1
,Test Bank for Survey of Accounting, 3rd Edition by Paul D. K
s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5
immel, Jerry J. Weygandt, Jill E. Mitchell s5 s5 s5 s5 s5 s5
Survey of Accounting, 3e (Kimmel)s5 s5 s5 s5
Appendix D Double-Entry Accounting System s5 s5 s5
1) A new account is opened for each transaction entered into by a business fir
s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5
m. Answer: FALSE
s5 s 5
Diff: 1 s5
LO: 1 s 5 s 5
Bloom: K s 5 s 5
AACSB / IMA: None / Reporting s5 s5 s 5 s 5 s5 s5
AICPA: BB: None; FC: Reporting; PC: None Minu
s 5 s5 s5 s5 s5 s5 s5
tes: 1 s 5
2) The recording process becomes more efficient and informative if all transactions are recorde
s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5
d in one account.
s5 s5 s5
Answer: FALSE s 5 s5
Diff: 1 s5
LO: 1 s 5 s 5
Bloom: K s 5 s 5
AACSB / IMA: None / Reporting s5 s5 s 5 s 5 s5 s5
AICPA: BB: None; FC: Reporting; PC: None Minu
s 5 s5 s5 s5 s5 s5 s5
tes: 1 s 5
3) An account consists of two parts: (1) a left or debit side and (2) a right or credit sid
s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5
e. Answer: FALSE
s5 s 5
Diff: 1 s5
LO: 1 s 5 s 5
Bloom: K s 5 s 5
AACSB / IMA: None / Reporting s5 s5 s 5 s 5 s5 s5
AICPA: BB: None; FC: Reporting; PC: None Minu
s 5 s5 s5 s5 s5 s5 s5
tes: 1 s 5
4) For a T- s5 s5
account, an account balance is the difference in total dollars between total debit amounts
s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5
and total credit amounts.
s5 s5 s5
Answer: TRUE s 5 s5
Diff: 1 s5
LO: 1 s 5 s 5
Bloom: K s 5 s 5
AACSB / IMA: None / Reporting s5 s5 s 5 s 5 s5 s5
AICPA: BB: None; FC: Reporting; PC: None Minu
s 5 s5 s5 s5 s5 s5 s5
tes: 1 s 5
2
,5) An account is often referred to as a T-
s5 s5 s5 s5 s5 s5 s5 s5
account because of the way it is constructed. Answer: TRUE
s5 s5 s5 s5 s5 s5 s5 s5 s 5
Diff: 1 s5
LO: 1 s 5 s 5
Bloom: K s 5 s 5
AACSB / IMA: None / Reporting
s5 s5 s 5 s 5 s5 s5
AICPA: BB: None; FC: Reporting; PC: None Minu
s 5 s5 s5 s5 s5 s5 s5
tes: 1s 5
6) A debit to an account always indicates an increase in that account
s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5
. Answer: FALSE
s5 s 5
Diff: 1 s5
LO: 1 s 5 s 5
Bloom: K s 5 s 5
AACSB / IMA: None / Reporting
s5 s5 s 5 s 5 s5 s5
AICPA: BB: None; FC: Reporting; PC: None Minu
s 5 s5 s5 s5 s5 s5 s5
tes: 1s 5
7) If a revenue account is credited, the revenue account is increased
s5 s5 s5 s5 s5 s5 s5 s5 s5 s5
. Answer: TRUE
s5 s 5
Diff: 1 s5
LO: 1 s 5 s 5
Bloom: K s 5 s 5
AACSB / IMA: None / Reporting
s5 s5 s 5 s 5 s5 s5
AICPA: BB: None; FC: Reporting; PC: None Minu
s 5 s5 s5 s5 s5 s5 s5
tes: 1s 5
8) The normal balance of all accounts is a debit.
