Question : 5.1   Learning Objective 5-1 1) Adjusting journal entries: A) need not be : 1171297

 

5.1   Learning Objective 5-1

1) Adjusting journal entries:

A) need not be journalized since they appear on the worksheet.

B) need not be posted if the financial statements are prepared from the worksheet.

C) are not needed if closing entries are prepared.

D) must be journalized and posted.

2) Journal entries that are needed in order to update account balances for internal business transactions (such as supplies and prepaid rent) at the end of the period are:

A) closing entries.

B) adjusting entries.

C) sales entries.

D) adjusting Cash.

3) The adjusting entry to record depreciation for the company automobile would be:

A) debit Cash; credit Accumulated Depreciation, Automobile.

B) debit Accumulated Depreciation, Automobile; credit Automobile.

C) debit Depreciation Expense, Automobile; credit Accumulated Depreciation, Automobile.

D) debit Depreciation Expense, Automobile; credit Automobile.

4) The adjusting entry to record the expired rent would be to:

A) debit Prepaid Rent; credit Rent Expense.

B) debit Cash; credit Prepaid Rent.

C) debit Prepaid Rent; credit Cash.

D) debit Rent Expense; credit Prepaid Rent.

5) The adjusting entry for accrued salaries is to:

A) debit Salaries Expense; credit Salaries Payable.

B) debit Salaries Expense; credit Cash.

C) debit Salaries Payable; credit Salaries Expense.

D) debit Cash; credit Salaries Payable.

6) Each adjustment affects:

A) the income statement.

B) the balance sheet.

C) the cash account.

D) Both A and B are correct.

7) Mark’s Tree Service depreciation for the month is $500. The adjusting journal entry is:

A)

Equipment

500

        Accumulated Depreciation

500

 

B)

Depreciation Expense

500

        Accumulated Depreciation

500

 

C)

Depreciation Expense

500

        Equipment

500

 

D)

Accumulated Depreciation

500

        Depreciation Expense

500

8) Tim’s Electrical Service purchased tools for $6,000. They have an expected life of 20 months and no residual value. The adjusting journal entry for the month is:

A)

Depreciation Expense

300

        Tools

300

 

B)

Depreciation Expense

300

        Accumulated Depreciation

300

 

C)

Accumulated Depreciation

300

        Depreciation Expense

300

 

D)

Accumulated Depreciation

300

        Equipment

300

9) Samantha’s Design Studio showed office supplies available of $1,000. A count of the supplies left on hand as of June 30 was $500. The adjusting journal entry is:

A)

Office Supplies

1,000

Office Supplies Expense

1,000

 

B)

Office Supplies Expense

1,000

                        Office Supplies

1,000

 

C)

Office Supplies

500

Office Supplies Expense

500

 

D)

Office Supplies Expense

500

                        Office Supplies

500

10) Tina’s Event Planning bought a computer worth $4,000 with an expected life of 4 years and a residual value of $800. What is the adjusting journal entry after the first year?

A)

Computer

800

    Depreciation Expense

800

 

B)

Computer

800

Accumulated Depreciation, Computer

800

 

C)

Depreciation Expense

800

Accumulated Depreciation, Computer

800

 

D)

Depreciation Expense

800

    Computer

800