Question 1

A company purchased equipment costing $15,000.They paid $1,000 right away and agreed to pay the balance in 30 days,the journal entry to record the purchase of equipment would include

Accepted Answer

A)   a debit to Equipment for $15,000 and a credit to Cash for $15,000.
B)   a debit to Equipment for $1,000 and a credit to Cash for $1,000.
C)   a debit to Equipment for $14,000 and a credit to Accounts Payable for $14,000.
D)   a debit to Equipment for $15,000,a credit to Cash for $1,000 and a credit to Accounts Payable for $14,000.E) None of the above
F) A) and B)

Question 2

The Accounts Payable account has a $3,000 credit balance.An entry for the payment of $1,000 on the amount owed is recorded and posted.The new balance of the Accounts Payable account is

Accepted Answer

A)   a $2,000 credit balance.
B)   a $4,000 credit balance.
C)   a $2,000 debit balance.
D)   a $4,000 debit balance.E) A) and D)
F) B) and C)

Question 3

Bertrand Inc.purchased some shop equipment for $4,500 in cash.By mistake,the journal entry debited the Office Equipment account rather than the Shop Equipment account.What correcting entry would be necessary?

Accepted Answer

A)   Debit Office Equipment $4,500;credit Shop Equipment $4,500
B)   Debit Shop Equipment $4,500;credit Office Equipment $4,500
C)   Debit Cash $4,500;credit Shop Equipment $4,500
D)   Debit Office Equipment $4,500;credit Cash $4,500E) A) and B)
F) None of the above

Question 4

The journal entry to record a payment made in January for rent for the months of February and March would include

Accepted Answer

A)   a debit to Sue Snow,Capital,and a credit to Cash.
B)   a debit to Rent Expense and a credit to Cash.
C)   a debit to Prepaid Rent and a credit to Cash.
D)   a debit to Sue Snow,Drawing and a credit to Rent Expense.E) None of the above
F) B) and C)

Question 5

When an entry is made in the general journal,

Accepted Answer

A)   assets should be listed first.
B)   accounts to be debited should be listed first.
C)   accounts to be increased should be listed first.
D)   accounts may be listed in any order.E) C) and D)
F) A) and B)

Exam 4: The General Journal and the General Ledger

Bertrand Inc.purchased some shop equipment for $4,500 in cash.By mistake,the journal entry debited the Office Equipment account rather than the Shop Equipment account.What correcting entry would be necessary?

Correct Answer
verified

The Accounts Payable account has a $3,000 credit balance.An entry for the payment of $1,000 on the amount owed is recorded and posted.The new balance of the Accounts Payable account is

Correct Answer
verified

A company purchased equipment costing $15,000.They paid $1,000 right away and agreed to pay the balance in 30 days,the journal entry to record the purchase of equipment would include

Correct Answer
verified

When an entry is made in the general journal,

Correct Answer
verified

The journal entry to record a payment made in January for rent for the months of February and March would include

Correct Answer
verified

Exam 4: The General Journal and the General Ledger

Bertrand Inc.purchased some shop equipment for $4,500 in cash.By mistake,the journal entry debited the Office Equipment account rather than the Shop Equipment account.What correcting entry would be necessary?

Correct AnswerverifiedShow Answer

The Accounts Payable account has a $3,000 credit balance.An entry for the payment of $1,000 on the amount owed is recorded and posted.The new balance of the Accounts Payable account is

Correct AnswerverifiedShow Answer

A company purchased equipment costing $15,000.They paid $1,000 right away and agreed to pay the balance in 30 days,the journal entry to record the purchase of equipment would include

Correct AnswerverifiedShow Answer

When an entry is made in the general journal,

Correct AnswerverifiedShow Answer

The journal entry to record a payment made in January for rent for the months of February and March would include

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified