Navigation » List of Schools » Glendale Community College » Accounting » Accounting 101 – Financial Accounting » Spring 2021 » Chapter 3 Quiz
Below are the questions for the exam with the choices of answers:
Question #1
A Salaries Payable.
B Service Revenue.
C Advertising Expense.
D Dividends.
Question #2
A One-half on each date.
B Neither.
C November 15.
D November 1.
Question #3
A Unearned revenue.
B Accrued expense.
C Accrued revenue.
D Prepaid expense.
Question #4
A Prepaying insurance coverage for the next 12 months.
B Delaying the payment of interest on an outstanding loan until next year.
C Receiving cash in advance of a service to be provided to a customer.
D Providing services to a customer without having yet collected the cash.
Question #5
A A debit to Retained Earnings.
B A debit to all expense accounts and a credit to Retained Earnings.
C A credit to Retained Earnings.
D A debit to all expense accounts.
Question #6
A In the period in which we provide goods and services to customers.
B In the period in which customers order goods and services.
C In the period in which goods and services are prepared to be sold to customers.
D In the period in which we received cash from customers for goods and services.
Question #7
A September 22 (date of cash receipt).
B September 9 (date of service request).
C September 15 (date of service).
D Evenly over the three dates.
Question #8
A March 12 (date of cash payment).
B March 8 (date of lawn maintenance service).
C March 4 (date of request).
D Evenly over the three dates.
Question #9
A In the same period in which cash is paid.
B In the same period in which an asset is purchased.
C In the same period as the revenue they help to generate.
D In the same period in which a liability is paid.
E
Question #10
A
B Accounts Receivable.
C Interest Payable.
D Service Revenue.
E Equipment.
Question #11
A December 20.
B December 10.
C Neither.
D One-half on each date.
Question #12
A In the same period as the revenue they help to generate.
B In the same period in which cash is paid.
C In the same period in which an asset is purchased.
D In the same period in which a divided is paid.
Question #13
A Record activities that have occurred but that have not been recorded by the end of the accounting period.
B Transfer the balances of temporary accounts (revenues, expenses, and dividends) to retained earnings.
C Record external events for the period so that financial statements can be prepared.
D Store all source documents used to record transactions throughout the period.
Question #14
A September 9 (date of service request).
B Evenly over the three dates.
C September 15 (date of service).
D September 22 (date of cash receipt).
Question #15
A November 1.
B November 15.
C One-half on each date.
Question #16
A March 8 (date of lawn maintenance service).
B Evenly over the three dates.
C March 12 (date of cash payment).
D March 4 (date of request).
Question #17
A Debit to Supplies.
B Credit to Service Revenue
C Credit to Cash
D Debit to Supplies Expense
Question #18
A Credit to Cash.
B Credit to Interest Revenue.
C Debit to Cash.
D Debit to Interest Expense.
Question #19
A Are open.
B Have zero balances.
Question #20
A Financial trial balance.
B Unadjusted trial balance.
C Adjusted trial balance.
D Post-closing trial balance.
Question #21
A One-half on each date.
B December 10.
C Neither.
D December 20.
Question #22
A In the period in which we received cash from customers for goods and services.
B In the period in which we provide goods and services to customers.
C In the period in which goods and services are prepared to be sold to customers.
D In the period in which customers order goods and services.
Question #23
A Changes in stockholders’ equity are shown through changes in common stock and retained earnings.
B All accounts and account balances are shown and all debits equal all credits.
C Net income for the period is calculated by subtracting expenses from revenues.
D Total assets equal total liabilities plus stockholders’ equity.
Question #24
A Is the amount shown for retained earnings in the balance sheet.
B Is not shown.
C Equals the balance of retained earnings after closing entries.
D Equals the balance of retained earnings at the beginning of the accounting period.
Question #25
A Interest is incurred through the passage of time.
B Rent has been purchased in advance.
C Service was provided to a customer but not yet billed.
D Utilities have been incurred but not yet paid.
Question #26
A Equality of total assets with total liabilities plus stockholders’ equity.
B Net cash flows from operating, investing, and financing activities.
C Net income for the period calculated as revenues minus expenses.
D Changes in stockholders’ equity through changes in common stock and retained earnings.
Question #27
A Reduces the balances of revenue accounts to zero.
B Allows for proper application of the revenue recognition principle (revenues) or expenses recognition.
C Recorded at the beginning of the accounting period.
D Used in cash-basis accounting.
Question #28
A All accounts and account balances are shown.
B Changes in stockholders’ equity are shown through changes in common stock and retained earnings.
C Total assets equal total liabilities plus stockholders’ equity.
D Net income for the period is calculated by subtracting expenses from revenues.