Question 1

The entry to close the Depreciation Expense account would include a debit to:

Accepted Answer

A)  the Income Summary and a credit to Cash.
B)  the Income Summary account and a credit to the Depreciation Expense account.
C)  the Cash account and a credit to the Income Summary account.
D)  the Depreciation Expense account and a credit to the Income Summary account.

Question 2

Data for the first two closing entries is taken from the___________ section of the worksheet.

Accepted Answer

The answer of Data for the first two closing entries...

Question 3

A post-closing trial balance could include all of the following accounts except the:

Accepted Answer

A)  Accounts Receivable account.
B)  Fees Income account.
C)  owner's capital account.
D)  Cash account.

Question 4

Which of the following accounts is not closed?

Accepted Answer

A)  Rent Expense
B)  Joan Wilson, Drawing
C)  Fees Income
D)  Cash

Question 5

Which of the following statements is not correct?

Accepted Answer

A)  The audit trail should be used to trace data through the accounting records to find and correct errors.
B)  The balance of the owner's capital account on the adjusted trial balance will usually be different than that reported on the post-closing trial balance.
C)  The balance of the owner's capital account, as reflected on the post-closing trial balance, will match the amount reported on the income statement.
D)  If the post-closing trial balance does not balance, there are errors in the accounting records.

Question 6

After all the closing entries are posted, the ________ account reflects the results of operations for the period.

Accepted Answer

The answer of After all the closing entries are posted,...

Question 7

The entry to close the Income Summary account may include:

Accepted Answer

A)  a debit to Income Summary and a credit to Cash.
B)  a debit to Income Summary and a credit to the owner's drawing account.
C)  a debit to Cash and a credit to Income Summary.
D)  a debit to Income Summary and a credit to the owner's capital account. D

Question 8

From the following list identify the accounts that will appear on the post-closing trial balance by placing an X before those accounts.
________ A. Cash
________ B. Accounts Receivable
________ C. Supplies
________ D. Equipment
________ E. Accumulated Depreciation
________ F. Accounts Payable
________ G. Jane Nelson, Capital
________ H. Jane Nelson, Drawing
________ I. Fees Income
________ J. Depreciation Expens
________ K. Salaries Expense
________ L. Supplies Expense
________ M. Utilities Expense

Accepted Answer

A, B, C, D, E, F, G

Question 9

Identify the accounts below that are ALL classified as temporary accounts.

Accepted Answer

A)  Wages Expense, Accumulated Depreciation, Fees Income
B)  Owner's Drawing, Owner's Capital, Income Summary
C)  Owner's Drawing, Depreciation Expense, Income Summary
D)  Accounts Receivable, Depreciation Expense, Fees Income

Question 10

The revenue account Fees Income is closed by:

Accepted Answer

A)  debiting Income Summary and crediting Fees Income.
B)  debiting the owner's capital account and crediting Fees Income.
C)  debiting Cash and crediting Fees Income.
D)  debiting Fees Income and crediting Income Summary.

Question 11

Use the following account balances from the adjusted trial balance of ABC Consulting:

Select the correct closing entry that ABC Consulting would make to close the income summary account at the end of the accounting period.

Accepted Answer

A)  debit B. Conway, Capital $600 credit B. Conway, Drawing for $600.
B)  debit B. Conway, Capital $9,700 and credit Income Summary for $9,700.
C)  debit B. Conway, Capital $18,000 and credit Income Summary for $18,000.
D)  debit Income Summary $9,700 and credit B. Conway, Capital for $9,700.

Question 12

During the closing process, Accumulated Depreciation, Equipment will:

Accepted Answer

A)  be closed to the income summary account.
B)  not be closed.
C)  be closed to the drawing account.
D)  be closed to the capital account.

Question 13

All of the following accounts will appear on the post-closing trial balance except:

Accepted Answer

A)  Accumulated Depreciation-Equipment.
B)  Accounts Payable.
C)  Equipment.
D)  Depreciation Expense-Equipment.

Question 14

On December 31 the Income Summary account of Cook Company has a debit balance of $18,000 after revenue of $49,000 and expenses of $67,000 were closed to the account. Maria Cook, Drawing has a debit balance of $23,000 and Maria Cook, Capital has a credit balance of $84,000. Record the journal entries necessary to complete closing the accounts. Use 22 as the general journal page number. Then, post the closing entries to the Maria Cook, Capital account.

Accepted Answer

GENERAL JO...

Question 15

Which of the following statements is not correct?

Accepted Answer

A)  After closing entries are posted, the revenue, expense, and drawing accounts will have zero balances.
B)  A post-closing trial balance will not contain revenue and expense account balances.
C)  Adjusting entries must be journalized and posted before the closing entries are journalized and posted.
D)  At the end of each accounting period, asset and liability account balances are reduced to zero.

