Assets C. Owner's equity D. Liabilities, Which one of the following disclosures is required by generally accepted accounting principles? (4) Depreciation of office equipment is based on an estimated useful life of five years. She has also heard that certain terms have special meanings in accounting relative to everyday use. A computer technician has installed the latest software updates, but you have not received an invoice or made payment. a. a. d) Are generally made daily. d) Balance sheet items are presented before income statement items. b) The entry to record depreciation expense. c) As an asset on the balance sheet. 1) An asset purchased on January 1, 2015 for $60,000 that has an estimated life of 10 years will have a book value on December 31, 2018 of: b) Realization principle Debit Automobile $578 and credit Depreciation Expense $578. c) Midwood Consultants began working for a client on March 15; bills will be sent monthly beginning April 15. Valid Pupil Personnel Services Credential with academic school counseling emphasis is preferred. 1) An adjusting entry involving recognition of accrued revenue is necessary at the end of March in which of the following situations? d. Building, equipmen, Which of the following is an appropriate representation of the accounting equation? Accumulated depreciation a. Unlike entries made . a. How is "materiality" defined in the conceptual framework? Which of the following is NOT one of the three ways medical services can be achieved? A) Capitalized means that an asset account is debited (increased) for the cost of an asset.B) Capitalized means that a liability account is credited (increased) for the cost of an asset.C) Capitalized mea, Entry to recognize depreciation expense incurred on equipment is recorded as: a. Indicate also the type of financial statement. Question 4 options: c. $5,000 b. revenue and the dividends account a. deferral a. assets Revenues, Liabilities, Owners' Equity b. Write offs. c) $235,600. a) Debit Unearned Rental Revenue $15,000 and credit Rental Revenue $15,000. 31,2018Dec. a. c) Debiting Wage Expense for $4,480 and crediting Wages Payable for $4,480. = 2 5/20 A debit to a liability and a credit to cash. This tool is intended to be used as a guide only. Adjustment disorder considered | Advances in - Cambridge Core Multiple Choice An entry to convert a liability to a revenue. .c) A credit to Child Care Fees Earned of $4,500. C) An entry to convert. b) As an asset on the balance sheet. Your aunt recently received the annual report for a company in which she has invested. The cost of insurance is considered an expense: Evenly over the term of the policy Adjusting entries are prepared: Change from straight-line to sum-of-the-years'-digits method of depreciation. Borrowed $40,000 from First National Bank. Cash will be overstated at January 31. a. A. expenses and liabilities B. expenses and revenues C. revenues and liabilities D. expenses and assets, Which one of the following groups of accounts contains only assets? Each book contained a certain number of coupons for video rentals. a) Services rendered. d) Materiality. 1) Which of the following is not considered a basic type of adjusting entry? a. The amount of prepaid rent that would appear on the January 31 balance sheet after adjustment is c. Accumulated Depreciation She would like you to explain the meaning of terms she has come across related to accounting. c) Matching Why It Matters; 3.1 Describe Principles, Assumptions, and Concepts of Accounting and Their Relationship to Financial Statements; 3.2 Define and Describe the Expanded Accounting Equation and Its Relationship to Analyzing Transactions; 3.3 Define and Describe the Initial Steps in the Accounting Cycle; 3.4 Analyze Business Transactions Using the Accounting Equation and Show the Impact of Business . b. deferred - Net income increases. 1) In which of the following situations would Daystar Company record unearned revenue in May? a) An entry to accrue unpaid expenses. An entry to convert an asset to a liability. Travis Barker Undergoes Surgery on Broken Finger: 'It's Painful' d) Justifies ignoring the matching principle or the realization principle in certain circumstances. a) $1,800 is paid in January for a two-year fire insurance policy. Therefore, the credit to Supplies in the adjusting entry is for the amount of supplies The adjustment for depreciation of $3,545 was journalized as debit to Depreciation Expense for $3,454 and a credit to Accumulated Depreciation of $3,545. What is the balance to be carried forward in the checkbook? If the beginning balance of the Accumulated DepreciationEquipment account is $10,000 and an adjusting journal entry is recorded for depreciation on the equipment for $2,500, the balance of the accumulated depreciation account after the entry is recorded will be, If an entry to adjust depreciation is not recorded at the end of the period, Depreciation Expense on the income statement will be, If the following adjusting entry is omitted, what effect will it have on the financial statements? a) Purchased. Farad, Inc., specializes in selling used trucks. a) Income. d) Assets = Liabilities + Paid-in Capital + Reven. The report notes that the statements have been prepared in accordance with "generally accepted accounting principles." b. Which of the following groups are not considered a specialist by AICPA Professional Standards: A. Appraisers. (b) Asset impa, Which of the following is considered in computing depreciation expense using the straight-line method? The monthly rent is $7,000. What are accrual adjusting entries? | AccountingCoach a. revenues and expenses are reported in the period in which cash is received or paid b. revenues are reported on the income statement in the period in which they are earned c. accrual basis of accounting supports the matching concept d) $222,900. Revenue c. Stockholders' equity d. Liability, Which of the following accounts will appear on the company's income statement? Indicate which items will be erroneously stated, because of the error, on (A) the income statement for the year and (B) the balance sheet as of October 31. B) b. debit to Wages Payable and a credit to Wages Expense (4) Depreciation of office equipment is based on an estimated useful life of six years. b. CHAPTER ONE. a. equipment allocation c) Debit Accrued Interest Payable $6,300. Asset, Liability c. Liability, Liability d. Asset, Asset, Which of the following statements is true concerning all types of tax-free corporate reorganizations? a) Assets = Equities. b. accrual Data gathered from parents, siblings and teachers indicated that siblings in ABA families experienced neither significant drawbacks nor benefits in terms of . 45, 2009). c. Underrecording depreciation expense. Rent Revenue 1,900. Note that the product can be found mentally, without the use of a calculator or pencil-and-paper calculations. Of the respondents, those who paid really high or really low prices for the ring were excluded, leaving a sample size of 33 respondents. The monthly rent is $6,000. When you have accessed the documents, you can use the search tool in your Internet browser. b. an accrued liability Which of the following accounts would likely be included in a deferral adjusting entry? c. debit Accounts Payable; credit Supplies 1) Which of the following is the accounting principle that governs the timing of revenue recognition? a. the required rate of return. Which of the following situations is not considered an adjustment b) Assets = Liabilities - Owners' Equity. a) The entry to record depreciation. Norma Company records the payment by debiting Prepaid Rent $2,200 and crediting Cash $2,200. Asset b. What categories capital falls in: A. b) Prepaid expenses represent assets. a. asset, credit Vacancy code VA/2023/B5303/25590. a) Assets = Liabilities + Owner's Capital + Owner's Drawings - Revenue - Expenses b) Assets + Owner's Drawings + Expenses = Liabilities + Owner's Capital + Revenues c) Assets -, Which account types have a normal debit balance? b. debit Cash; credit Salaries Payable 1) Before making month-end adjustments, net income of Cardinal Company was $116,000 for March. 1) Before making month-end adjustments, net income of Bobwhite Company was $232,000 for March. d. net income or loss will not be determined, Adjusting entries always include Billing Flashcards | Quizlet Learn the definition of adjusting entries in accounting, and find examples. (Provide paragraph citations.) Which of the following situations is not considered an adjustment? Which of the following is considered to be an accrued expense? If Hot Bagel Co. estimates depreciation on an automobile to be $578 for the year, the company should make the following adjusting entry: Account Adjustments: Types, Purpose & Their Link to Financial Under which circumstance would the veterinarian not adjust or cancel a fee for services? a. still on hand -Rental income accrued during March, tenant to pay in April: $800. d. Expenses are a negative factor in the computation of net income. Which of the following is NOT considered to be a symptom of reverse culture shock? Asset b. Revenues and expenses B. If the December 31 adjusting entry for the interest accrual is not prepared, by how much will income before income taxes be over- or understated in 2018 and 2019 . . b) A debit to Unearned Child Care Revenue of $4,500. In which of the following situations would an adjusting entry be made at the end of January to record an accrued expense? d) Debit Interest Expense $2,100 and credit Accrued Interest Payable $4,200. The Debt Ceiling in 2023: An In-Depth Analysis of Government Debt b) As a liability on the balance sheet. e. None of the above. Gamma Company adjusts its accounts at the end of each month. D) b) At