Chap 9 Quiz Flashcards
QuickBooks Online uses which basis of accounting?
Multiple Choice
- Accrual
- Cash
- Both accrual and cash
- Neither accrual nor cash
Both accrual and cash
At the end of an accounting period, adjusting entries are made to:
Multiple Choice
- To ensure a profit
- Bring the accounts up to date
- Debit or credit the checking account
- Prove that debits equal credits
Bring the accounts up to date
Accrued Revenues are:
Multiple Choice
- Revenues that have been earned, but not collected
- Payment received in advance of receiving the service
- Revenues that have been collected, but not yet earned
- Revenues that have been recorded
Revenues that have been earned, but not collected
Sales are recorded under cash basis accounting when:
Multiple Choice
- The goods or services are provided regardless of whether the payment is collected from customers
- The costs are incurred to earn the revenue
- The cash is collected from customers
- The bookkeeper has time to record the transactions
The cash is collected from customers
Sales are recorded under accrual basis accounting when:
Multiple Choice
- The goods or services are provided regardless of whether the payment is collected from customers
- The costs are incurred to earn the revenue
- The actual cash is collected from customers
- The bookkeeper has time to record the transactions
The goods or services are provided regardless of whether the payment is collected from customers
Adjusting entries are typically made:
Multiple Choice
- At the beginning of the accounting period
- Whenever an error is found and a correction is required
- At the beginning of each month
- On the last day of the accounting period
On the last day of the accounting period
The Journal entry to update the Office Supplies account for office supplies used is which of the following types of adjusting entry?
Multiple Choice
- Prepaid item
- Unearned Revenue
- Accrued Expense
- Accrued Revenue
- Not an adjusting entry
Prepaid item
The Journal entry to update the accounts for interest expense incurred but not recorded is which of the following types of adjusting entries?
Multiple Choice
- Prepaid item
- Unearned Revenue
- Accrued Expense
- Accrued Revenue
- Not an adjusting entry
Accrued Expense
The Journal entry to update the accounts for interest earned but not recorded is which of the following types of adjusting entries?
Multiple Choice
- Prepaid item
- Unearned Revenue
- Accrued Expense
- Accrued Revenue
- Not an adjusting entry
Accrued Revenue
The Journal entry to update the accounts for customer subscriptions that are prepaid but not yet earned is which of the following types of adjusting entries?
Multiple Choice
- Prepaid item
- Unearned Revenue
- Accrued Expense
- Accrued Revenue
- Not an adjusting entry
Unearned Revenue
The Journal entry to update the accounts for prepaid insurance that has expired is which of the following types of adjusting entries?
Multiple Choice
- Prepaid item
- Unearned Revenue
- Accrued Expense
- Accrued Revenue
- Not an adjusting entry
Prepaid item
The Journal entry to update the accounts for customer services provided but not yet recorded is which of the following types of adjusting entries?
Multiple Choice
- Prepaid item
- Unearned Revenue
- Accrued Expense
- Accrued Revenue
- Not an adjusting entry
Accrued Revenue
The Journal entry to record payment of cash for office supplies is which of the following types of adjusting entries?
Multiple Choice
- Prepaid item
- Unearned Revenue
- Accrued Expense
- Accrued Revenue
- Not an adjusting entry
Not an adjusting entry
The Journal entry to update the accounts for rent expense recorded that has not expired is which of the following types of adjusting entries?
Multiple Choice
- Prepaid item
- Unearned Revenue
- Accrued Expense
- Accrued Revenue
- Not an adjusting entry
Prepaid item
