Accounting Assignment 2 Exam Questions with Correct Answers

Accounting Assignment 2 Exam Questions
with Correct Answers
The detailed record of the changes in a particular asset, liability, or owners equity is
called? Correct answer an account

Which of the following accounts is a liability?
A.
Prepaid rent expense
B.
Unearned revenue
C.
Accounts receivable
D.
Service revenue correct answer b) unearned revenue

The left side of an account is used to record which of the following? Correct answer
debits

Which of the following statements is correct?
A.
Accounts payable is increased with a credit.
B.
Rent expense is increased with a credit.
C.
Prepaid expenses are decreased with a debit.
D.
Unearned revenue is increased with a debit. Correct answer a) accounts payable is
increased with a credit

Debit or credit correct answer increase to cash=d
Decrease to account payable=d
Increase to owner, capital=c
Increase to unearned revenue=c
Decreased to accounts receivable=c

Debit or credit continued correct answer increase to interest revenue=c
Increase to rent expense=d
Decrease to office supplies=c
Increase to prepaid rent=d
Increase to notes payable=c

Asset, liability or equity
Credit or debit correct answer interest revenue=e, c