Accounting 1 Final COMPLETE EXAM LATEST
VERSION 2026-2027 QUESTIONS AND 100%
Verified ANSWERS
To locate and error in a trial balance you should:
a. look for the correct location of normal balances
b. verify figures transferred from the accounts to the trial balances
c. check footings and balance of accounts
d. re-add
e. all of these are correct - answer>>>e. all of these are correct
The last step in the closing procedure closes: - answer>>>The drawing account
A check issued to a creditor in the amount of $35 was recorded in the journal as $350. In
the bank reconciliation, the correction would be recorded as a(n) - answer>>>addition to
the ledger balance of cash
The structure of the payroll entry to record the payroll is: - answer>>>debit Wages
Expense; Credit each employee deduction; credit Salaries Payable
T/F: The FUTA wage taxable limit is $7000. - answer>>>True
A company received $193 from a charge customer which was recorded and posted as
$391. The entry to correct the error would be: - answer>>>a debit to Accounts Receivable
for $198 and a credit to cash for $198
What are added to the bank statement balance when preparing a bank reconciliation? -
answer>>>Deposit in Transits
How do you find book value? - answer>>>Book Value = Cost of an Asset - Accumulated
Depreciation
, Which payroll taxes have a maximum of earnings subject to that tax? - answer>>>State
Unemployment Tax and FICA Social Security
The entry to reimburse the Petty Cash Fund includes a - answer>>>debit to various
accounts upon which the money was spent
What is the fundamental accounting equation? - answer>>>Assets = Liabilities + Owners
Equity
Amounts owned by a business are referred to as... - answer>>>Liabilities
Which of the following is not considered an account?
a. Accounts Receivable
b. Revenues
c. Accounts Payable
d. Cash
e. Equipment - answer>>>b. Revenues
A business received $600 cash from Charge Customers to apply on account. The effect of
the transaction is an increase in assets (A/R) and a... - answer>>>decrease in an asset
(cash)
When a T account has several items on both sides, the balance of the account is written...
- answer>>>on the side with the larger total
Which of the following accounts decrease when they are debited?
a. Drawing & Capital
b. Liabilities & Expenses
c. Assets and Drawing
d. Capital and Liabilities
e. Expenses and Assets - answer>>>d. Capital and Liabilities
The process of subtotaling both sides of an account and recording the amount on that
side is known as... - answer>>>Footing
VERSION 2026-2027 QUESTIONS AND 100%
Verified ANSWERS
To locate and error in a trial balance you should:
a. look for the correct location of normal balances
b. verify figures transferred from the accounts to the trial balances
c. check footings and balance of accounts
d. re-add
e. all of these are correct - answer>>>e. all of these are correct
The last step in the closing procedure closes: - answer>>>The drawing account
A check issued to a creditor in the amount of $35 was recorded in the journal as $350. In
the bank reconciliation, the correction would be recorded as a(n) - answer>>>addition to
the ledger balance of cash
The structure of the payroll entry to record the payroll is: - answer>>>debit Wages
Expense; Credit each employee deduction; credit Salaries Payable
T/F: The FUTA wage taxable limit is $7000. - answer>>>True
A company received $193 from a charge customer which was recorded and posted as
$391. The entry to correct the error would be: - answer>>>a debit to Accounts Receivable
for $198 and a credit to cash for $198
What are added to the bank statement balance when preparing a bank reconciliation? -
answer>>>Deposit in Transits
How do you find book value? - answer>>>Book Value = Cost of an Asset - Accumulated
Depreciation
, Which payroll taxes have a maximum of earnings subject to that tax? - answer>>>State
Unemployment Tax and FICA Social Security
The entry to reimburse the Petty Cash Fund includes a - answer>>>debit to various
accounts upon which the money was spent
What is the fundamental accounting equation? - answer>>>Assets = Liabilities + Owners
Equity
Amounts owned by a business are referred to as... - answer>>>Liabilities
Which of the following is not considered an account?
a. Accounts Receivable
b. Revenues
c. Accounts Payable
d. Cash
e. Equipment - answer>>>b. Revenues
A business received $600 cash from Charge Customers to apply on account. The effect of
the transaction is an increase in assets (A/R) and a... - answer>>>decrease in an asset
(cash)
When a T account has several items on both sides, the balance of the account is written...
- answer>>>on the side with the larger total
Which of the following accounts decrease when they are debited?
a. Drawing & Capital
b. Liabilities & Expenses
c. Assets and Drawing
d. Capital and Liabilities
e. Expenses and Assets - answer>>>d. Capital and Liabilities
The process of subtotaling both sides of an account and recording the amount on that
side is known as... - answer>>>Footing
