Question :
166. The accounts in the ledger of Monroe Entertainment Co. listed : 1226928
166. The accounts in the ledger of Monroe Entertainment Co. are listed below. All accounts have normal balances.
Accounts Payable
1,500
Fees Earned
3,000
Accounts Receivable
1,800
Insurance Expense
1,300
Investment
2,000
Land
3,000
Cash
2,600
Wages Expense
1,400
Capital Stock
2,500
Retained Earnings
6,300
Dividends
1,200
Prepare a trial balance. The total of the debits is A. $13,300B. $9,400C. $9,100D. $9,600
167. Randomly listed below are the steps for preparing a trial balance:
(1)
Verify that the total of the Debit column equals the total of the Credit column.
(2)
List the accounts from the ledger and enter their debit or credit balance in the Debit or Credit column of the trial balance.
(3)
List the name of the company, the title of the trial balance, and the date the trial balance is prepared.
(4)
Total the Debit and Credit columns of the trial balance.
What is the proper order of these steps? A. (3), (2), (4), (1)B. (2), (3), (4), (1)C. (3), (2), (1), (4)D. (4), (3), (2), (1)
168. Of the following, which will determine if the accounting equation is in balance? A. journal entryB. income statementC. trial balanceD. account reconciliation
169. An overpayment error was discovered in computing and paying the wages of a Jamison Tree Trimming employee. When Jamison receives cash from the employee for the amount of the overpayment, which of the following entries will Jamison make? A. Cash, debit; Wages Expense, creditB. Wages Payable, debit; Wages Expense, creditC. Wages Expense, debit, Cash, creditD. Cash, debit; Wages Payable, credit
170. If the two totals of a trial balance are not equal, it could be due to A. failure to record a transactionB. recording the same erroneous amount for both the debit and the credit parts of a transactionC. an error in determining the account balances, such as a balance being incorrectly computedD. recording the same transaction more than once
171. When a transposition error is made on the trial balance, the difference between the debit and credit totals on the trial balance will be A. zeroB. twice the amount of the transpositionC. one-half the amount of the transpositionD. divisible by 9
172. Which of the following errors would cause the trial balance totals to be unequal? A. A transaction was not posted.B. A payment of $67 for insurance was posted as a debit of $42 to Prepaid Insurance and a credit of $42 to Cash.C. A payment of $1,311 to a creditor was posted as a debit of $3,111 to Accounts Payable and a debit of $311 to Accounts Receivable.D. Cash received from customers on account was posted as a debit of $680 to Cash and a credit of $680 to Accounts Payable.
173. Supplies purchased on account were incorrectly recorded as Office Equipment. The correcting entry would be A. Supplies, debit; Office Equipment, credit.B. Accounts Receivable, debit; Supplies, credit.C. Office Equipment, debit; Supplies Expense, credit.D. Supplies, debit; Accounts Payable, credit.
174. Which of the following errors will cause the trial balance totals to be unequal? A. post the debit portion of a journal entry incorrectly and the credit portion of the entry is correctly postedB. failure to record a transaction or to post a transactionC. recording the same transaction more than onceD. recording the same erroneous amount for both the debit and the credit parts of a transactionE. posting a part of a transaction correctly as a debit or credit but to the wrong account
175. The trial balance is out of balance and the accountant suspects that a transposition or slide error has occurred. What will the accountant do to find the error? A. Determine the amount of the error and look for that amount on the trial balance.B. Determine the amount of the error and divide by two, then look for that amount on the trial balance.C. Determine the amount of the error and refer to the journal entries for that amount.D. Determine the amount of the error and divide by nine. If the result is evenly divided, then this type of error is likely.
176. Which of the following is not a short-cut in finding errors on the trial balance? A. Determine the difference between debits and credits and look for the amount.B. Determine the amount and change any account to make the trial balance correct.C. Determine the difference between debits and credits, divide the amount by 2, look for the amount.D. Determine the difference between debits and credits, divide the amount by 9, if it divides evenly, look for a transposition or slide error.
177. All of the following statements regarding a horizontal analysis are true except A. A horizontal analysis is used to compare an item in a current statement with the same item in prior statements. B. A horizontal analysis can be performed on a balance sheet and income statement, but not on a statement of cash flows.C. If fees earned in 2010 are $150,000 and fees earned in 2011 are $187,500, a horizontal analysis will indicate a 25% increase over this period.D. When two statements are compared in horizontal analysis, the earlier statement is used as the base for computing the amount and the percent of change.