the end of January, Empire Company pays the custodian for January office cleaning services. Prepaid expenses. d) The entry to record accrued wages payable. c. The concepts statements discuss the concept of "articulation" between financial statement elements. b. Unearned Revenue Insurance Expense c. an accrued expense b) $12,800 In ICD-10, adjustment disorder is classified under 'Neurotic, stress-related and somatoform disorders' (code F43.2), unlike DSM-IV-TR where is it is not classified under any particular group. C) trend projections. c. the IRR. Which of the following is most likely not considered an adjusting entry? The account was debited for $32,500 for premiums on policies purchased during the year. a. depreciation of long-term physical assets. On February 3, Ron Brown was billed for an office visit. A. asset B. contra asset C. liability D. stockholder's equity E. contra stockholder's equity F. revenue, or expense, Which of the following is also referred to as debt? Change in accrued wa, Which one of the following types of liabilities is not currently recognized on balance sheets? b) An entry to convert an asset to a liability. c) To accrue an uncollected revenue. Revenues, liabilities, capital b. c. not earned and the cash has not been received b) Midwood Consultants made payment in January for office rent for the first three months of the year. (2) The company pays all employees up to date each Friday. c) A credit to Child Care Fees Earned of $4,500. d. None of these choices would not cause the adjusted trial balance totals to be unequal. Briefly summarize the meaning of this term and how it relates to an entity's financial statements. A GPA adjustment may occur under one of the following conditions: How to Calculate Your . Office Furniture Owner withdrawals Unearned Revenu. a) Revenues, Expenses, and Capital b) Revenues, Expenses, and Withdrawals c) Assets, Liabilities, and Capital d) Assets, Liabilities, and Withdrawals. C. Received $3,800 for fees earned. B) The asset-liability approach is arguably superior to the revenue-expens, Which of the following are NOT included in a postclosing trial balance? 1) Unearned revenue is: Adjusting entries are necessary because timing differences exist between when a revenue or expense is recognized and cash is received or paid. Which of the following basic elements of financial statements is more associated with the balance sheet than the income statement? b) Crediting Wage Expense for $640 and debiting Wages Payable for $640. NOCCCD will not sponsor any visa applications. Liability c. Equity d. Revenue e. Expense, Identify the type of account for the following: Legal Expense a. -Supplies used in March: $100. Reasonable adjustments at work - Acas a. debit Insurance Expense, $1,800; credit Prepaid Insurance, $1,800 b) An expense. Listing current liabilities in order of maturity. A. The amount to be used for the appropriate adjusting entry is Use the following account types to form the expanded accounting equation. The balance in the Office Equipment account is $12,360; no change has occurred in the account during the year. Are they quantitative or qualitative in nature? Net income for January will be overstated. a) Assets of Perfect Painting are overstated at December 31, 2018. B) An entry to record revenue that has been earned but has not yet been billed to customers. -Fees earned in March that had been collected in advance: $3,600. checks that have been paid by at the bank and charged to the depositor's account. c. $6,800 Liability c. Equity d. Revenue e. Expense, Identify the type of account for the following: Fees Earned a. Unearned revenue. or in longer cases. checks that have a "stop payment" order. a. Change in amortization period for an intangible asset. d) Midwood Consultants received payment in February for consulting services rendered in March. b) To apportion unearned revenue. b. If no adjustment is made for this item at January 31, how will Princess's financial statements be affected? The adjusting entry to record the depreciation of a building for the fiscal period is (5) All fees totaling $19,800 were earned during the month for clients who had paid in advance. a. asset b. liability c. equity, Which of the following uncorrected errors would result in both assets and net income being overstated? Application period 02-Mar-2023 to 17-Mar-2023. How much is owed the employees for their wages? The balance in the Office Equipment account is $9,360; no change has occurred in the account during the year. (1). a. an accrued asset Which of the following is not considered an end of period adjusting Unearned Rent 1,900 a) An exact calculation prepared by an appraiser. Adjusting journal entries are a feature of accrual accounting as a result of revenue recognition and matching principles. c) An asset. Which of the following is not considered a basic type of adjusting entry a