Bookkeeping Basic Test #2

Question 1

Which entity's transactions are recorded in bookkeeping?

Accepted Answer

Business

Answer

Shareholder

Answer

Owner

Question 2

Is this statement true or false? For the following transaction, this is an accurate journal entry: A customer makes a $250.00 payment on their account. Credit – Accounts Payable – $250.00 Debit – Income – $250.00

Accepted Answer

False

Answer

True

Question 3

What phrase is used to describe the usage of debits and credits to record a transaction in accounting records?

Accepted Answer

An entry

Answer

A credit

Answer

A transaction

Question 4

Which of the following accounts would be considered a debit?

Accepted Answer

Net Loss

Answer

Ending Inventory

Answer

Net Income

Answer

Income

Question 5

What is the term for the amount of time it takes to produce a set of financial statements?

Accepted Answer

An Accounting Period

Answer

A Year

Answer

A Balance Sheet date

Question 6

Individual what are accounting records made up of?

Accepted Answer

Accounts

Answer

Statements

Answer

Debits

Question 7

To reverse a payment, you'd do the:

Accepted Answer

Create a payment and make Amount: - NEGATIVE

Answer

Payments cannot be reversed

Answer

Open the payment, click the DELETE PAYMENT button

Answer

Received On Account > Payment Reversal menu option

Question 8

Which of the following statements is not a financial statement?

Accepted Answer

Cash Book

Answer

Income Statement

Answer

Balance Sheet

Question 9

Which of the following errors have an impact on the trial balance?

Accepted Answer

One sided posting

Answer

Error of omission

Answer

Compensating error