Someone could help me Accounting Assignment

Posted on 2013-11-22 15:22:00 in Accounting by LUANN

Could anybody help me Accounting assignment, please?
1. A common business transaction that would not affect the amount of stockholders’
equity is

a. signing a note payable to purchase equipment
b. payment of property taxes
c. billing of customers for services rendered
d. payment of dividends

2. On June 30, a company paid $3,600 for insurance premiums for the current year and
debited the amount to Prepaid Insurance. At December 31, the bookkeeper forgot to
record the amount expired. The omission has the following effect on the financial
statements prepared on December 31:

a. overstates stockholders’ equity
b. overstates assets
c. understates net income
d. both (a) and (b)

3. Which of the following criteria must be met before an event should be recorded for
accounting purposes?

a. The event must be an arm’s-length transaction.
b. The event must be repeatable in a future period.
c. The event must be measurable in financial terms.
d. The event must be disclosed in the notes to the financial statements.

4. A routine collection of a customer’s account balance was recorded and posted as a
debit to Cash and a credit to Sales Revenue. The journal entry to correct this error
would be

a. a debit to Sales Revenue and a credit to Accounts Receivable
b. a debit to Sales Revenue and a credit to Unearned Revenue
c. a debit to Cash and a credit to Accounts Receivable
d. a debit to Accounts Receivable and a credit to Sales Revenue

5. An accrued expense can be described as an amount

a. paid and matched with earnings for the current period
b. paid and not matched with earnings for the current period
c. not paid and not matched with earnings for the current period
d. not paid and matched with earnings for the current period

6. An adjusting entry will not take the format of which one of the following entries?

a. A debit to an expense account and a credit to an asset account.
b. A debit to an expense account and a credit to a revenue account.
c. A debit to an asset account and a credit to a revenue account.
d. A debit to a liability account and a credit to a revenue account.

7. At the beginning of the current year the balance in Accounts Receivable was $28,000.
At the end of the current year the balance in Accounts Receivable was $24,000. If
collections from clients during the year were $80,000, then total services rendered on
account were apparently

a. $76,000
b. $84,000
c. $104,000
d. $108,000

8. For a given year, beginning and ending liabilities were $8,400 and $10,000,
respectively. At year-end, stockholders’ equity was $26,000 and total assets were
$2,000 larger than at the beginning of the year. If there was a $2,400 increase in
stockholders’ equity during the year excluding the net income or net loss for the year,
then the company reported a

a. $2,800 net loss for the year
b. $2,000 net loss for the year
c. $400 net income for the year
d. $2,800 net income for the year

9. Prescott Enterprises paid $1,704 on June 1, 20XX for a two-year insurance policy and
recorded the entire amount as Insurance Expense. At December 31, 20XX, adjusting
entry would be

a. debit Prepaid Insurance and credit Insurance Expense, $497
b. debit Insurance Expense and credit Prepaid Insurance, $497
c. debit Insurance Expense and credit Prepaid Insurance, $1,207
d. debit Prepaid Insurance and credit Insurance Expense, $1,207

10. Boyd Company’s salaries expense for the current year was $136,000. Accrued
salaries payable on the last day of the year was $17,800, and $8,400 on the first day
of the year. The cash paid for salaries during the current year was

a. $126,600
b. $127,600
c. $145,400
d. $153,800
Thank you so much. Please, please help me.

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