Accounting Chapter 6 Assessment

Front

Which accounts are listed on the Trial Balance columns of a work sheet?

Back

all accounts from the general ledger even if they do not have a balance

Front

The balance in supplies expense after adjusting entries are recorded represents......

Back

the amount of supplies used during the fiscal period

Front

If the trial balance columns are not equal and the difference can be evenly divided by 9, then what is the error likely to be?

Back

a transposed number

Front

Which two financial statements are prepared from the information on the work sheet?

Back

balance sheet and income statement

Front

When does an asset become an expense?

Back

when it is used to earn revenue

Front

Which of the following is NOT a reason for accountants to use a work sheet?
- Report information to investors
- Summarize general ledger account balances to prove that debits equal credit
- Calculate the amount of net income or net loss for a fiscal period
- Separate general ledger account balances according to the financial statements to be prepared

Back

Report information to investors

Front

An expense should be reported in the same fiscal periods it is used to earn revenue.

Back

matching revenue and expenses

Front

Reporting income when the cash is received and expenses when cash is paid.

Back

cash basis of accounting

Front

Reporting income when it is earned and expenses when they are incurred not when cash is received.

Back

accrual basis of accounting

Front

The difference between total revenue and total expenses when total revenue is greater.

Back

net income