Accounting Questions

Accounting question?
36 As time passes, fixed assets other than land lose their capacity to provide useful services. To account for this decrease in usefulness, the cost of fixed assets is systematically allocated to expense through a process called A.equipment allocation B.depreciation C.accumulation D.matching lady bird, this is not school work iam going through these questions in an accounting book of mine and i thought i would post the questions so other people could give me advice as to what they think, i...

David W:B depreciation. When a fixed asset is aquired, its life will be predicted. If its life is #, say ten years, then each year a value of 10 Percent will be deducted from the asset value, and posted to depreciation.... More...

accounting question?
39 The supplies account has a balance of $1,000 at the beginning of the year and was debited during the year for $2,800, representing the total of supplies purchased during the year. If $750 of supplies are on hand at the end of the year, the supplies expense to be reported on the income statement for the year is A.$750 B.$3,550 C.$3,800 D.$3,050 lady bird, this is not school work iam going through these questions in an accounting book of mine and i thought i would post the questions so o...

David W:A very simple way to calculate it is to take the difference between closing balance and opening balance (1000 - 750 = 250) Add this to the years purchases (2800 +250) = 3050 So D is the answer.... More...

accounting question?
35 The adjusting entry to record the depreciation of equipment for the fiscal period is A. debit Depreciation Expense; credit Equipment B. debit Depreciation Expense; credit Accumulated Depreciation C. debit Accumulated Depreciation; credit Depreciation Expense D. debit Equipment; credit Depreciation Expense lady bird, this is not school work iam going through these questions in an accounting book of mine and i thought i would post the questions so other people could give me advice as to wha...

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Accounting Question - Closing Entries???
Accounting Question - Closing Entries??? Are they just for T-Accounts or are there also Closing Entries on the General Journal Entries also?? I got the Adjusting Entries already.. If there ARE closing entries on the Journal Entries - how do you do them??...

Briano Pitt:Hi Tasksgirl..... I need all your attention please! I suppose you work everyday with an automated Accounting System, like Accpac, QuickBooks, Salomon, etc.... Entries closing (concepts and definitions) : 1) Closing entries are made to close revenues, cost of goods, operational costs and any oth... More...

Home accounting question?
Hi all, I have a home accounting question. I keep accounts of on a daily basis. I have a spread sheet which has columns for Income and Spending. I am confused about Credit Card purchases. Here is the scenario: 1. I am making minimum payments on my credit card. For example: $50 2. I make some purchases on my credit card. For example: $30 on a shirt. How do I account for this? Here are the few options I have: Income: Loan: 30 Spending: Shirt = 30 Credit Card Payment: 50 or Loan: 30 Spending:...

Single for Life:First, I think your credit card purchases should be tracked in a separate column or sheet to give more visibility into what purchases you are putting on credit and you'll be able to track your spending better. Second, you shouldn't be tracking credit card money as income because that is not your m... More...

Two Accounting Questions?
Which of the following accounts should be closed to Income Summary at the end of the fiscal year? a. Accumulated Depreciation-Equipment b. Dividends c. Sales - For the above question, I don't think it's either A or B. After all of the account balances have been extended to the Balance Sheet columns of the work sheet, the totals of the Debit and Credit columns are $377,750 and $387,750, respectively. What is the amount of net income or net loss for the period? a. $377,750 net income b. $1...

Eric:I don't fully understand your question so I will go with assumptions.... Question 1 If you are are asking what account should be closed at the end of the fiscal year, then the answer is "c". Reason is that Sales is an Income Statement account and therefore these accounts are always closed and rese... More...

wht question realting to accounts can be asked in an interview?
basic accounting questions that can be asked to a commerce graduate...

Judy:In an interview, any job-related question may be asked. So if you're going for an accounting job, anything related could be asked although they'll probably more focus on your background, education or experience in the area.... More...

