Accounting Chapter 10

Front

What type of entries should Avery make to close out or reduce to zero the balance of certain general ledger accounts?

Back

closing entries

Front

What document should Samuel prepare to ensure that all debits in the ledger accounts are equal to the credits after the closing entries have been posted? Options: compound entry, closing entry, income summary account, post-closing trial balance

Back

post-closing trial balance

Front

What type of accounts have balances that are carried over to the next accounting period? Options: permanent accounts, temporary accounts

Back

permanent accounts

Front

Anika is managing the finances for her small business and needs to use a general ledger account to accumulate and summarize the revenue and expenses for a period. Which account should she use?

Back

income summary account

Front

Which type of accounts start an accounting period with zero balance? Options: permanent account, temporary account

Back

temporary account

Front

What is the purpose of the Income Summary account?

Back

to accumulate and summarize the revenue and expenses for the period

Front

Where are transactions involving revenue, expenses, and withdrawals recorded? Options: permanent accounts, financial statements, general journal, temporary capital accounts

Back

temporary capital accounts

Front

Abigail is closing her small business's books for the year. She needs to transfer the balance of the revenue account to the ________.

Back

credit side of the Income Summary account

Front

Nora is learning about accounting and is trying to understand the purpose of the Income Summary account. Which of the following statements is true? The Income Summary account is located in the owner's equity section of the general ledger.

Back

The Income Summary account is located in the owner's equity section of the general ledger.

Front

William is preparing a Post Closing Trial Balance for his accounting class. Which of the following questions will NOT be answered on the heading of his Post Closing Trial Balance?
How, Who, What, When

Back

How