1.A customer wanted to know the remaining balance on their account. This information would be located on the:

-accounts receivable-general ledger account

-sales journal

-accounts receivable-subsidiary ledger

-account payable-subsidiary ledger

2.In determining the cost of goods sold under the periodic inventory method, which account is NOT affected?

-sales discounts

-purchase returns and allowances

-purchase discounts

-inventory

3.In the purchase Cycle, what is the first step of this cycle?

-vendors invoice

-purchase requisition

-purchase order

-purchase journal

4.In the Cash Disbursement Cycle,what is a type of disbursement?

Accounts Receivable

Assignment of Credit

Deposits

Payments on Accounts Payable

5. Prepaids, accruals, and depreciation are adjustments:

To be completed always at the end of the year

To prepare for major purchases

To the accrual method of accounting

To verify internal controls and fraud detection

6.Which of the following documents originates outside the company?

Purchase order

Cash sale invoice

Bill of lading

Vendor Invoice

7.A common cause between the difference of cash on the General Ledger and the Bank Statement is:

Deposits recorded in the books one period,but not deposited until the next period

Checks that have been cleared in the bank and on the books

Accounts Receivable discrepancies

Deposits that have been cleared in the bank and on the books

8.What are the two sub-cycles to in the payroll cycle?

Cash receipts and accruals

Payments of employee services and payroll accruals

Employee subcards and vacation hours

Wages expenses and payroll tax payables

9.When the cost of inventory is First In First Out, then:

First in of inventory is still here (FISH)

Last in of inventory is still here (LISH)

Units of measurement of inventory is still here

Weighted average of inventory is still here

10.To test for existence, an auditor would start:

The journals and trace back to the general ledger

The general ledger and trace forward to the financial statements

The source documents and trace forward to the financial statements

The financial statements and trace back to thesource documents