INTERMEDIATE ACCOUNTING BY KIESO ACTUAL TEST PAPER QUESTIONS AND SOLUTIONS GRADED A+

INTERMEDIATE ACCOUNTING BY KIESO
ACTUAL TEST PAPER QUESTIONS AND
SOLUTIONS GRADED A+

◉ Journalize depreciation for the equipment that is $5,000.
Answer: Debit: Depreciation Expense $5000; Credit: Accumulated-
Depreciation Equipment $5000


◉ Journalize the adjusting entry for an employer that owes $1300
for payroll on Jan 10, 2021, for the payroll period ending December
31, 2020..
Answer: Debit: Salaries and Wages Expense $1300; Credit: Salaries
and Wages Payable $1300


◉ Calculate and journalize the annual adjusting entry to be made
after a six-month insurance policy was purchased on September 1,
2020, for $3,600. Period ending Dec 31.2020.
Answer: Debit: Insurance Expense $2400; Credit: Prepaid Insurance
$2400


◉ Sales Revenue.
Answer: Sales-Income Statement

,◉ Accounts Receivable.
Answer: Sales-Income Statement


◉ Sales Discounts.
Answer: Sales-Income Statement


◉ Sales Returns and Allowances.
Answer: Sales-Income Statement (revenue section)


◉ Advertising Expense.
Answer: Selling Expense-Income Statement


◉ Salaries-Sales.
Answer: Selling Expense-Income Statement


◉ Travel & Entertainment for Sales Personnel.
Answer: Selling Expense-Income Statement


◉ Insurance Expense.
Answer: Administrative Expense-Income Statement


◉ Salaries-Officers.

, Answer: Administrative Expense-Income Statement


◉ Legal and Professional Services.
Answer: Administrative Expense-Income Statement


◉ Rent Revenue.
Answer: other revenues and gains-income statement


◉ Gain on sale of land.
Answer: other revenues and gains- income statement


◉ Interest on bonds and notes.
Answer: other expenses and losses-income statement


◉ Supplies Inventory.
Answer: current asset-balance sheet


◉ Prepaid Insurance.
Answer: current asset-balance sheet


◉ investments available for sale.
Answer: current asset-balance sheet