LEARNING OBJECTIVES: FNMN.WAJO.19.02-01 - LO: 02-01

Chapter 02 - Double-Entry Accounting

Copyright Cengage Learning. Powered by Cognero. Page 1

• Accounts are records of increases and decreases in individual accounting equation elements.
• True
• False

ANSWER: True

POINTS: 1

DIFFICULTY: Easy

Bloom's: Remembering

QUESTION TYPE: True / False

HAS VARIABLES: False

LEARNING OBJECTIVES: FNMN.WAJO.19.02-01 - LO: 02-01

ACCREDITING STANDARDS: ACCT.ACBSP.APC.01 - Purpose

ACCT.ACBSP.APC.02 - GAAP

ACCT.AICPA.FN.03 - Measurement

BUSPROG: Analytic

DATE CREATED: 7/22/2017 5:26 PM

DATE MODIFIED: 10/16/2017 4:19 PM

• A chart of accounts is a listing of accounts that make up the journal.
• True
• False

ANSWER: False

POINTS: 1

DIFFICULTY: Easy

Bloom's: Remembering

QUESTION TYPE: True / False

HAS VARIABLES: False

LEARNING OBJECTIVES: FNMN.WAJO.19.02-01 - LO: 02-01

ACCREDITING STANDARDS: ACCT.ACBSP.APC.01 - Purpose

ACCT.ACBSP.APC.02 - GAAP

ACCT.AICPA.FN.03 - Measurement

BUSPROG: Analytic

DATE CREATED: 7/22/2017 5:26 PM

DATE MODIFIED: 10/16/2017 4:19 PM

• The chart of accounts should be the same for each business.
• True
• False

ANSWER: False

POINTS: 1

DIFFICULTY: Moderate

Bloom's: Remembering

QUESTION TYPE: True / False

HAS VARIABLES: False

LEARNING OBJECTIVES: FNMN.WAJO.19.02-01 - LO: 02-01

ACCREDITING STANDARDS: ACCT.ACBSP.APC.02 - GAAP

ACCT.ACBSP.APC.03 - Business Forms Corporate Financial Accounting 15th Edition Warren Test Bank Visit TestBankDeal.com to get complete for all chapters

Chapter 02 - Double-Entry Accounting

Copyright Cengage Learning. Powered by Cognero. Page 2

ACCT.AICPA.FN.03 - Measurement

BUSPROG: Analytic

DATE CREATED: 7/22/2017 5:26 PM

DATE MODIFIED: 10/16/2017 4:19 PM

• Accounts payable are accounts that you expect will be paid to you.
• True
• False

ANSWER: False

POINTS: 1

DIFFICULTY: Moderate

Bloom's: Remembering

QUESTION TYPE: True / False

HAS VARIABLES: False

LEARNING OBJECTIVES: FNMN.WAJO.19.02-01 - LO: 02-01

STATE STANDARDS: United States - OH - FN-Measurement

ACCREDITING STANDARDS: ACCT.ACBSP.APC.02 - GAAP

ACCT.ACBSP.APC.04 - Cash vs. Accrual ACCT.AICPA.FN.03 - Measurement

BUSPROG: Analytic

DATE CREATED: 7/22/2017 5:26 PM

DATE MODIFIED: 10/16/2017 4:19 PM

• Consuming goods and services in the process of generating revenues results in expenses.
• True
• False

