WGU D102 FINANCIAL
ACCOUNTING EXAM
QUESTIONS AND
ANSWERS (LATEST)
What does a debit entry to a liability account represent?
An increase
A decrease
An expense
A revenue - ANSWERS-A decrease
On January 1, Company Synesthor has total assets of $700,000, total
liabilities of $400,000, and total equity of $300,000. On January 1,
Company Synesthor entered into the following two transactions:
a. Purchased goods for resale. Total cost of this inventory was
$90,000. Company Synesthor paid $50,000 cash and the remainder
was put on the company's credit accounts with its suppliers.
b. Sold land for cash. The original cost of the land was $62,000. The
land was sold for $80,000.
,After these two transactions, what is the total of Company Synesthor's
total assets?
$740,000
$798,000
$758,000
$808,000 - ANSWERS-$758,000
On January 1, Endothon Company has total assets of $700,000, total
liabilities of $400,000, and total equity of $300,000. On January 1,
Endothon Company entered into the following two transactions:
a. Purchased goods for resale. Total cost of this inventory was
$50,000. Endothon Company paid $10,000 cash and the remainder
was put on the company's credit accounts with its suppliers.
b. Sold land for cash. The original cost of the land was $80,000. The
land was sold for $62,000.
After these two transactions, what is the total of Endothon Company's
total assets?
$758,000
$722,000
$740,000
$798,000 - ANSWERS-$722,000
,On January 1, Alliah Company has total assets of $700,000, total
liabilities of $300,000, and total equity of $400,000. On January 1,
Alliah Company entered into the following two transactions:
a. Purchased goods for resale. Total cost of this inventory was
$50,000. Alliah Company paid $10,000 cash and the remainder was
put on the company's credit accounts with its suppliers.
b. Purchased land costing $150,000. Paid $20,000 cash and signed a
mortgage note payable for the remaining $130,000.
After these two transactions, what is the total of Alliah Company's
total liabilities?
$410,000
$570,000
$470,000
$340,000 - ANSWERS-$470,000
On January 1, Pruhart Company had these assets, liabilities, and
equity:
Cash 100
Inventory 140
Accounts Payable 70
, Paid-in Capital 150
Retained Earnings 20
During the year, Pruhart Company entered into the following
transactions:
a. Sold Inventory costing $80 for a total of $120. Cash of $30 was
received, and the remaining $90 was put on account.
b. Paid cash for employee wages of $15.
c. Paid cash dividends of $10.
What is Pruhart Company's net income for the year?
$15
$105
$25
$45 - ANSWERS-$25
During the month of July, Autojor Company entered into these
business transactions:
a. Sold inventory costing $100 for a total of $180. Cash of $30 was
received, and the remaining $150 was put on account.
b. Paid cash for employee wages of $15.
c. Paid cash dividends of $10.
d. Paid cash of $20 for July's rent.
ACCOUNTING EXAM
QUESTIONS AND
ANSWERS (LATEST)
What does a debit entry to a liability account represent?
An increase
A decrease
An expense
A revenue - ANSWERS-A decrease
On January 1, Company Synesthor has total assets of $700,000, total
liabilities of $400,000, and total equity of $300,000. On January 1,
Company Synesthor entered into the following two transactions:
a. Purchased goods for resale. Total cost of this inventory was
$90,000. Company Synesthor paid $50,000 cash and the remainder
was put on the company's credit accounts with its suppliers.
b. Sold land for cash. The original cost of the land was $62,000. The
land was sold for $80,000.
,After these two transactions, what is the total of Company Synesthor's
total assets?
$740,000
$798,000
$758,000
$808,000 - ANSWERS-$758,000
On January 1, Endothon Company has total assets of $700,000, total
liabilities of $400,000, and total equity of $300,000. On January 1,
Endothon Company entered into the following two transactions:
a. Purchased goods for resale. Total cost of this inventory was
$50,000. Endothon Company paid $10,000 cash and the remainder
was put on the company's credit accounts with its suppliers.
b. Sold land for cash. The original cost of the land was $80,000. The
land was sold for $62,000.
After these two transactions, what is the total of Endothon Company's
total assets?
$758,000
$722,000
$740,000
$798,000 - ANSWERS-$722,000
,On January 1, Alliah Company has total assets of $700,000, total
liabilities of $300,000, and total equity of $400,000. On January 1,
Alliah Company entered into the following two transactions:
a. Purchased goods for resale. Total cost of this inventory was
$50,000. Alliah Company paid $10,000 cash and the remainder was
put on the company's credit accounts with its suppliers.
b. Purchased land costing $150,000. Paid $20,000 cash and signed a
mortgage note payable for the remaining $130,000.
After these two transactions, what is the total of Alliah Company's
total liabilities?
$410,000
$570,000
$470,000
$340,000 - ANSWERS-$470,000
On January 1, Pruhart Company had these assets, liabilities, and
equity:
Cash 100
Inventory 140
Accounts Payable 70
, Paid-in Capital 150
Retained Earnings 20
During the year, Pruhart Company entered into the following
transactions:
a. Sold Inventory costing $80 for a total of $120. Cash of $30 was
received, and the remaining $90 was put on account.
b. Paid cash for employee wages of $15.
c. Paid cash dividends of $10.
What is Pruhart Company's net income for the year?
$15
$105
$25
$45 - ANSWERS-$25
During the month of July, Autojor Company entered into these
business transactions:
a. Sold inventory costing $100 for a total of $180. Cash of $30 was
received, and the remaining $150 was put on account.
b. Paid cash for employee wages of $15.
c. Paid cash dividends of $10.
d. Paid cash of $20 for July's rent.