Accounting Question, our business is turning into an inc. so we had to start a new Quickbooks account.?
in order for me to withdrawl the money out of checking in the old quickbooks and make it a zero balance, I have to assign an expense (ie: utilities, rent, professional fees...), there is no expense as this money is just moving to the new quickbooks as opening balance equity. This is the ONLY thing I cannot figure out. Our CPA has yet to return our calls, so hopefully someone who has been in this situation before can relate. We have to make the old quickbooks accurate to what's really taking p...

just_the_facts_ma'am:It shouldn't be recorded as an expense. In the situation you describe, it's a distribution to the owner(s) - so it should be charged to the appropriate equity account. You'll have the reverse of that in the new company... More...

accounting question?
q#12 The matching concept addresses the relationship between the journal and the balance sheet ? determines whether the normal balance of an account is a debit or credit ? requires that the dollar amount of debits equal the dollar amount of credits on a trial balance ? determines that expenses related to revenue be reported at the same time the revenue is reported ? which one would match the question best...

polyglot_1234:The matching concept "determines that expenses related to revenue be reported at the same time the revenue is reported ?" But you should be able to find this in the textbook!!... More...

Accounting Question - URGENT!?
I have a question that I have been asked to do for homework, I understand all of it except one part. I've been given a trial balance, and the things on it that I don't understand are: On it it says: DR CR Provision for Bad Debts: 450 Bad Debts 1100 OTHER NOTES AT THE END OF THE PERIOD: a) The provision for Bad Debts is to be maintained at 5% of debtors What do I do with...

Derrick:You should make an entry to adjust the provision for bad debts to $55. So if it is currently higher, then lower it and vice versa.... More...

Accounting Question. Please Help Final Project!?
Heres the question, I'm trying to Journalize it in the General Journal. Adjustments: Motha's Day Care has provided services to the social agency for a total of 15 days during the month of April. On each of those 15 days 3 of the social agency's children were serviced. The social agency has not sent the payment yet. (April 30th) Agreed to provide service for an social service agency at a daily rate of 25$/child w/ payment due on the 30th of each month. OK I know that I will be Debiting 1,125 ...

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How do I contact Yahoo! and how do i delete my questions account?
I need to know 1. How to contact Yahoo! and 2. how to delete my Yahoo! questions account, I do not wish to have my questions veiwed anymore and I dont like doing this whole questions thing....

Woopyalecris:why are you posting a question then??... More...

Is GAAP a comprehensive basis of accounting? Becker Question?
I am studying for my cpa exam and the Question book asks the question in a confusing manner. Maybe you can answer this for me too. "Which is not a comprehensive basis for accounting, other than GAAP? A)Cash receipts and disbursements basis B)The basis it uses on its income tax return C) Basis used by an entity to comply with financial reporting requirements of a lending institution D) Basis used by an entity to comply with financial reporting requirements of a government regulatory agency. P...

Angela X:GAAP is a comprehensive basis of accounting. A lot of financial statements are prepared using GAAP. But also a lot of financial statements are prepared with other comprehensive basis of accounting ( the term--other comprehensive basis of accounting---OCBOA). This multiple choice is asking you to pic... More...

Accounting Question?
The current source of "GAAP" in the private sector is A)Accounting Principles Board B)IRS C) Financial Accounting Standards Board D) Securities Exchange Commission. #2 Which of these accounts is the normal balance a debit? A) Rent Payable B)Unearned Rent Revenue C) Rent Revenue D) Prepaid Rent #3 A debit will reduce__, but increase__. A) accounts receivable; accounts payable B) revenues; accounts payable C) accounts payable; owner's capital D) owner's capital; prepaid insurance...

loveholio:1. c - FASB 2. d - prepaid rent 3. d - owner's capital; prepaid insurance... More...

Accounting question for people in accounting careers...?
Right now, I am majoring in accounting. I understand that with accounting, you either hate it or love it. Well, I love accounting and for ACC I, I breezed through it with no problems at all. Now, I am taking ACC II and I'm not grasping the topics as easily as I was in ACC I. (I'm taking these online) I'm sure that it is normal with some topics in accounting. But I was just wondering, are accounting careers like careers that you have to know like the back of your hand or is it as long as you have...

twigg808:If you want to do well in accounting after you get your degree you have to get your CPA. To get your CPA you really do have to know everything. Luckily however there are a million different cram/study courses out there that teach you everything you need to know to get your CPA. However once you ha... More...

Accounting Questions?
Receipts from cash sales of $7,500 were recorded incorrectly as $5,700. What entry is required in the depositor's accounts? a. debit Cash; credit Accounts Receivable b. debit Sales; credit Cash c. debit Accounts Receivable; credit Cash d. debit Cash; credit Sales An important characteristic of the voucher system is the requirement that: a. vouchers be paid immediately after they are prepared b. a voucher be prepared for each expenditure c. the face of the voucher show the account dis...

dazed&confused:d, b, b... More...

