If the debit and credit totals of a trial balance are not equal, it could be due to the following type of error:

A.

Recording the same erroneous amount for both the debit and the credit sides of a transaction

B.

Incorrectly calculating the debit side total of the trial balance

C.

Recording the same transaction more than once

D.

Failure to record a transactio

2)

Tom's Electrical Service purchased tools for

$6,300. They have an expected life of 20 months and no residual value. The adjusting journal entry for the month is:

A.

Accumulated Depreciation	315
Equipment	315

B.

Accumulated Depreciation	315
Depreciation Expense	315

C.

Depreciation Expense	315
Accumulated Depreciation	315

D.

Depreciation Expense	315
Tools	315

3)

A credit to an Asset account was posted as a credit to the Revenue account. This error would cause:

A.

revenue to be overstated.

B.

capital to be understated.

C.

liabilities to be overstated.

D.

Both A and C are correct

4)

The posting reference column on the general journal:

A.

allows us to cross reference to the general ledger.

B.

shows which transactions have been posted to the ledger.

C.

displays to which accounts the transactions have been posted.

D.

All of the above are correct.

5)

What is X

cel Company's net income or net loss if it had Revenue of

$2,400, Salary Expense of

$200, Utility Expense of

$650, and Withdrawals of

$2,000 during October?

A.

$1,550 net income

B.

$1,550 net loss

C.

$450 net loss

D.

$450 net income

6)

The adjusting entry to record the expired rent would be to:

A.

debit Prepaid Rent Expense; credit Cash.

B.

debit Prepaid Rent; credit Cash.

C.

debit Rent Expense; credit Prepaid Rent.

D.

debit Cash; credit Prepaid Rent.

7)

After the adjustment for depreciation has been made, the original cost of the equipment:

A.

increases with a credit.

B.

decreases with a debit.

C.

remains the same.

D.

is transferred to a liability.

8)

Harvest Moon Company has total Assets of

$36,000. If

$6,000 cash is used to purchase a new computer, the total Assets would be:

A.

$30,000.

B.

$36,000.

C.

$6,000.

D.

$42,000.

9)

Crystal Clear Imagery received and paid a utility bill for

$700 for the month of November. This transaction will:

A.

increase Cash and increase Utility Expense.

B.

increase Cash and decrease Utility Expense.

C.

increase Utility Expense and decrease Revenue.

D.

decrease Cash and increase Utility Expense.

10)

Which of the following transactions effect Owner's Equity?

A.

A withdrawal

B.

Equipment purchase

C.

Customer payment

D.

Payment on account

11)

Equipment with a cost of

$530,000 has an accumulated depreciation of

$370,000. What is the book value of the equipment?

A.

$46,250

B.

$160,000

C.

$80,000

D.

12)

A multi

step income statement:

A.

shows credits.

B.

shows debt owed.

C.

shows debits.

D.

subtotal amounts