Question : 69. If the trial balance totals not equal, the error may : 1197805

 

69. If the trial balance totals are not equal, the error may have been caused by a transposition if the difference is divisible by 

A. 2.

B. 7.

C. 9.

D. 5.

 

70. When the trial balance totals are not equal, the error may have been caused by recording a debit as a credit if the difference is divisible by 

A. 2.

B. 7.

C. 9.

D. 5.

 

71. If a trial balance is not in balance (the Debit and Credit columns are not equal), a logical first step is to 

A. check each account balance calculation.

B. check each account balance in the general ledger to the trial balance number.

C. check the addition of each column.

D. divide the difference by either 9 or 2.

 

72. Which of the following would result in an error when preparing the Trial Balance? 

A. Placing the Withdrawal account balance in the Debit column

B. Placing a Revenue account balance in the Credit column

C. Placing the balance in Prepaid Rent in the Credit column

D. Placing the Accounts Payable balance in the Credit column

 

73. Which of the following does NOT describe a transposition? 

A. It is an error.

B. It involves misplaced digits in a number.

C. It causes the difference between the debit total and the credit total to be divisible by 2.

D. It causes the trial balance to be out of balance.

 

74. The Net Income amount from the Income Statement is used as a line item on which statement? 

A. The profit and loss statement

B. The statement of owner’s equity

C. The balance sheet

D. The trial balance

 

75. The ending balance of the capital account appears as a separate line item on what two statements? 

A. The trial balance and the income statement

B. The statement of owner’s equity and the income statement

C. The statement of owner’s equity and the balance sheet

D. The income statement and the balance sheet

 

76. The ending capital balance appears on which of the following statement(s)? 

A. Statement of owner’s equity

B. Income Statement

C. Statement of owner’s equity and balance sheet

D. Statement of owner’s equity and income statement

 

77. On a statement of owner’s equity, beginning capital is $30,000, Net Income for the year is $11,000 and Drawing for the year is $6,000, the ending capital amount would be 

A. $30,000

B. $35,000

C. $47,000

D. $25,000

 

78. Which of the following represents the proper sequence for preparing the financial statements. 

A. Balance sheet, statement of owner’s equity, income statement.

B. Income statement, balance sheet, statement of owner’s equity.

C. Income statement, statement of owner’s equity, balance sheet.

D. Statement of owner’s equity, income statement, balance sheet.

 

 

 

79. The “Net Income” or “Net Loss” is transferred from the income statement to the 

A. balance sheet.

B. chart of accounts.

C. statement of owner’s equity.

D. trial balance.

 

80. If assets are numbered from 100-199, which of the following accounts would not be given a number in the 100 series? 

A. Supplies

B. Accounts Payable

C. Prepaid Rent

D. Accounts Receivable

 

81. Which of the following accounts is not a permanent account? 

A. Cash

B. Accounts Payable

C. Salaries Expense

D. Thomas Bernard, Capital

 

82. Which of the following accounts is NOT a nominal account? 

A. Salaries Expense

B. Moriah Paige, Drawing

C. Rent Revenue

D. Office Supplies