Question 18 options debit an expense and credit a liability debit an expense

Question 18 options debit an expense and credit a

This preview shows page 14 - 19 out of 21 pages.

Question 18 options: debit an expense and credit a liability debit an expense and credit an asset debit a liability and credit an asset debit a liability and credit an expense Save Question 19 (1 point) The accrual basis of accounting _______________. Question 19 options: recognizes revenues only when cash is received is used by almost all companies recognizes expenses only when cash is paid out
Image of page 14
recognizes revenues when sales are made or services are performed, and recognizes expenses only when cash is paid out Save Question 20 (1 point) The need for adjusting entries is based on _______________. Question 20 options: the matching principlesource documentsthe cash basis of accountingactivity that has already been recorded in the proper accounts Save Question 21 (1 point) Which of the following statements is false regarding the closing process? Question 21 options: The Dividends account is closed to Income Summary. The closing of expense accounts results in a debit to Income Summary. The closing of revenues results in a credit to Income Summary.
Image of page 15
The Income Summary account is closed to the Retained Earnings account. Save Question 22 (1 point) Which of the following statements is true regarding the classified balance sheet?Question 22 options: Save Question 23 (1 point) The underlying assumptions of accounting include all the following except _______________. Question 23 options: business entity going concern matching money measurement and periodicity Save
Image of page 16
Question 24 (1 point) Malloy Company began the accounting period with $60,000 of merchandise, and the net cost of purchases was $240,000. A physical inventory showed $72,000 of merchandise unsold at the end of the period. The cost of goods sold of Malloy Company for the period is _______________. Question 24 options: Save Question 25 (1 point) A classified income statement consists of all of the following major sections except _______________. Question 25 options: Operating revenues Cost of goods sold Operating expenses Non-operating revenues and expenses
Image of page 17
Current assets Save Question 26 (1 point) A business purchased merchandise for $12,000 on account; terms are 2/10, n/30. If $2,000 of the merchandise was returned and the remaining amount due was paid within the discount period, the
Image of page 18
Image of page 19

You've reached the end of your free preview.

Want to read all 21 pages?

  • Spring '16
  • Elizabeth Cena
  • Balance Sheet, Generally Accepted Accounting Principles, XYZ Company, Malloy Company

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern

Stuck? We have tutors online 24/7 who can help you get unstuck.
A+ icon
Ask Expert Tutors You can ask You can ask You can ask (will expire )
Answers in as fast as 15 minutes