PRACTICE QUESTIONS FOR MID SEMESTER EXAMINATION TOPICS 1 5 8 questions from each topic QUESTION 1 The accounting equation could be expressed as A L - OE A - OE L (c) A OE - L OE A L None of the above QUESTION 2 The assumption that a business will continue to operate into the future is the basis of what Accounting Principle or Concept The accounting entity concept The reliability principle The cost principle The going concern principle The stable-monetary-unit concept QUESTION 3 Purchasing
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Tenzin Sonam Acct 5102 W Codification Research System Written Assignment Engagement Letter for Accounting Services: February 19th‚ 2015 This letter is meant to state the responsibility of services that will be provided to your organization‚ City of Lakes‚ a public non-profit: The services provided to your organization consist of a Summary of General Accepted Accounting Procedures (GAAP). This will outline the basic principles of GAAP that relates to public non-profits and how it may differ from
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revenue d. Liabilities and revenue 4. A debit entry may indicate which of the following: a. An increase in an asset account b. A decrease in an asset account c. An increase in a liability account d. An increase in a capital account Objective: Journalize basic transactions. 5. ABC Corporation records sales for the day totaling $50‚000 in cash sales and $35‚000 in sales on account. Which of the following is the correct journal entry? a. Cash $50
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Decrease Increase Equity Decrease Increase Income Decrease Increase Expense Increase Decrease Journal entry: The assumptions are Economic entity‚
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the meaning of debit and credit first. As stated Chapter 2 (Weygandt&Kimmel&Kieso‚ 2010‚ P.49) the terms debit and credit are directional signals and entering an amount on the left side of an account is called debiting the account‚ making an entry on the right side is crediting the amount. We also record increases in cash as debit and decreases as credit. From this perspective debit balances are good and credit balances are bad. It means Maria`s assumption is correct. But in reality this is
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and grammar Overall quality of presentation including compliance with prescribed style and format criteria. Due Date should be strictly adhered to. No further extensions will be granted. Referencing: proper referencing as per the Harvard system of referencing is to be done. Assessment tasks without a proper reference lists or one that is plagiarized will get a zero mark. Assessment Task is to be typed using Times New Roman‚ 12 point font‚ line and a half spaced‚ with a 2
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that are performed in sequence and are repeated every reporting period. The series of steps are extremely beneficial and very effective in reducing errors and catching mistakes. Computerized accounting systems have made the lengthy process associated with record keeping much easier. These types of systems have reduced most of the mathematical errors that tend to happen when calculations are done manually. Ultimately‚ the goal of the entire Accounting Cycle is to properly prepare accurate and honest financial
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5. ABC Corporation issues 100 shares of $1 par common stock at $5 per share‚ which of the following is the correct journal entry? Cash | $500 | | Paid-in Capital‚ Excess of Par | | $400 | Common Stock | | $100 | 6. In the first month of operations‚ the total of the debit entries to the cash account amounted to $1‚400 and the total of the credit entries to the cash account amounted to $600. The cash account has a A. $600 credit balance B. $1‚400 debit balance C. $800 debit balance
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| Question : | If taxes are levied specifically for payment of interest and principal on long-term debt‚ those taxes are: | | | Student Answer: | | Included as a liability of the general fund | | | | Recorded as operating transfers to the debt service fund | | | | Included as revenues of the debt service fund | | | | Both A and B are correct | | | | Points Received: | 1 of 1 | | Comments: | | | | 2. | Question : | If taxes and/or special assessments
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False 6 of 25 In a perpetual inventory system‚ two entries usually are made to record each sale transaction. The purpose of these entries are best described as follows: one entry recognizes the sales revenue‚ and the other recognizes the cost of goods sold. one entry records the purchase of the merchandise‚ and the other records the sale. one entry records the cost of goods sold‚ and the other reduces the balance in the inventory account. one entry updates the general ledger‚ and the other
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