Bookkeeping Ledger Flashcards
7 cards from real CPB / BookKeeping practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 7 Bookkeeping Ledger flashcards as text
Which scenario correctly describes a 'compound journal entry' affecting the ledger?
Answer: Multiple debits and/or credits where total debits equal total credits
A compound journal entry involves more than two accounts (multiple debits and/or credits), but total debits must still equal total credits before posting to the ledger.
A bookkeeper notices the trial balance is off by $270. This error is most likely due to:
Answer: Transposition of digits (e.g., writing $720 instead of $270)
A difference divisible by 9 (270 ÷ 9 = 30) is a classic indicator of a transposition error where two digits were accidentally switched.
In a ledger, the term 'cross-referencing' between the journal and ledger serves what purpose?
Answer: To allow tracing entries between the journal and ledger for verification
Cross-referencing (writing journal page numbers in ledger and account numbers in journals) creates an audit trail allowing entries to be traced in both directions.
When preparing a trial balance, which of the following accounts would appear on the credit side?
Answer: Notes Payable
Notes Payable is a liability account with a normal credit balance, so it appears on the credit side of the trial balance.
What is the effect on the ledger when a business collects cash on account from a customer?
Answer: Debit Cash; Credit Accounts Receivable
Collecting cash on account increases Cash (debit) and decreases the amount owed by the customer in Accounts Receivable (credit).
Which account would typically appear in both the general ledger AND a subsidiary ledger?
Answer: Accounts Payable
Accounts Payable exists as a control account in the general ledger and is supported by individual vendor accounts in the accounts payable subsidiary ledger.
After posting all closing entries to the ledger, which of the following accounts will still have a non-zero balance?
Answer: Accumulated Depreciation
Accumulated Depreciation is a permanent contra-asset account and retains its balance after closing; only temporary accounts (revenue, expenses, drawings) are closed to zero.