MASTERING CORRECTION OF
ACCOUNTING ERRORS - P2
CORRECT 100%
The unadjusted trial balance shows total debits of $66,000 and total credits of $68,600.
If there is only one type of error, which type would you look for?
Select one:
A. Slide
B. Transposition
C. Doubling
D. Misclassification - ANSWER C. Doubling
Which of the following errors would not be revealed by the trial balance?
Select one:
A. Receipt of a payment debited to Accounts Receivable for $2,000 and credited to
Cash for $2,000.
B. Payment of a utility bill debited to Utilities Expense for $890 and credited to Cash for
$980.00
C. A sale debited to Accounts Receivable for $80 and credited to Sales for $800
D. Receipt of a $1,200 check for sublet office space debited to Cash for $2,100 and
credited to Accounts Receivable for $1,200 - ANSWER A. Receipt of a payment debited
to Accounts Receivable for $2,000 and credited to Cash for $2,000.
If you accrue expenses of $130 instead of $150, the financial statements will:
Select one:
a. overstate assets and understate expenses
b. understate prepaid expenses
c. understate both liabilities and expenses
d. overstate liabilities - ANSWER c. understate both liabilities and expenses
Which of the following is a deferral error?
ACCOUNTING ERRORS - P2
CORRECT 100%
The unadjusted trial balance shows total debits of $66,000 and total credits of $68,600.
If there is only one type of error, which type would you look for?
Select one:
A. Slide
B. Transposition
C. Doubling
D. Misclassification - ANSWER C. Doubling
Which of the following errors would not be revealed by the trial balance?
Select one:
A. Receipt of a payment debited to Accounts Receivable for $2,000 and credited to
Cash for $2,000.
B. Payment of a utility bill debited to Utilities Expense for $890 and credited to Cash for
$980.00
C. A sale debited to Accounts Receivable for $80 and credited to Sales for $800
D. Receipt of a $1,200 check for sublet office space debited to Cash for $2,100 and
credited to Accounts Receivable for $1,200 - ANSWER A. Receipt of a payment debited
to Accounts Receivable for $2,000 and credited to Cash for $2,000.
If you accrue expenses of $130 instead of $150, the financial statements will:
Select one:
a. overstate assets and understate expenses
b. understate prepaid expenses
c. understate both liabilities and expenses
d. overstate liabilities - ANSWER c. understate both liabilities and expenses
Which of the following is a deferral error?
