ACCT 3110 QUALIFYING EXAM | 75 QUESTIONS AND
ANSWERS | WITH COMPLETE SOLUTION
a debit entry to an account Answer - increases assets
which account types normally have a credit balance? Answer - revenues and
liabilities
an attorney performs services of $1,100 for a client and receives $400 cash
with the remainder on account. The journal entry for this transaction would
Answer - debit cash, debits accounts receivable, credit service revenue
accounts payable had a normal beginning balance of $1000. During the period,
there were debit postings of $500 and credit postings of $600. What was the
ending balance? Answer - $1,100
the list of all accounts with their balances is the Answer - trial balance
the basic summary device of accounting is the Answer - account
the beginning cash balance was $3000. at the end of the period, the balance
was $4000. If total cash paid out during the period was $27000, the amount of
cash receipts was Answer - $28,000
, in a double entry accounting system Answer - a debit entry is recorded on the
left side of a t-account
which accounts appear on which financial statement? Answer - balance sheet-
cash, receivables, payables. income statement-revenues, expenses
a doctor purchases medical supplies of $640 and pays $290 cash with the
remainder on account. The journal entry for this transaction would be Answer
- debit supplies, credit accounts payable and cash
correct sequence for recording transactions and preparing financial statements
Answer - journal, ledger, trial balance, financial statements
the error of posting $50 as $500 can be detected by Answer - dividing the out-
of-balance amount by 9
the valuation of assets on the balance sheet is generally based on Answer -
historical cost
the accounting equation can be expressed as Answer -
assets=liabilities+owners' equity
the nature of an asset is best described as Answer - an economic resource
that's expected to benefit future operations
which financial statement covers a period of time Answer - income statement
and statement of cash flows
how would net income be most likely to affect the accounting equation?
Answer - increase assets and increase stockholders' equity
ANSWERS | WITH COMPLETE SOLUTION
a debit entry to an account Answer - increases assets
which account types normally have a credit balance? Answer - revenues and
liabilities
an attorney performs services of $1,100 for a client and receives $400 cash
with the remainder on account. The journal entry for this transaction would
Answer - debit cash, debits accounts receivable, credit service revenue
accounts payable had a normal beginning balance of $1000. During the period,
there were debit postings of $500 and credit postings of $600. What was the
ending balance? Answer - $1,100
the list of all accounts with their balances is the Answer - trial balance
the basic summary device of accounting is the Answer - account
the beginning cash balance was $3000. at the end of the period, the balance
was $4000. If total cash paid out during the period was $27000, the amount of
cash receipts was Answer - $28,000
, in a double entry accounting system Answer - a debit entry is recorded on the
left side of a t-account
which accounts appear on which financial statement? Answer - balance sheet-
cash, receivables, payables. income statement-revenues, expenses
a doctor purchases medical supplies of $640 and pays $290 cash with the
remainder on account. The journal entry for this transaction would be Answer
- debit supplies, credit accounts payable and cash
correct sequence for recording transactions and preparing financial statements
Answer - journal, ledger, trial balance, financial statements
the error of posting $50 as $500 can be detected by Answer - dividing the out-
of-balance amount by 9
the valuation of assets on the balance sheet is generally based on Answer -
historical cost
the accounting equation can be expressed as Answer -
assets=liabilities+owners' equity
the nature of an asset is best described as Answer - an economic resource
that's expected to benefit future operations
which financial statement covers a period of time Answer - income statement
and statement of cash flows
how would net income be most likely to affect the accounting equation?
Answer - increase assets and increase stockholders' equity
