Adjusted Trial Balance (11-20)

11. Nabeel Law Associates began business in November with office stationery of Rs. 160. During the month, the firm purchased stationery of Rs. 290. On November 30, stationery of Rs. 210 was on hand. Stationery expense for period is?

(a) Rs. 210

(b) Rs. 240

(c) Rs. 290

(d) Rs. 450

Correct! Wrong!

12. When a concert promoting company collects cash for tickets sales two months in advance of the show date, which of the following account is recorded?

(a) Accrued expense

(b) Accrued revenue

(c) Deferred expense

(d) Unearned revenue

Correct! Wrong!

13. At the end of the fiscal year, Accounts Receivable has a balance of Rs. 100,000 and Allowance for Doubtful Accounts has a balance of Rs. 7,000. The expected net realizable value of the accounts receivable is?

(a) Rs. 100,000

(b) Rs. 93,000

(c) Rs. 107,000

(d) Rs. 7,000

Correct! Wrong!

14. Adjusting entries includes?

(a) Cash sales

(b) Cash purchases

(c) Inventory adjustments

(d) None

Correct! Wrong!

15. The adjusting entry to record unpaid salaries is?

(a) Salary Expense (Dr) & Cash (Cr)

(b) Salary Payable (Dr) & Salary Payable (Cr)

(c) Salary Expense (Dr) & Salary Payable (Cr)

(d) Salary Payable (Dr) & Cash (Cr)

Correct! Wrong!

16. The receipt of Rs. 5,000 of unearned revenue would be recorded by debiting Cash and what account should be credited?

(a) Cash

(b) Revenue

(c) Unexpired Revenue

(d) Prepaid Revenue

Correct! Wrong!

17. The balance on the unearned rent account for Jones Co. as of 12/31 is Rs. 1,200. If Jones Co. failed to record the adjusting entry for Rs. 600 of rent earned during December, the effect on the balance sheet and income statement for December is?

(a) Liabilities overstated Rs. 600; net income overstated Rs. 600

(b) Liabilities overstated Rs. 600; net income understated Rs. 600

(c) Assets understated Rs. 600; net income overstated Rs. 600

(d) Liabilities understated Rs. 600; net income understated Rs. 600

Correct! Wrong!

18. Expense and income must be matched in the?

(a) Same year

(b) Previous year

(c) Next year

(d) All of before

Correct! Wrong!

19. Which of the following is a non-cash expense that reduces the value of intangible fixed asset with the passage of time?

(a) Depreciation

(b) Amortization

(c) Depletion

(d) Appreciation

Correct! Wrong!

20. Accrued expenses are also called?

(a) Accrued liabilities

(b) Expenses already incurred but not yet paid

(c) Both a & b

(d) None

Correct! Wrong!

11. Nabeel Law Associates began business in November with office stationery of Rs. 160. During the month, the firm purchased stationery of Rs. 290. On November 30, stationery of Rs. 210 was on hand. Stationery expense for period is?

12. When a concert promoting company collects cash for tickets sales two months in advance of the show date, which of the following account is recorded?

13. At the end of the fiscal year, Accounts Receivable has a balance of Rs. 100,000 and Allowance for Doubtful Accounts has a balance of Rs. 7,000. The expected net realizable value of the accounts receivable is?

14. Adjusting entries includes?

15. The adjusting entry to record unpaid salaries is?

16. The receipt of Rs. 5,000 of unearned revenue would be recorded by debiting Cash and what account should be credited?

17. The balance on the unearned rent account for Jones Co. as of 12/31 is Rs. 1,200. If Jones Co. failed to record the adjusting entry for Rs. 600 of rent earned during December, the effect on the balance sheet and income statement for December is?

18. Expense and income must be matched in the?

19. Which of the following is a non-cash expense that reduces the value of intangible fixed asset with the passage of time?

20. Accrued expenses are also called?

Search