Question :
115. The post-closing trial balance differs from the adjusted trial balance : 1227146
115. The post-closing trial balance differs from the adjusted trial balance in that it A. does not take into account closing entriesB. does not take into account adjusting entriesC. does not include balance sheet accountsD. does not include income statement accounts
116. The following accounts were taken from the Adjusted Trial Balance columns of the work sheet:
Accumulated Depreciation
$ 2,300
Fees Earned
14,700
Depreciation Expense
1,300
Insurance Expense
200
Dividends
500
Prepaid Insurance
4,800
Supplies
900
Supplies Expense
3,800
Net income for the period is A. $1,400B. $9,400C. $14,700D. $8,900
117. A summary of selected ledger accounts appear below for Alberto’s Plumbing Services for the current calendar year-end.
Retained Earnings
12/31
8,500
1/1
6,500
12/31
18,500
Dividends
6/30
3,500
12/31
8,500
11/30
5,000
Income Summary
12/31
15,000
12/31
33,500
12/31
18,500
Net income for the period is A. $16,500B. $33,500C. $18,500D. $15,000
118. Amir Designs purchased a one-year liability insurance policy on March 1st of this year for $5,400 and recorded it as a prepaid expense. Which of the following amounts would be recorded for insurance expense during the adjusting process at the end of Amir’s first month of operations on March 31st? A. $5,400.B. $540.C. $450.D. $500.
119. The journal entry to close the Fees Earned, $275, and Rent Revenue, $200, accounts on December 31st during the closing process would be A. Dec. 31 Fees Earned 275 Rent Revenue 200 Income Summary 475B. Dec. 31 Income Summary 475 Fees Earned 275 Rent Revenue 200C. Dec. 31 Revenues 475 Income Summary 475D. Dec. 31 Income Summary 475 Revenues 475
120. Use the work sheet for Finley Company to answer the questions that follow.
Finley CompanyWork SheetFor the Year Ended December 31, 2010
Adjusted Trial Balance
Income Statement
Balance Sheet
Account Title
Debit
Credit
Debit
Credit
Debit
Credit
Cash
48,000
48,000
Accounts Receivable
18,000
18,000
Supplies
6,000
6,000
Equipment
57,000
57,000
Accum. Depr. – Equip.
18,000
18,000
Accounts Payable
30,000
30,000
Wages Payable
6,000
6,000
Capital Stock
5,000
5,000
Retained Earnings
28,000
28,000
Dividends
3,000
3,000
Fees Earned
141,000
141,000
Wages Expense
63,000
63,000
Rent Expense
18,000
18,000
Depreciation Expense
15,000
15,000
Totals
228,000
228,000
96,000
141,000
132,000
87,000
Net Income (Loss)
45,000
45,000
141,000
141,000
132,000
132,000
The journal entry to close revenues would be A. debit Income Summary, $141,000; credit Fees Earned, $141,000B. debit Retained Earnings, $141,000; credit Fees Earned, $141,000C. debit Fees Earned, $141,000; credit Income Summary, $141,000D. credit Fees Earned, $141,000; credit Retained Earnings, $141,000
121. Use the work sheet for Finley Company to answer the questions that follow.
Finley CompanyWork SheetFor the Year Ended December 31, 2010
Adjusted Trial Balance
Income Statement
Balance Sheet
Account Title
Debit
Credit
Debit
Credit
Debit
Credit
Cash
48,000
48,000
Accounts Receivable
18,000
18,000
Supplies
6,000
6,000
Equipment
57,000
57,000
Accum. Depr. – Equip.