An. (a) A power generation plant that normally takes two years to construct. b. The customer is the director of a nearby animal shelter. B) adaptive smoothing. Since LMA does not enter the trachea, it is less stimulating. School Columbia College; Course Title ACCT 280; Type. ANSWER Correct Option is Option B. a) Prepare the revenue and expense accounts for recording the revenue and expenses of the next accounting period. a. C) a. d) The entry to convert liabilities to revenue. b) Only an estimate. B. Question 5 options: In previous chapter, we discussed the various factors that may influence P/E ratios. d) Prepaid expenses are shown in a special section of the income statement. Asset b. c) Record certain revenue and expenses that are not properly measured in the course of recording daily routine transactions. d) A debit to Fees Receivable of $9,000. Which of the following is not considered an epidermal Debit Interest Receivable $250. Debit Depreciation Expense $578 and credit Accumulated Depreciation $578. Contributed capital, retained earnings, and revenues. Liabilities assumed by a corporation on section 351 t. Which of the following groups of accounts have a normal credit balance? a. debit Unearned Gym Memberships; credit Gym Memberships Revenue These items are not included as Itemized Deductions and can be entered independently. Also indicate whether the items in error will be overstated or understated. B. Assigning revenues to the periods in which they are earned. The following information has been assembled in order to prepare the required adjusting entries at December 31: c. theater tickets that were not sold for the current performance a) The entry to record unpaid expenses. a) Increase by $9,800. Billing the patient for services and extending credit c. The use of outside collection services d. Bartering for services Click the card to flip Flashcards Learn Test Match Created by Nedina_Shavor Teacher Once a patient's account is in the hands of a_____agency, most offices will terminate the physician-patient relationship. Despite the fact that the ad will appear in Haute Cuisine three months after the end of Bon Appetite Caf's current fiscal year, the Caf's accountant recorded the disbursement to advertising expense. b. 3. Income statement B. The adjusting entry required at June 30 is: b) A debit to Management Fees Receivable for $200 and a credit to a revenue account for $200. The note is to be repaid, with interest, in six months. C) Gains. Which of the following statements is incorrect? a) $5,120 copyright 2003-2023 Homework.Study.com. a. a) It increases expenses and does not affect assets. The lease requires monthly rent of $550, with 4 months paid in advance. Which of the following groups are not considered a specialist by AICPA Professional Standards: A. Appraisers. Maturity dates of long-term debt c. Methods of amortizing intangibles d. Composition of plant assets, Fill in the blanks with the category of the expanded accounting equation (assets; liabilities; owner, capital; owner, withdrawals; revenues; expenses). (A), [1001][1652]\left[\begin{array}{ll}1 & 0 \\ 0 & 1\end{array}\right]\left[\begin{array}{rr}-1 & 6 \\ 5 & 2\end{array}\right] Generally accepted accounting principles require that companies use the ________ of accounting. (4) Depreciation of office equipment is based on an estimated useful life of five years. b. debit Stockholders' Equity; credit Supplies Borders and boundaries The boundaries of adjustment disorder are not well defined in the current classifications. (b) Contracts negotiated under part 15 may be of any type or combination of types that will promote the Government's interest, except as restricted in this part (see 10 U.S.C. Doing so: A. Violates professional standards. 1. [1001][1562], [1652][1001]\left[\begin{array}{rr}-1 & 6 \\ 5 & 2\end{array}\right]\left[\begin{array}{ll}1 & 0 \\ 0 & 1\end{array}\right] c) $60,000. Which of the following is NOT considered an epidermal appendage? Part 16 - Types of Contracts | Acquisition.GOV First created in 1917 when the U.S. was entering World War I, the debt ceiling has been raised by Congress (and occasionally the president, when authorized to do so by Congress) dozens of times since then. d) Net income for Perfect Painting for 2018 is overstated. e. None of these. Which of the following frictional force is self adjusting? Write offs - is not considered an adjustment. A) The variable being predicted is the Y variable. Stock is exchanged with shareholders. 1.1 Background of the Study. 1) Prepaid expenses are: 1) The accountant for Perfect Painting forgot the following two adjustments at the end of 2018: Then you prepare a slip to deposit the checks accepted for payment. d) To record unearned revenue. d) As an expense on the income statement. The balance in the Office Equipment account is $12,360; no change has occurred in the account during the year. b) Decrease by $9,800. Candidate, HBA - naturium.pl The customer is unemployed and homeless. 