Bookkeeping Basics - Accounting Cycle
(Part 1) Assessment Questions &
Answers
A schedule that contains all accounts needed to prepare financial statements is known
as: - ANSWERSThe General Ledger
Reorganizing journal entries and grouping them by account is known as: -
ANSWERSPosting to the ledger
A listing of the names of the accounts that a company has identified and made available
for recording transactions in its general ledger is known as a: - ANSWERSChart of
Accounts
To find the balance of the account types that increase with a debit (asset and expense
accounts), bookkeepers will: - ANSWERSSubtract total credits from total debits (Debits
- Credits)
The accounting cycle starts with the: - ANSWERSAnalysis of business transactions
After analysis, the business transaction is recorded in the journal in: -
ANSWERSChronological order
A form or statement that lists the titles and balances of all ledger accounts at a given
date is known as: - ANSWERSTrial balance
Sydney is entering a transaction in QuickBooks. What are the two steps of manual
accounting that will happen simultaneously as she does this? - ANSWERSCreating a
journal entry and posting to the ledger
The digits of the account numbers assigned to general ledger accounts often have
significance. For example, an account number beginning with a "1" might signify that the
account is an asset account, a "6" might signify an operating expense, etc. -
ANSWERSTrue
A trial balance where total debits equal total credits indicates: - ANSWERSThe ledger is
in balance
Zach needs to determine what his company's financial position was on March 31st of
last year. Which of the following would be the best report to look at? -
ANSWERSBalance sheet.
(Part 1) Assessment Questions &
Answers
A schedule that contains all accounts needed to prepare financial statements is known
as: - ANSWERSThe General Ledger
Reorganizing journal entries and grouping them by account is known as: -
ANSWERSPosting to the ledger
A listing of the names of the accounts that a company has identified and made available
for recording transactions in its general ledger is known as a: - ANSWERSChart of
Accounts
To find the balance of the account types that increase with a debit (asset and expense
accounts), bookkeepers will: - ANSWERSSubtract total credits from total debits (Debits
- Credits)
The accounting cycle starts with the: - ANSWERSAnalysis of business transactions
After analysis, the business transaction is recorded in the journal in: -
ANSWERSChronological order
A form or statement that lists the titles and balances of all ledger accounts at a given
date is known as: - ANSWERSTrial balance
Sydney is entering a transaction in QuickBooks. What are the two steps of manual
accounting that will happen simultaneously as she does this? - ANSWERSCreating a
journal entry and posting to the ledger
The digits of the account numbers assigned to general ledger accounts often have
significance. For example, an account number beginning with a "1" might signify that the
account is an asset account, a "6" might signify an operating expense, etc. -
ANSWERSTrue
A trial balance where total debits equal total credits indicates: - ANSWERSThe ledger is
in balance
Zach needs to determine what his company's financial position was on March 31st of
last year. Which of the following would be the best report to look at? -
ANSWERSBalance sheet.
