Quiz Ch 02 – Rules of Debits and Credits
Financial Accounting
Thomas, Tietz, and Harrison
12th Edition
Which statement about the rules of debits and credits is true?
Which statement about the rules of debits and credits is true?
What is the source of the dollar amounts listed on a trial balance?
Where is the information for preparing a trial balance typically obtained from?
What is the appropriate accounting treatment for an expense incurred in 2018 but not paid until 2019?
What is the appropriate accounting treatment for an expense incurred in 2018 but paid in 2019 under cash-basis accounting?
What is the relationship between cash receipt and revenue recording in the accrual of revenue?
When should the CPA record the revenue according to cash-basis accounting, given the described scenario?
What are the consequences of failing to record a sale on account under accrual-basis accounting?
What is the impact on the balance sheet when an accountant fails to record the adjusting entry for accrued revenues?
Analyze the impact of transactions on a company’s current and debt ratios by indicating whether each transaction improves, hurts, or has no effect on the ratios.