Question 1 of 20 Which of the following need NOT be completed separately if a worksheet is prepared?

Question 1 of 20

Which of the following need NOT be completed separately if a worksheet is prepared? 

A. Trial balance

B. Income statement

C. Balance sheet

D. Statement of owner's equity

Question 2 of 20

When a trial balance is in balance: 

A. adjusting entries are not required.

B. the general ledger is free of errors.

C. the debit account balances equal the credit account balances.

D. the company has earned a net income.

Question 3 of 20

Equipment cost $36,000 and is expected to be useful for 5 years and have no salvage value. Under the straight-line method, monthly depreciation will be: 

A. $600.   

B. $720.

C. $60.

D. $12.

Question 4 of 20

On a worksheet, the adjusting entry to account for depreciation of equipment consists of a debit to __________ and a credit to __________. 

A. Depreciation Expense; Equipment

B. Depreciation Expense; Accumulated Depreciation

C. Equipment; Accumulated Depreciation

D. Accumulated Depreciation; Equipment

Question 5 of 20

On November 25, 2010, the company paid $24,000 rent in advance for a six-month period (December 2010 through May 2010). On December 31, 2010, the adjustment for expired rent would include a: 

A. $4,000 debit to Prepaid Rent.

B. $4,000 credit to Rent Expense.

C. $24,000 debit to Rent Expense.

D. $4,000 credit to Prepaid Rent.

Question 6 of 20

The adjusting entry to account for use of supplies consists of a debit to __________ and a credit to __________. 

A. Supplies Expense; Supplies

B. Supplies; Supplies Expense

C. Supplies; Accumulated Depreciation

D. Accumulated Depreciation; Supplies

Question 7 of 20

The adjusting entry to account for use of prepaid insurance consists of a debit to __________ and a credit to __________. 

A. Insurance Expense; Prepaid Insurance

B. Insurance Expense; Accumulated Depreciation

C. Prepaid Insurance; Accumulated Depreciation

D. Accumulated Depreciation; Prepaid Insurance

Question 8 of 20

The adjusting entry to account for use of prepaid advertising consists of a debit to __________ and a credit to __________. 

A. Prepaid Advertising; Advertising Expense

B. Advertising Expense; Accumulated Depreciation

C. Prepaid Advertising; Accumulated Depreciation

D. Advertising Expense; Prepaid Advertising

Question 9 of 20

On a worksheet, the adjusted balance of the Accumulated Depreciation account is extended to the: 

A. Income Statement Debit column.

B. Income Statement Credit column.

C. Balance Sheet Debit column.

D. Balance Sheet Credit column.

Question 10 of 20

On a worksheet, the adjusted balance of the Depreciation Expense account is extended to the: 

A. Income Statement Debit column.

B. Income Statement Credit column.

C. Balance Sheet Debit column.

D. Balance Sheet Credit column.

Question 11 of 20

On a worksheet, the adjusted balance of the Supplies account is extended to the: 

A. Income Statement Debit column.

B. Income Statement Credit column.

C. Balance Sheet Debit column.

D. Balance Sheet Credit column.

Question 12 of 20

On a worksheet, the adjusted balance of the Supplies Expense account is extended to the: 

A. Income Statement Debit column.

B. Income Statement Credit column.

C. Balance Sheet Debit column.

D. Balance Sheet Credit column.

Question 13 of 20

On a worksheet, the adjusted balance of the Prepaid Rent account is extended to the: 

A. Income Statement Debit column.

B. Income Statement Credit column.

C. Balance Sheet Debit column.

D. Balance Sheet Credit column.

Question 14 of 20

On a worksheet, the adjusted balance of the revenue account Fees Income would be extended to the: 

A. Income Statement Debit column.

B. Balance Sheet Credit column.

C. Balance Sheet Debit column.

D. Income Statement Credit column.

Question 15 of 20

On the worksheet, the Balance Sheet columns should balance: 

A. before the net income amount is added to the Balance Sheet Debit column.

B. after the net income amount is added to the Balance Sheet Debit column.

C. after the net income amount is added to the Balance Sheet Credit column.

D. before the net income amount is added to the Balance Sheet Credit column.

Question 16 of 20

On a worksheet, the adjusted balance of a contra asset account would be extended to the: 

A. Balance Sheet Debit column.

B. Balance Sheet Credit column.

C. Income Statement Debit column.

D. Income Statement Credit column.

Question 17 of 20

On a worksheet, a net loss is: 

A. recorded in the Income Statement Debit column.

B. recorded in the Balance Sheet Debit column.

C. recorded in the Balance Sheet Credit column.

D. not recorded.

Question 18 of 20

The adjustments made on the worksheet: 

A. are posted to the ledger but are not recorded in the journal.

B. are recorded in the journal but are not posted to the ledger.

C. need not be entered in the journal or the ledger.

D. are recorded in the journal and then posted to the general ledger accounts.

Question 19 of 20

On a balance sheet, Accumulated Depreciation—Equipment is reported as a(n): 

A. deduction from the cost of the equipment.

B. liability.

C. expense.

D. deduction from the total of the assets.

Question 20 of 20

The book value of long-term assets is reported on the: 

A. income statement.

B. statement of owner's equity.

C. balance sheet.

D. worksheet.