ACC 2213 MGCCC Exam 2 Study Guide
Paul Johnson correctly answered to
pass
Distinguish between adjusting and correcting entries - correct answer ✔✔Adjusting entries are a
planned part of the accounting process to update the accounts. Correcting entries are not planned but
arise only when necessary to correct errors.
Identify the types of accounts affecting deferrals and accruals, including their classification and normal
balances. - correct answer ✔✔Prepaid Expenses, Unearned Revenues, Accrued Revenues, Accrued
Expenses
Identify the accounting method required by GAAP - correct answer ✔✔The accrual basis accounting
method.
Know the different accounting concepts covered in the text - correct answer ✔✔Accounting period
concept- requires that revenues and expenses be reported in the proper period.
Revenue Recognition Concept- The accounting concept that supports reporting revenues when the
services are provided to customers.
Matching Concept - A concept of accounting in which expenses are matched with the revenue generated
during a period by those expenses.
The steps of the accounting cycle in order: - correct answer ✔✔1. Transactions are analyzed and
recorded in the journal.
2. Transactions are posted to the ledger.
3. An unadjusted trial balance is prepared.
Paul Johnson correctly answered to
pass
Distinguish between adjusting and correcting entries - correct answer ✔✔Adjusting entries are a
planned part of the accounting process to update the accounts. Correcting entries are not planned but
arise only when necessary to correct errors.
Identify the types of accounts affecting deferrals and accruals, including their classification and normal
balances. - correct answer ✔✔Prepaid Expenses, Unearned Revenues, Accrued Revenues, Accrued
Expenses
Identify the accounting method required by GAAP - correct answer ✔✔The accrual basis accounting
method.
Know the different accounting concepts covered in the text - correct answer ✔✔Accounting period
concept- requires that revenues and expenses be reported in the proper period.
Revenue Recognition Concept- The accounting concept that supports reporting revenues when the
services are provided to customers.
Matching Concept - A concept of accounting in which expenses are matched with the revenue generated
during a period by those expenses.
The steps of the accounting cycle in order: - correct answer ✔✔1. Transactions are analyzed and
recorded in the journal.
2. Transactions are posted to the ledger.
3. An unadjusted trial balance is prepared.
