Accounting Cycle quiz Financial Accounting Quiz On Feb 9, 2025 Share /10 12345678910 Accounting Cycle 10 questions in 10 minutes Pass Score 70% 1 / 10 Which of the following statements is incorrect concerning the worksheet ? The worksheet is distributed to management and other interested parties The worksheet cannot be used as a basis for posting to ledger accounts Financial statements can be prepared directly from the worksheet before journalizing and posting the adjusting entries The worksheet is essentially a working tool of the accountant 2 / 10 In a classif ed balance sheet, assets are usually classifed using the following categories : current assets; long-term investments; tangible assets; and intangible assets current assets; long-term assets; property, plant, and equipment; and intangible assets current assets; long-term investments; property, plant, and equipment; and tangible assets current assets; long-term investments; property, plant, and equipment; and intangible assets 3 / 10 A company has purchased a tract of land. It expects to build a production plant on the land in approximately 5 years. During the 5 years before construction, the land will be idle. The land should be reported as: an intangible asset property, plant, and equipment land expense a long-term investment 4 / 10 Current assets are listed : by importance by longevity by expected conversion to cash alphabetically 5 / 10 All of the following are required steps in the accounting cycle except : journalizing and posting closing entries journalizing the transactions preparing fnancial statements preparing a worksheet 6 / 10 An account that will have a zero balance after closing entries have been journalized and posted is : Accumulated Depreciation—Equipment Prepaid Insurance Service Revenue Supplies 7 / 10 Which types of accounts will appear in the post-closing trial balance? Permanent (real) accounts Temporary (nominal) accounts Accounts shown in the income statement columns of a worksheet None of the above 8 / 10 The proper order of the following steps in the accounting cycle is : journalize transactions, post to ledger accounts, prepare unadjusted trial balance, journalize and post adjusting entries journalize transactions, prepare unadjusted trial balance, post to ledger accounts, journalize and post adjusting entries prepare unadjusted trial balance, journalize and post adjusting entries, journalize transactions, post to ledger accounts prepare unadjusted trial balance, journalize transactions, post to ledger accounts, journalize and post adjusting entries 9 / 10 Cash of $100 received at the time the service was performed was journalized and posted as a debit to Cash $100 and a credit to Accounts Receivable $100. Assuming the incorrect entry is not reversed, the correcting entry is : debit Cash $100 and credit Service Revenue $100 debit Service Revenue $100 and credit Accounts Receivable $100 debit Accounts Receivable $100 and credit Service Revenue $100 debit Accounts Receivable $100 and credit Cash $100 10 / 10 The correct order of presentation in a classifed balance sheet for the following current assets is : cash, accounts receivable, inventory, prepaid insurance accounts receivable, cash, prepaid insurance, inventory inventory, cash, accounts receivable, prepaid insurance cash, inventory, accounts receivable, prepaid insurance Your score is LinkedIn Facebook Twitter VKontakte 0% Send feedback Question topics Classified balance sheet Prepare a worksheet Preparing adjusting entries Preparing closing entries accountingaccounting examaccounting exam financial
