Accounting Chapter 4 Test

A journal shows in one place all the changes in a single account.

• True
• False

Account numbers may be assigned by 10s so that new accounts can be added easily.

• True
• False

The procedure of arranging accounts in a general ledger, assigning account numbers, and keeping records current is posting.

• True
• False

If a business has only two asset accounts, Cash and Supplies, the two accounts are numbered 110 and 120.

• True
• False

A group of accounts is called a ledger.

• True
• False

A journal page number is written in the Post. Ref. column of an account to show that posting of the entry is completed.

• True
• False

The account number is placed in the Post. Ref. column of the journal as the last step in the posting procedure.

• True
• False

If the previous account balance and the current entry posted to an account are both debits, the new account balance is a debit.

• True
• False

The column total of the General Debit column is posted.

• True
• False

Only the column totals for special amount columns in a journal are posted.

• True
• False