s5 s5 s5 s5 s5 s5 s5 s5
Answer: FALSE
s5 s 5
Diff: 1 s5
LO: 1 s 5 s 5
Bloom: K s 5 s 5
AACSB / IMA: None / Reporting
s5 s5 s 5 s 5 s5 s5
AICPA: BB: None; FC: Reporting; PC: None Minu
s 5 s5 s5 s5 s5 s5 s5
tes: 1s 5
9) Debit and credit can be interpreted to mean "bad" and "good", respectively
s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5
. Answer: FALSE
s5 s 5
Diff: 1 s5
LO: 1 s 5 s 5
Bloom: K s 5 s 5
AACSB / IMA: None / Reporting
s5 s5 s 5 s 5 s5 s5
AICPA: BB: None; FC: Reporting; PC: None Minu
s 5 s5 s5 s5 s5 s5 s5
tes: 1s 5
3
, 10) A credit means that an account has been increased
s5 s5 s5 s5 s5 s5 s5 s5
. Answer: FALSE
s5 s 5
Diff: 1 s5
LO: 1 s 5 s 5
Bloom: K s 5 s 5
AACSB / IMA: None / Reportings5 s5 s 5 s 5 s5 s5
AICPA: BB: None; FC: Reporting; PC: None Minu
s 5 s5 s5 s5 s5 s5 s5
tes: 1 s 5
11) A decrease in a liability account is recorded by a debit
s5 s5 s5 s5 s5 s5 s5 s5 s5 s5
. Answer: TRUE
s5 s 5
Diff: 1 s5
LO: 1 s 5 s 5
Bloom: K s 5 s 5
AACSB / IMA: None / Reportings5 s5 s 5 s 5 s5 s5
AICPA: BB: None; FC: Reporting; PC: None Minu
s 5 s5 s5 s5 s5 s5 s5
tes: 1 s 5
12) An increase in an asset is recorded by a debit
s5 s5 s5 s5 s5 s5 s5 s5 s5
. Answer: TRUE
s5 s 5
Diff: 1 s5
LO: 1 s 5 s 5
Bloom: K s 5 s 5
AACSB / IMA: None / Reportings5 s5 s 5 s 5 s5 s5
AICPA: BB: None; FC: Reporting; PC: None Minu
s 5 s5 s5 s5 s5 s5 s5
tes: 1 s 5
13) The double- s5
entry system of accounting refers to the placement of a double line at the end of a column of f
s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5
igures.
Answer: FALSE s 5 s5
Diff: 1 s5
LO: 1 s 5 s 5
Bloom: K s 5 s 5
AACSB / IMA: None / Reportings5 s5 s 5 s 5 s5 s5
AICPA: BB: None; FC: Reporting; PC: None Minu
s 5 s5 s5 s5 s5 s5 s5
tes: 1 s 5
14) A credit balance in a liability account indicates that an error in recording has occurre
s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5
d. Answer: FALSE
s5 s 5
Diff: 1 s5
LO: 1 s 5 s 5
Bloom: K s 5 s 5
AACSB / IMA: None / Reportings5 s5 s 5 s 5 s5 s5
AICPA: BB: None; FC: Reporting; PC: None Minu
s 5 s5 s5 s5 s5 s5 s5
tes: 1 s 5
4
,Test Bank for Survey of Accounting, 3rd Edition by Paul D. K
s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5
immel, Jerry J. Weygandt, Jill E. Mitchell s5 s5 s5 s5 s5 s5
Survey of Accounting, 3e (Kimmel)s5 s5 s5 s5
Appendix D Double-Entry Accounting System s5 s5 s5
1) A new account is opened for each transaction entered into by a business fir
s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5
m. Answer: FALSE
s5 s 5
Diff: 1 s5
LO: 1 s 5 s 5
Bloom: K s 5 s 5
AACSB / IMA: None / Reporting s5 s5 s 5 s 5 s5 s5
AICPA: BB: None; FC: Reporting; PC: None Minu
s 5 s5 s5 s5 s5 s5 s5
tes: 1 s 5
2) The recording process becomes more efficient and informative if all transactions are recorde
s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5
d in one account.
s5 s5 s5
Answer: FALSE s 5 s5
Diff: 1 s5
LO: 1 s 5 s 5
Bloom: K s 5 s 5
AACSB / IMA: None / Reporting s5 s5 s 5 s 5 s5 s5
AICPA: BB: None; FC: Reporting; PC: None Minu
s 5 s5 s5 s5 s5 s5 s5
tes: 1 s 5
3) An account consists of two parts: (1) a left or debit side and (2) a right or credit sid
s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5
e. Answer: FALSE
s5 s 5
Diff: 1 s5
LO: 1 s 5 s 5
Bloom: K s 5 s 5
AACSB / IMA: None / Reporting s5 s5 s 5 s 5 s5 s5
AICPA: BB: None; FC: Reporting; PC: None Minu
s 5 s5 s5 s5 s5 s5 s5
tes: 1 s 5
4) For a T- s5 s5
account, an account balance is the difference in total dollars between total debit amounts
s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5
and total credit amounts.