Question 16

Following are the steps in the accounting cycle. Arrange the steps in the proper sequence.
A. Analyze transactions.
B. Interpret the financial information.
C. Journalize the transactions.
D. Post the journal entries.
E. Prepare a post-closing trial balance.
F. Prepare financial statements.
G. Prepare a worksheet.
H. Record adjusting entries.
I. Record closing entries.
________ 1.
________ 2.
________ 3.
________ 4.
________ 5.
________ 6.
________ 7.
________ 8.
________ 9.

Accepted Answer

(1) A, (2) C, (3) D,...

Question 17

The entry to transfer net income to the owner's capital account would include a debit to the owner's capital account.

Accepted Answer

A) True 
 B)False

Question 18

If a business has a net loss for a fiscal period, the journal entry to close the Income Summary account is:

Accepted Answer

A)  a debit to Capital and a credit to Drawing.
B)  a debit to Income Summary and a credit to Fees Income.
C)  a debit to Income Summary and a credit to Capital.
D)  a debit to Capital and a credit to Income Summary.

Question 19

Which of the following accounts would be closed at the end of the year?

Accepted Answer

A)  Joan Wilson, Capital
B)  Accounts Receivable
C)  Accumulated Depreciation
D)  Supplies Expense

Question 20

After the closing entries are posted to the ledger, each revenue account will have:

Accepted Answer

A)  either a debit or a credit balance.
B)  a credit balance.
C)  a debit balance.
D)  a zero balance. D

Exam 6: Closing Entries and Teh Postclosing Trial Balance

The entry to close the Depreciation Expense account would include a debit to:

Correct Answer
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Data for the first two closing entries is taken from the___________ section of the worksheet.

Correct Answer
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A post-closing trial balance could include all of the following accounts except the:

Correct Answer
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Which of the following accounts is not closed?

Correct Answer
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Which of the following statements is not correct?

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After all the closing entries are posted, the ________ account reflects the results of operations for the period.

Correct Answer
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The entry to close the Income Summary account may include:

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D

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A, B, C, D, E, F, G

Identify the accounts below that are ALL classified as temporary accounts.

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The revenue account Fees Income is closed by:

Correct Answer
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Use the following account balances from the adjusted trial balance of ABC Consulting: Select the correct closing entry that ABC Consulting would make to close the income summary account at the end of the accounting period.

Correct Answer
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During the closing process, Accumulated Depreciation, Equipment will:

Correct Answer
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All of the following accounts will appear on the post-closing trial balance except:

Correct Answer
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GENERAL JO...
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Which of the following statements is not correct?

Correct Answer
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(1) A, (2) C, (3) D,...
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The entry to transfer net income to the owner's capital account would include a debit to the owner's capital account.

Correct Answer
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If a business has a net loss for a fiscal period, the journal entry to close the Income Summary account is:

Correct Answer
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Which of the following accounts would be closed at the end of the year?

Correct Answer
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After the closing entries are posted to the ledger, each revenue account will have:

Correct Answer
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D

Exam 6: Closing Entries and Teh Postclosing Trial Balance

The entry to close the Depreciation Expense account would include a debit to:

Correct AnswerverifiedShow Answer

Data for the first two closing entries is taken from the___________ section of the worksheet.

Correct AnswerverifiedShow Answer

A post-closing trial balance could include all of the following accounts except the:

Correct AnswerverifiedShow Answer

Which of the following accounts is not closed?

Correct AnswerverifiedShow Answer

Which of the following statements is not correct?

Correct AnswerverifiedShow Answer

After all the closing entries are posted, the ________ account reflects the results of operations for the period.

Correct AnswerverifiedShow Answer

The entry to close the Income Summary account may include:

Correct AnswerverifiedD

Correct AnswerverifiedA, B, C, D, E, F, G

Identify the accounts below that are ALL classified as temporary accounts.

Correct AnswerverifiedShow Answer

The revenue account Fees Income is closed by:

Correct AnswerverifiedShow Answer

Use the following account balances from the adjusted trial balance of ABC Consulting: Select the correct closing entry that ABC Consulting would make to close the income summary account at the end of the accounting period.

Correct AnswerverifiedShow Answer

During the closing process, Accumulated Depreciation, Equipment will:

Correct AnswerverifiedShow Answer

All of the following accounts will appear on the post-closing trial balance except:

Correct AnswerverifiedShow Answer

Correct AnswerverifiedGENERAL JO...View AnswerShow Answer

Which of the following statements is not correct?

Correct AnswerverifiedShow Answer

Correct Answerverified(1) A, (2) C, (3) D,...View AnswerShow Answer

The entry to transfer net income to the owner's capital account would include a debit to the owner's capital account.

Correct AnswerverifiedShow Answer

If a business has a net loss for a fiscal period, the journal entry to close the Income Summary account is:

Correct AnswerverifiedShow Answer

Which of the following accounts would be closed at the end of the year?

Correct AnswerverifiedShow Answer

After the closing entries are posted to the ledger, each revenue account will have:

Correct AnswerverifiedD

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D

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A, B, C, D, E, F, G

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GENERAL JO...
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(1) A, (2) C, (3) D,...
View Answer

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D