10A company had the following account balances at year-end:

Cash

$40,150

Accounts receivable

43,200

Accounts payable

27,000

Fees earned

87,750

Rent expense

20,250

Insurance expense

6,550

Supplies

6,750

Common stock

6,750

Retained earnings

19,700

Dividends

24,300

If all of the accounts have normal balances, what are the total debits on the trial balance?

$141,200

$60,600

$251,350

$282,400

$90,100

Bottom of Form

11.Rite has total assets of $515 million. Its total liabilities are $155 million. Its equity is $360 million. Calculate the debt ratio.

14.31%

30.1%

15.3%

69.90%

43.06%

12.On April 30, Holden Company had an Accounts Receivable balance of $19,200. During the month of May, total credits to Accounts Receivable were $55,000 from customer payments. The May 31 Accounts Receivable balance was $13,900. What was the amount of credit sales during May?

$55,000

$33,100

$49,700

$60,300

$5,300

13.Unearned revenues are:

Revenues that have been earned and received in cash.

Revenues that have been earned but not yet collected in cash.

Liabilities created when a customer pays in advance for products or services before the revenue is earned.

Recorded as an asset in the accounting records.

Increases to retained earnings.

14 Which of the following is the appropriate journal entry if a company performs a service and then bills the customer?

Debit to Cash, debit to Service Revenue.

Debit to Cash, credit to Service Revenue.

Debit to Accounts Receivable, credit to Cash.

Debit to Service Revenue, credit to Accounts Receivable.

Debit to Accounts Receivable, credit to Service Revenue.

15 Double-entry accounting is an accounting system:

That records each transaction twice.

That records the effects of transactions and other events in at least two accounts with equal debits and credits.

In which the impact of each transaction is checked twice to ensure there are no errors.

That may only be used if T-accounts are used.

That records the effects of transactions on at least two financial statements.

16. The main purpose of adjusting entries is to:

Record external transactions and events.

Record internal transactions and events.

Recognize assets purchased during the period.

Recognize debts paid during the period.

Correct errors.

17. Which of the following accounts would not be impacted by adjusting journal entries?

Accounts Receivable

Consulting Fee Earned

Unearned Consulting Fees

Cash

Wages Payable

Which of the following is true of accrued revenues?

Accrued revenues at the end of one accounting period often result in cash receipts from customers in the next period.

Accrued revenues at the end of one accounting period often result in cash payments in the next period.

Accrued revenues are also called unearned revenues.

Accrued revenues are listed on the balance sheet as liabilities.

Accrued revenues are recorded at the end of an accounting period because cash has already been received for revenues earned.

19.Which of the following statements is true?

Retained earnings must be closed each accounting period.

A post-closing trial balance should include only permanent accounts.

Information on the work sheet can be used in place of preparing financial statements.

By using a work sheet to prepare adjusting entries, you need not post these entries to the ledger accounts

Closing entries are only necessary if errors have been made.

ABC Co. leased a portion of its store to another company for eight months beginning on October 1, 2014, at a monthly rate of $950. This other company paid the entire $7,600 cash on October 1, which ABC Co. recorded as unearned revenue. The journal entry made by ABC Co. at year-end on December 31, 2014, would include:

A credit to Unearned Rent for $2,850.

A credit to Rent Earned for $2,850.

A debit to Cash for $7,600.

A debit to Rent Earned for $2,850.

A debit to Unearned Rent for $4,750.