1. The first step in the accounting process is Record transactions in the journal.
2. A general journal has provided columns for Date, Folio, Description, (all of
these).
3. What functions do general ledger served in the accounting process?
Summarizing
4. If a person wants to know the balances of a certain account, he should refer
to the Book of Final Entry
5. A columnar statement that summarizes the debit and credit entries of each
account in the ledger. Trial Balance
6. The right-hand side of an account refers to Credit entry.
7. It shows to number of an account in a ledger or page of a ledger to which it
was transferred. Folio
8. It is called as the book of original entry. Journal
9. Which of the following account titles that is differently classified from the
others listed? Revenue , cash in bank, supplies inventory, accounts receivable
10.It is also called as the book of final entry. Ledger
11.A liability account has a normal balance of Credit Balance.
12.Which of the following accounts that will increase when debited? Drawing
Income/revenue, accounts payable, owner’s equity, drawing
13.These are series of activities by the business that are accountable is referred
to Business Transaction
14.The normal balance of an accounts receivable is _____________. Debit Balance
15.When an owner makes cash withdrawal from his business, it requires
___________? Debit to Drawing Account
16.A collection from customer’s account may result to a ___________? Credit,
Accounts Receivables
17.When a property and equipment is purchased on account by the owner of the
business, the account title on credit side is ______________? Accounts Payable
18.The amount entered on the left-hand of an account is called. Debit Entry
19.A credit entry may signify an increase in _______________? Liability
20.A debit entry may signify an increase in _______________? Accounts
Receivables
21.Explanation of what transactions are all about is found in the ____________?
Journal
22.Unearned Service Income account is a/an _________________? Liability
23.The primary motive of a person engaged in business is ___________. Profit
24.These are called components of a balance sheet. Assets, Liabilities, and
Equity
25.These are resources controlled by the enterprise as a result of past
transactions and events from which future economic benefits are expected to
flow the enterprise. Assets
26.These are called components of an income statement. Revenue & losses,
revenue & expenses, revenue & gains, (all of these)
27.These are the residual in the assets of the enterprise after deducting all the
liabilities. Owner’s equity
28.The excess of revenue over costs and expenses. Profit
29.The excess of costs and expenditures over revenue. Loss
30.What is the basic accounting equation? A= L+ OE
31.The financial statement that summarized the changes in equity for a given
period of time. Statement of Changes in Equity
32.The financial statement which directly relates to the measurements of the
financial position of an enterprise as of a given date. Statement of Financial
Position
33.The period covered in this income statement may be __________. Monthly,
yearly, quarterly, (all of these)
34.This is the account title for telephone, light, and water bills. Utilities
35.These are financial obligations of the enterprise which are expected to be
settled in the normal operating cycle. Current Liabilities
36.Which of the following account titles is differently classified from the others?
Prepaid Expense
37.It is the gross outflow of economic benefits during the period arising in the
activities if an enterprise. Expenses
38.Which of the following is not considered as account title?
a. Cash in bank b. accounts receivable c. withdrawal d.
accounts payable
39.Business transactions are analyzed from the viewpoint of the _____.
Businesses
40.Explanations of what transactions are all about is found in the _______. Journal
