2. MC.03.002 A book of original entry is known as a a. ledger account. b. trial balance. c. general ledger. d. Taccount. e. Journal. 3.MC.03.003 An accountant wanting to know the balance of a particular account would refer to the a. source document. b. chart of accounts. c. journal. d. book of original entry. e. ledger. 4.MC.03.004 The process of subtotalling both sides of an account and recording the amount on that side is known as a. journalizing. b. footing. c. balancing the accounts. d. taking a trial balance. e. posting.
The Effect Of Prepaid Taxes On Assets And Liabilities
Many businesses estimate tax liability and make payments throughout the year (often quarterly). When a company overestimates its tax liability, this results in the business paying a prepaid tax. Prepaid taxes will be reversed within one year but can result in prepaid assets and liabilities.
Final Accounts
Financial accounting is one of the branches of accounting in which the transactions arising in the business over a particular period are recorded.
Ledger Posting
A ledger is an account that provides information on all the transactions that have taken place during a particular period. It is also known as General Ledger. For example, your bank account statement is a general ledger that gives information about the amount paid/debited or received/ credited from your bank account over some time.
Trial Balance and Final Accounts
In accounting we start with recording transaction with journal entries then we make separate ledger account for each type of transaction. It is very necessary to check and verify that the transaction transferred to ledgers from the journal are accurately recorded or not. Trial balance helps in this. Trial balance helps to check the accuracy of posting the ledger accounts. It helps the accountant to assist in preparing final accounts. It also helps the accountant to check whether all the debits and credits of items are recorded and posted accurately. Like in a balance sheet debit and credit side should be equal, similarly in trial balance debit balance and credit balance should tally.
Adjustment Entries
At the end of every accounting period Adjustment Entries are made in order to adjust the accounts precisely replicate the expenses and revenue of the current period. It is also known as end of period adjustment. It can also be referred as financial reporting that corrects the errors made previously in the accounting period. The basic characteristics of every adjustment entry is that it affects at least one real account and one nominal account.
![2. MC.03.002
A book of original entry is known as a
a. ledger account.
b. trial balance.
c. general ledger.
d. Taccount.
e. Journal.
3.MC.03.003
An accountant wanting to know the balance of a particular account would refer to the
a. source document.
b. chart of accounts.
c. journal.
d. book of original entry.
e. ledger.
4.MC.03.004
The process of subtotalling both sides of an account and recording the amount on that side is known as
a. Journalizing.
b. footing.
c. balancing the accounts.
d. taking a trial balance.
e. posting.
5.MC.03.005
If the number of an account is 211, this probably means that the account is the first account in the
a. Liabilities section.
b. Owner's Equity section.
c. Revenues section.
d. Expenses section.
e. Assets section.
6. MC.03.006
When an entry is posted, the last step in the process is
a. placing the balance of the account in either the debit or credit column in the ledger.
b. placing the account number in the Post. Ref. column of the ledger.
c. placing the account number in the Post. Ref. column of the journal.
d.
recording the explanation.
e. placing the journal page number in the Post. Ref. column of the ledger.
7. MC.03.007
The first step in the posting process is recording the
a. debit account and amount.
b. explanation in the journal.
c. date in the ledger account.
d. ledger account number in the journal.
e. Journal page number in the ledger account.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F6c93fdd1-cce1-4f5f-a975-dcf61cb28e3a%2F9ec7d458-ed97-45c7-b8ac-4bfb0c4a49e0%2Fdisov1k_processed.png&w=3840&q=75)
![8. MC.03.009
Which of the following errors will probably be located when preparing a trial balance?
a. Failure to post part of an entry
b. Failure to post an entire entry in the ledger
c. Failure to record an entire entry in the journal
d. Posting the debit of a journal entry as a credit and the credit as a debit
e. Posting the correct amount to the incorrect credit account
9. MC.03.010
The proof that the debits and credits in the ledger are equal is called the
a. journal.
b. trial balance.
c. balance sheet.
d. income statement.
e. statement of owner's equity.
10. MC.03.011
In the accounting process, the second step is to
a. prepare a trial balance.
b. prepare an income statement.
c. record the account numbers in the journal.
d. record the information from a source document.
e. post entries to the ledger accounts.
11. MC.03.016
A
is a book in which business transactions are recorded.
a. trial balance
b. ledger
c. journal
d. balance sheet
12. MC.03.017
furnish proof that a transaction has taken place.
a. Source documents
b. Ledgers
c. Secure documents
d. Journal entries
13. MC.03.018
Shower Flower Company bought equipment, paying cash, $2,500. The accountant would record the following journal entry:
$2,500
$2,500
$2,500
$2,500
a. Equipment
Cash
b. Equipment Expense
Cash
c. Equipment
d. Cash
Accounts Payable
Equipment
$2,500
$2,500
$2,500
$2,500](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F6c93fdd1-cce1-4f5f-a975-dcf61cb28e3a%2F9ec7d458-ed97-45c7-b8ac-4bfb0c4a49e0%2Fuxlhkd_processed.png&w=3840&q=75)
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