1) Great Kids Co. began providing day care for the children of employees of a large corporation on January 15 for an agreed monthly fee of $9,000. What action should the veterinary office assistant take upon aging accounts receivable on March 1 of the same year? d) Balance sheet items are presented before income statement items. d. rarely needed in large companies, Adjusting entries affect at least one $2,000 b) In the period with the higher earnings. A) Revenues and Liabilities B) Owners' Equity and Assets C) Liabilities and Expenses D) Assets and Expenses, Which of the following is not a correct expression of the accounting equation? Which of the following is not an adjusting entry? As time passes, fixed assets other than land lose their capacity to provide useful services. Hypodermis d. Nails e. Sebaceous glands. finding a different way to do something. d) Only if the accounting periods are equal in length. D) The adjustment for accrued fees of $16,340 was journalized as a debit to Accounts Payable for $16,430 and a credit to Fees Earned of $16,340. $550. An entry to convert an asset to a liability D. An entry to convert a liability to a revenueE. To put the firm's current P/E\mathrm{P} / \mathrm{E}P/E ratio in perspective, it is useful to compare this ratio with that of other companies in the same industry. Liability c. Equity d. Revenue e. Expense, Which of the following entries causes an immediate decrease in assets and stockholders' equity? The effect of this error is: a. only income statement accounts Decrease in liabilities and reduction in net income. Select one: a. increased satisfaction with the standard of living upon returning home (CORRECT ANSWER) b. decreased interest from co-workers in hearing about the repatriate's experiences Solved Which of the following statements is correct? Select - Chegg This month, the last day of the month falls on a Thursday. A) These adjustments are discussed below. 1. 2. Begin the equity section with Contributed Capital + Retained Earnings. E) running sum of forecast errors (RFSE). If no adjusting entry is made, how will this year's financial statements of Bon Appetite Caf be affected? A) c) The entry to pay outstanding bills. Reasonable adjustments are changes an employer makes to remove or reduce a disadvantage related to someone's disability. a) $227,700. a. assets, liabilities, owner's equity b. assets, drawing, expenses c. assets, revenues, expenses d. assets, liabilities, revenues, Which of the following statements is true? January 31 falls on a Tuesday; salaries are paid on Friday of each week. chapter 4 Flashcards | Quizlet Accounting - Chapter 4 Flashcards | Quizlet Over the phone, a new customer thinks her dog is pregnant and asks the veterinary receptionist what the total fee will be for obstetric care. a. debit Salaries Payable; credit Cash Whenever an individual stops drinking, the BAL will ________________. c) Prepaid expenses become expenses only as goods or services are used up. a. stockholders' equity See all questions asked by natashavale1025. 58) The computer monitoring of tracking signals and self-adjustment is referred to as. a. b) Net income will be understated and total assets will be understated. An entry to convert an asset to an expense. d. debit Insurance Expense, $11,000; credit Prepaid Insurance, $11,000, The entry to adjust for the cost of supplies used during the accounting period is Use the following excerpts from Algona Companys financial statements to determine cash received from customers in 2018. c. correction of an error in the general journal. c) Income Which of the following should be disclosed in the Summary of Significant Accounting Policies? d. revenue, The unexpired insurance at the end of the fiscal period represents \text{Accounts Receivable}&\text{\$\hspace{5pt}85,000}&\text{\$\hspace{5pt}105,000}\\[20pt] c) It increases, Unearned revenue is what type of an account? An adjusting journal entry is usually made at the end of an accounting period to recognize an income or expense in the period that it is incurred. b) Liabilities Account adjustments, also known as adjusting entries, are entries that are made in the general journal at the end of an accounting period to bring account balances up-to-date. 20 Which of the following is not considered a basic type of adjusting b) An understatement of assets, net income, and owners' equity. 1) Which statement is true about an adjusted trial balance? A) Deferred credits B) Constructive obligations C) Equitable obligations D) Contingent liabilities, Which of the following doesn't correctly describe a journal entry which debits depreciation expense and credits accumulated depreciation? c. debit Unearned Gym Memberships; credit Prepaid Gym Memberships
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