18,000
18,000
Accounts Payable
30,000
30,000
Wages Payable
6,000
6,000
Capital Stock
5,000
5,000
Retained Earnings
28,000
28,000
Dividends
3,000
3,000
Fees Earned
141,000
141,000
Wages Expense
63,000
63,000
Rent Expense
18,000
18,000
Depreciation Expense
15,000
15,000
Totals
228,000
228,000
96,000
141,000
132,000
87,000
Net Income (Loss)
45,000
45,000
141,000
141,000
132,000
132,000
The entry to close expenses would be A. Wages Expense 63,000Rent Expense 18,000Depreciation Expense 15,000 Income Summary 96,000B. Expenses 96,000 Income Summary 96,000C. Wages Expense 63,000Rent Expense 18,000Depreciation Expense 15,000 Dividends 96,000D. Income Summary 96,000 Wages Expense 63,000 Rent Expense 18,000 Depreciation Expense 15,000
122. Use the work sheet for Finley Company to answer the questions that follow.
Finley CompanyWork SheetFor the Year Ended December 31, 2010
Adjusted Trial Balance
Income Statement
Balance Sheet
Account Title
Debit
Credit
Debit
Credit
Debit
Credit
Cash
48,000
48,000
Accounts Receivable
18,000
18,000
Supplies
6,000
6,000
Equipment
57,000
57,000
Accum. Depr. – Equip.
18,000
18,000
Accounts Payable
30,000
30,000
Wages Payable
6,000
6,000
Capital Stock
5,000
5,000
Retained Earnings
28,000
28,000
Dividends
3,000
3,000
Fees Earned
141,000
141,000
Wages Expense
63,000
63,000
Rent Expense
18,000
18,000
Depreciation Expense
15,000
15,000
Totals
228,000
228,000
96,000
141,000
132,000
87,000
Net Income (Loss)
45,000
45,000
141,000
141,000
132,000
132,000
The entry to close Income Summary would be A. debit Retained Earnings, $45,000; credit Income Summary, $45,000B. debit Income Summary, $141,000; credit Retained Earnings, $141,000C. debit Income Summary, $45,000; credit Retained Earnings, $45,000D. debit Retained Earnings, $9,000; credit Income Summary, $9,000
123. Use the work sheet for Finley Company to answer the questions that follow.
Finley CompanyWork SheetFor the Year Ended December 31, 2010
Adjusted Trial Balance
Income Statement
Balance Sheet
Account Title
Debit
Credit
Debit
Credit
Debit
Credit
Cash
48,000
48,000
Accounts Receivable
18,000
18,000
Supplies
6,000
6,000
Equipment
57,000
57,000
Accum. Depr. – Equip.
18,000
18,000
Accounts Payable
30,000
30,000
Wages Payable
6,000
6,000
Capital Stock
5,000
5,000
Retained Earnings
28,000
28,000
Dividends
3,000
3,000
Fees Earned
141,000
141,000
Wages Expense
63,000
63,000
Rent Expense
18,000
18,000
Depreciation Expense
15,000
15,000
Totals
228,000
228,000
96,000
141,000
132,000
87,000
Net Income (Loss)
45,000
45,000
141,000
141,000
132,000
132,000
The entry to close Dividends would be A. debit Retained Earnings, $3,000; credit Dividends, $3,000B. debit Retained Earnings, $12,000; credit Dividends, $12,000C. debit Dividends, $3,000; credit Retained Earnings, $3,000D. debit Dividends, $12,000; credit Retained Earnings, $12,000
124. Use the work sheet for Finley Company to answer the questions that follow.
Finley CompanyWork SheetFor the Year Ended December 31, 2010
Adjusted Trial Balance
Income Statement
Balance Sheet
Account Title
Debit
Credit
Debit
Credit
Debit
Credit
Cash
48,000
48,000
Accounts Receivable
18,000
18,000
Supplies
6,000
6,000
Equipment
57,000
57,000
Accum. Depr. – Equip.
18,000
18,000
Accounts Payable
30,000
30,000
Wages Payable
6,000
6,000
Capital Stock
5,000
5,000
Retained Earnings
28,000
28,000
Dividends
3,000
3,000
Fees Earned
141,000
141,000
Wages Expense
63,000
63,000
Rent Expense
18,000
18,000
Depreciation Expense
15,000
15,000
Totals
228,000
228,000
96,000
141,000
132,000
87,000
Net Income (Loss)
45,000
45,000
141,000
141,000
132,000
132,000
The ending balance in Retained Earnings is A. $28,000B. $70,000C. $25,000D. $73,000