ANSWER: True

POINTS: 1

DIFFICULTY: Easy

Bloom's: Remembering

QUESTION TYPE: True / False

HAS VARIABLES: False

LEARNING OBJECTIVES: FNMN.WAJO.19.02-01 - LO: 02-01

STATE STANDARDS: United States - IN - APC-06-Recording Transactions

ACCREDITING STANDARDS: ACCT.ACBSP.APC.02 - GAAP

ACCT.ACBSP.APC.06 - Recording Transactions ACCT.AICPA.FN.03 - Measurement

BUSPROG: Analytic

DATE CREATED: 7/22/2017 5:26 PM

DATE MODIFIED: 10/16/2017 4:19 PM

• Prepaid expenses are an example of an expense.
• True
• False

ANSWER: False

POINTS: 1

Chapter 02 - Double-Entry Accounting

Copyright Cengage Learning. Powered by Cognero. Page 3

DIFFICULTY: Moderate

Bloom's: Remembering

QUESTION TYPE: True / False

HAS VARIABLES: False

LEARNING OBJECTIVES: FNMN.WAJO.19.02-01 - LO: 02-01

STATE STANDARDS: United States - IN - APC-04-Cash vs. Accrual

ACCREDITING STANDARDS: ACCT.ACBSP.APC.02 - GAAP

ACCT.ACBSP.APC.04 - Cash vs. Accrual ACCT.AICPA.FN.03 - Measurement

BUSPROG: Analytic

DATE CREATED: 7/22/2017 5:26 PM

DATE MODIFIED: 10/16/2017 4:19 PM

• The Unearned Revenues account is an example of a liability.
• True
• False

ANSWER: True

POINTS: 1

DIFFICULTY: Moderate

Bloom's: Remembering

QUESTION TYPE: True / False

HAS VARIABLES: False

LEARNING OBJECTIVES: FNMN.WAJO.19.02-01 - LO: 02-01

STATE STANDARDS: United States - IN - APC-04-Cash vs. Accrual

ACCREDITING STANDARDS: ACCT.ACBSP.APC.02 - GAAP

ACCT.ACBSP.APC.04 - Cash vs. Accrual ACCT.AICPA.FN.03 - Measurement

BUSPROG: Analytic

DATE CREATED: 7/22/2017 5:26 PM

DATE MODIFIED: 10/16/2017 4:19 PM

• The Dividends account is an expense.
• True
• False

ANSWER: False

POINTS: 1

DIFFICULTY: Moderate

Bloom's: Remembering

QUESTION TYPE: True / False

HAS VARIABLES: False

LEARNING OBJECTIVES: FNMN.WAJO.19.02-01 - LO: 02-01

STATE STANDARDS: United States - IN - APC-06-Recording Transactions

ACCREDITING STANDARDS: ACCT.ACBSP.APC.02 - GAAP

ACCT.ACBSP.APC.06 - Recording Transactions ACCT.AICPA.FN.03 - Measurement

BUSPROG: Analytic

Chapter 02 - Double-Entry Accounting

Copyright Cengage Learning. Powered by Cognero. Page 4

DATE CREATED: 7/22/2017 5:26 PM

DATE MODIFIED: 10/16/2017 4:19 PM

• Accounts in the ledger are usually maintained in alphabetical order.
• True
• False

ANSWER: False

POINTS: 1

DIFFICULTY: Moderate

Bloom's: Remembering

QUESTION TYPE: True / False

HAS VARIABLES: False

LEARNING OBJECTIVES: FNMN.WAJO.19.02-01 - LO: 02-01

STATE STANDARDS: United States - IN - APC-06-Recording Transactions

ACCREDITING STANDARDS: ACCT.ACBSP.APC.02 - GAAP

ACCT.ACBSP.APC.06 - Recording Transactions ACCT.AICPA.FN.03 - Measurement

BUSPROG: Analytic

DATE CREATED: 7/22/2017 5:26 PM

DATE MODIFIED: 10/16/2017 4:19 PM

• Depending on the account title, the right side of the account is referred to as the credit side.
• True
• False

ANSWER: False

POINTS: 1

DIFFICULTY: Moderate

Bloom's: Remembering

QUESTION TYPE: True / False

HAS VARIABLES: False

LEARNING OBJECTIVES: FNMN.WAJO.19.02-01 - LO: 02-01

STATE STANDARDS: United States - IN - APC-06-Recording Transactions

ACCREDITING STANDARDS: ACCT.ACBSP.APC.02 - GAAP

ACCT.ACBSP.APC.06 - Recording Transactions ACCT.AICPA.FN.03 - Measurement

BUSPROG: Analytic

DATE CREATED: 7/22/2017 5:26 PM

DATE MODIFIED: 10/16/2017 4:19 PM

• To determine the balance in an account, always subtract credits from debits.
• True
• False

ANSWER: False

POINTS: 1

DIFFICULTY: Moderate

Bloom's: Remembering