Select the best answer for the following five multiple-choice questions.1.Posting is an accounting procedure in which

a. Information is transferred from the ledger to the journal,

b. Information is transferred from the journal to the ledger,

c. Information is transferred from the ledger to the hospital financial statements, or

d. Information is transferred from the trial balance to the ledger.

2.A trial balance can be prepared

a. Only before the books are closed,

b. Only after the books are closed,

c. Either before or after the books are closed, or

d. Only at the end of the fiscal year.

3.In closing entries,

a. Expense accounts are always debited,

b. Expense accounts are always credited,

c. Expense accounts may be debited in some cases and credited in other cases, or

d. Expense accounts are not debited or credited.

4. Under the accrual basis of accounting, revenues are recorded

a. In the period in which they are collected in cash,

b. In the period in which they are earned through the provision of services or the sale of products,

c. In the period in which management decides they should be recognized, or

d. In the period in which the income tax laws indicate that they are taxable.

5. Dawson Hospital provides you with the following information:

Services rendered to patients were valued at $600,000.

Cash collections on patients accounts totaled $540,000.

Cash disbursements for expenses were $530,000.

Expenses incurred during the period totaled $550,000.Under the accrual basis of accounting, the excess of expenses over revenues (loss) of the period should be

a. $(10,000),

b. $10,000,

c. $50,000, or

d. $70,000