Question 1

An owner may make the business.&#10;A)Additional cash investments in&#10;B)Additional non-cash investments in&#10;C)A withdrawal from&#10;D)All of the above

Accepted Answer

An owner can make additional cash investments in the business, additional non-cash investments (like equipment or other assets), and withdrawals from the business. These actions are part of managing the business's finances and assets.

Question 2

To change an existing inventory item's quantity on hand because it was damaged, you adjust .&#10;A)Inventory Quantities&#10;B)Inventory Start Quantity&#10;C)Chart of Accounts&#10;D)Opening Balance Equity

Accepted Answer

Adjusting Inventory Quantities is the correct action to take when changing an existing inventory item's quantity due to damage. This directly affects the count of items available without altering the initial setup or financial structure.

Question 3

The types of accounts that may be reconciled are .&#10;A)Assets&#10;B)Liabilities&#10;C)Equity&#10;D)All of the above

Accepted Answer

All types of accounts, including assets, liabilities, and equity, can be reconciled to ensure their balances are accurate and reflect the true financial position of a business.

Question 4

To record depreciation for the month, you complete a(n) .&#10;A)Expense Report&#10;B)Equipment Value Loss Form&#10;C)Journal Entry&#10;D)Depreciation Adjustment Form

Accepted Answer

Depreciation for the month is recorded through a journal entry in accounting. This entry typically involves debiting depreciation expense and crediting accumulated depreciation, reflecting the reduction in value of the asset over time.

Question 5

A budget tracks income and expenses and may be helpful for use in making business decisions.

Accepted Answer

A budget is a financial plan that helps track income and expenses. It can provide important information for business decisions, such as identifying areas where costs can be reduced, evaluating potential investments or forecasting cash flow.

Question 6

After closing a period, net income cannot be edited.

Accepted Answer

The answer of After closing a period, net income cannot...

Question 7

An audit log allows you to view events that have occurred in the company, such as users who accessed and added or edited transactions.

Accepted Answer

An audit log is a record of events and changes, often used in businesses and organizations to track who accessed the system and what changes were made, including additions or edits to transactions.

Question 8

Closing entries for a company that sells inventory items is the same as a company that sells services.

Accepted Answer

Closing entries for a company that sells inventory items and a company that sells services are both necessary to close out the accounting period and prepare financial statements. However, there are some key differences in the closing entries for these two types of companies.

Question 9

The report that shows a summary of budgeted amounts for a specific budget is the .&#10;A)Budget Overview&#10;B)Budget vs.Actuals&#10;C)Company Snapshot&#10;D)Both A and B

Accepted Answer

The answer of The report that shows a summary of...

Question 10

Inventory starting value may be adjusted if the quantity is provided when the account is added.

Accepted Answer

Inventory starting value can be adjusted to reflect the accurate value of the inventory at the time the account is added, especially if the quantity of items in inventory is provided and differs from initial estimates.

Deck 8: General Accounting, Inventory Adjustments, Pay Sales Taxes, Budgets, and End-Of-Period Procedures