Question : 56.On a worksheet, the adjusted balance of the Supplies Expense : 1169368

 

 

56.On a worksheet, the adjusted balance of the Supplies Expense account is extended to:   

A. the Income Statement Debit column.

 

B. the Income Statement Credit column.

 

C. the Balance Sheet Debit column.

 

D. the Balance Sheet Credit column.

 

 

 

 

57.Which of the following statements is correct?   

A. The cost of supplies used is reported on the statement of owner’s equity.

 

B. The cost of supplies used represents an operating expense of the business.

 

C. Accumulated Depreciation–Equipment is presented in the Liabilities section of a balance sheet.

 

D. At the time of their acquisition, prepaid expenses are recorded in expense accounts.

 

 

 

 

58.On a worksheet, the adjusted balance of the Prepaid Rent account is extended to the:   

A. Income Statement Debit column.

 

B. Income Statement Credit column.

 

C. Balance Sheet Debit column.

 

D. Balance Sheet Credit column.

 

 

 

 

59.On a worksheet, the adjusted balance of the revenue account Fees Income would be extended to:   

A. the Income Statement Debit column.

 

B. the Balance Sheet Credit column.

 

C. the Balance Sheet Debit column.

 

D. the Income Statement Credit column.

 

 

 

 

60.On the worksheet, the Balance Sheet columns should balance   

A. before the net income amount is added to the Balance Sheet Debit column.

 

B. after the net income amount is added to the Balance Sheet Debit column.

 

C. after the net income amount is added to the Balance Sheet Credit column.

 

D. before the net income amount is added to the Balance Sheet Credit column.

 

 

 

 

61.On a worksheet, the adjusted balance of a contra asset account would be extended to   

A. the Balance Sheet Debit column.

 

B. the Balance Sheet Credit column.

 

C. the Income Statement Debit column.

 

D. the Income Statement Credit column.

 

 

 

 

62.On a worksheet, a net loss is   

A. recorded in the Income Statement Debit column.

 

B. recorded in the Balance Sheet Debit column.

 

C. recorded in the Balance Sheet Credit column.

 

D. not recorded.

 

 

 

 

63.If a worksheet is prepared at the end of the accounting year,   

A. preparation of the financial statements is not required.

 

B. the adjusting entries do not need to be journalized.

 

C. only a balance sheet is required.

 

D. the financial statements are prepared using the worksheet data.

 

 

 

 

64.Which of the following statements is not correct?   

A. The difference between the total of the Income Statement Debit column and the total of the Income Statement Credit column of the worksheet represents either net income or net loss.

 

B. Net income is recorded on the worksheet in the Income Statement Debit column and the Balance Sheet Credit column.

 

C. Only the balances of accounts that are affected by adjustments must be recalculated before they are recorded in the Adjusted Trial Balance section of the worksheet.

 

D. If an account has a debit balance in the Trial Balance section of the worksheet and there is a credit entry in the Adjustments section, the credit amount is added when computing the balance to be shown in the Adjusted Trial Balance section of the worksheet.

 

 

 

 

65.On a balance sheet, Accumulated Depreciation—Equipment is reported   

A. as a deduction from the cost of the equipment.

 

B. as a liability.

 

C. as an expense.

 

D. as a deduction from the total of the assets.

 

 

 

66.The book value of long-term assets is reported on   

A. the income statement.

 

B. the statement of owner’s equity.

 

C. the balance sheet.

 

D. the worksheet.

 

 

 

 

67.The balance in the account AccumulatedDepreciation,Equipment will   

A. be reported on the Income Statement.

 

B. be reported on the Statement of Owner’s Equity.

 

C. will be reported on the Balance Sheet.

 

D. not appear on any financial statement.

 

 

 

 

68.A consecutive, twelve-month accounting period is called a(n)   

A. accrual year.

 

B. fiscal year.

 

C. accounting year.

 

D. adjusted year.

 

 

 

 

69.Accumulated Depreciation, Equipment, is shown as:   

A. a liability on the Balance Sheet

 

B. a reduction of Capital on the Statement of Owner’s Equity

 

C. a contra asset on the Balance Sheet

 

D. an expense on the Income Statement

 

 

 

 

70.The adjustments made on the worksheet   

A. are posted to the ledger but are not recorded in the journal.

 

B. are recorded in the journal but are not posted to the ledger.

 

C. need not be entered in the journal or the ledger.

 

D. are recorded in the journal and then posted to the general ledger accounts.