained earnings will be
18)Net income is recorded on the work sheet
the beginning of the year, Uptown Athletic had an inventory of $400,000. During
the year, the company purchased goods costing $1,500,000. If Uptown Athletic
reported ending inventory of $600,000 and sales of $2,000,000, their cost of
goods sold and gross profit rate would be
20) During the year, Sarah’s Pet Shop’s
merchandise inventory decreased by $30,000. If the company’s cost of goods sold
for the year was $450,000, purchases would have been
At the beginning of the year, Wildcat Athletic had an inventory of $200,000.
During the year, the company purchased goods costing $700,000. If Wildcat
Athletic reported ending inventory of $300,000 and sales of $1,000,000, their
cost of goods sold and gross profit rate would be
22) The entry to record of sale of $900
with terms of 2/10, n/30 will include a
Company uses a periodic inventory system. Details for the inventory account for
An end of the month (1/31/2012),
inventory showed that 140 units were on hand. If the company uses LIFO, what is
the value of the ending inventory?
24) The difference
between ending inventory using LIFO and ending inventory using FIFO is referred
consistent application of an inventory costing method enhances
accountant at Patton Company has determined that income before income taxes
amounted to $11,000 using the FIFO costing assumption. If the income tax rate
is 30% and the amount of income taxes paid would be $300 greater if the LIFO
assumption were used, what would be the amount of income before taxes under the
very small company would have the most difficulty in implementing which of the
following internal control activities?
system of internal control
custodian of a company asset should
Sarbanes Oxley Act (2002) applies to