s5 s5 s5
Answer: TRUE s 5 s5
Diff: 1 s5
LO: 1 s 5 s 5
Bloom: K s 5 s 5
AACSB / IMA: None / Reporting s5 s5 s 5 s 5 s5 s5
AICPA: BB: None; FC: Reporting; PC: None Minu
s 5 s5 s5 s5 s5 s5 s5
tes: 1 s 5
2
,5) An account is often referred to as a T-
s5 s5 s5 s5 s5 s5 s5 s5
account because of the way it is constructed. Answer: TRUE
s5 s5 s5 s5 s5 s5 s5 s5 s 5
Diff: 1 s5
LO: 1 s 5 s 5
Bloom: K s 5 s 5
AACSB / IMA: None / Reporting
s5 s5 s 5 s 5 s5 s5
AICPA: BB: None; FC: Reporting; PC: None Minu
s 5 s5 s5 s5 s5 s5 s5
tes: 1s 5
6) A debit to an account always indicates an increase in that account
s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5
. Answer: FALSE
s5 s 5
Diff: 1 s5
LO: 1 s 5 s 5
Bloom: K s 5 s 5
AACSB / IMA: None / Reporting
s5 s5 s 5 s 5 s5 s5
AICPA: BB: None; FC: Reporting; PC: None Minu
s 5 s5 s5 s5 s5 s5 s5
tes: 1s 5
7) If a revenue account is credited, the revenue account is increased
s5 s5 s5 s5 s5 s5 s5 s5 s5 s5
. Answer: TRUE
s5 s 5
Diff: 1 s5
LO: 1 s 5 s 5
Bloom: K s 5 s 5
AACSB / IMA: None / Reporting
s5 s5 s 5 s 5 s5 s5
AICPA: BB: None; FC: Reporting; PC: None Minu
s 5 s5 s5 s5 s5 s5 s5
tes: 1s 5
8) The normal balance of all accounts is a debit.
s5 s5 s5 s5 s5 s5 s5 s5
Answer: FALSE
s5 s 5
Diff: 1 s5
LO: 1 s 5 s 5
Bloom: K s 5 s 5
AACSB / IMA: None / Reporting
s5 s5 s 5 s 5 s5 s5
AICPA: BB: None; FC: Reporting; PC: None Minu
s 5 s5 s5 s5 s5 s5 s5
tes: 1s 5
9) Debit and credit can be interpreted to mean "bad" and "good", respectively
s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5
. Answer: FALSE
s5 s 5
Diff: 1 s5
LO: 1 s 5 s 5
Bloom: K s 5 s 5
AACSB / IMA: None / Reporting
s5 s5 s 5 s 5 s5 s5
AICPA: BB: None; FC: Reporting; PC: None Minu
s 5 s5 s5 s5 s5 s5 s5
tes: 1s 5
3
, 10) A credit means that an account has been increased
s5 s5 s5 s5 s5 s5 s5 s5
. Answer: FALSE
s5 s 5
Diff: 1 s5
LO: 1 s 5 s 5
Bloom: K s 5 s 5
AACSB / IMA: None / Reportings5 s5 s 5 s 5 s5 s5
AICPA: BB: None; FC: Reporting; PC: None Minu
s 5 s5 s5 s5 s5 s5 s5
tes: 1 s 5
11) A decrease in a liability account is recorded by a debit
s5 s5 s5 s5 s5 s5 s5 s5 s5 s5
. Answer: TRUE
s5 s 5
Diff: 1 s5
LO: 1 s 5 s 5
Bloom: K s 5 s 5
AACSB / IMA: None / Reportings5 s5 s 5 s 5 s5 s5
AICPA: BB: None; FC: Reporting; PC: None Minu
s 5 s5 s5 s5 s5 s5 s5
tes: 1 s 5
12) An increase in an asset is recorded by a debit
s5 s5 s5 s5 s5 s5 s5 s5 s5
. Answer: TRUE
s5 s 5
Diff: 1 s5
LO: 1 s 5 s 5
Bloom: K s 5 s 5
AACSB / IMA: None / Reportings5 s5 s 5 s 5 s5 s5
AICPA: BB: None; FC: Reporting; PC: None Minu
s 5 s5 s5 s5 s5 s5 s5
tes: 1 s 5
13) The double- s5
entry system of accounting refers to the placement of a double line at the end of a column of f
s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5
igures.
Answer: FALSE s 5 s5
Diff: 1 s5
LO: 1 s 5 s 5
Bloom: K s 5 s 5
AACSB / IMA: None / Reportings5 s5 s 5 s 5 s5 s5
AICPA: BB: None; FC: Reporting; PC: None Minu
s 5 s5 s5 s5 s5 s5 s5
tes: 1 s 5
14) A credit balance in a liability account indicates that an error in recording has occurre
s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5 s5
d. Answer: FALSE
s5 s 5
Diff: 1 s5
LO: 1 s 5 s 5
Bloom: K s 5 s 5
AACSB / IMA: None / Reportings5 s5 s 5 s 5 s5 s5
AICPA: BB: None; FC: Reporting; PC: None Minu
s 5 s5 s5 s5 s5 s5 s5
tes: 1 s 5
4