Accounting Question?
I have this big project due in my "Accounting for Small Business" class and I'm beyond confused....apparently, I should have paid a little more attention. How would I record this transaction in the general journal: "Delivered invoice #1 for $1,200 for job completed" Or does that transaction even require a journal entry? I just assumed it did seens how the teacher gave us about 10 sheets worth of double-columned 'general journal' paper. Isn't an invoice a bill? And if you delivered a bill for ...

JAA:If you're on accrual method of accounting: Debit Accounts Receivable $1,200 Credit Revenue $1,200 If you're on a cash basis, you do not record anything.... More...

Accounting questions! please help! Im doing an online interview!!!?
Please help me to slove following quiz! The Allowance for Doubtful Debt account of Kara Trading Co has a balance of $5,253 as of 1 July 2000. At the end of the period, $7,896 was written off and $181,130 new credit sales were made. The company's policy is to provide for doubtful debts based on the aging of Accounts Receivable. This was calculated to be $10,086. What is the amount of bad and doubtful debt expense for the period? (Format example = 12,988; that is, include a comma but no dollar si...

TMLeaf Fan:Based on my experience, #3 would be the correct answer. Accountants work with actual numbers, not forecastable or probable.... More...

Accounting questions! please help! Im doing an online interview!?
Please help me to slove following quiz! The Allowance for Doubtful Debt account of Kara Trading Co has a balance of $5,253 as of 1 July 2000. At the end of the period, $7,896 was written off and $181,130 new credit sales were made. The company's policy is to provide for doubtful debts based on the aging of Accounts Receivable. This was calculated to be $10,086. What is the amount of bad and doubtful debt expense for the period? (Format example = 12,988; that is, include a comma but no dollar si...

Gerald S:Do your own homework... More...

Basic accounting question...?
In basic accounting, is "salary and wage expense" considered a liability of a business in the same way "accounts payable" are?...

Jordan K:Why do people answer with their opinion, but make it sound like a fact, especially when they are totally wrong. It is an expense. A liability is something that is owed. It is possible to owe money to your employees (they worked this week, but have not yet been paid). In this case, there is salar... More...

Some Accounting Questions?
When the seller prepays the transportation costs and the terms of sale are FOB shipping point, the seller records the payment of the transportation costs by debiting: a.Sales b.Accounts Receivable c.Transportation In If the seller collects sales tax at the time of sale, the seller credits the tax to: a.Sales Tax Payable b.Sales Tax Receivable c.Sales After all adjusting entries are posted, the balances of all asset, liability, revenue, and expense accounts correspond exactly to the amounts in ...

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Accounting question: How would I go about adjusting the following entries (which is debit, which is credit)?
I need to know what to debit and what to credit (1 dr and 1 cr for each) for the following adjustment data: 1. Accrued accounting servic erevenue at July 31st, $900 2. Prepaid rent expired during the month. The unadjusted balance of prepaid rent relates to the period July through october 3. Supplies on hand at July 31st, $400 4. Depreciation on furniture for the month. The estimated useful life of the furniture is 4 years. 5. Accrued salary expense at July 31st for 1 day only. The 5-day weekly ...

tma:1. if you were given a beginning balance for acctg service revenue, the difference b/w the beginning and ending balances would be your adjustment Dr. Accrued Revenue xxx Cr. Revenue xxx 2. you didnt give the amount of prepaid rent at the beginning of the year. take the unadjusted balan... More...

accounting question?
q#14 Using accrual accounting, expenses are recorded and reported only when they are incurred, whether or not cash is paid ? when they are incurred and paid at the same time ? if they are paid before they are incurred ? if they are paid after they are incurred ?...

Hank:when incurred, whether or not cash is paid...this is under accrual accounting....I just retired as a college accounting prof....... More...

Accounting question?
Explain whether or not accounting information is important to a restaurant manager/owner when deciding who to hire for an entry-level position in the meat department. Give reasons for your answers....

NW_iq_140:By accounting information I presume you are referring to the unit costs the employee would be contributing. I.e. # of lbs/hr. the faster the employee the more efficient or productive they are. This is a cost accounting issue, which relates to the bottom line. Also the question could involve the ... More...

Accounting question regarding splitting an invoice between two months.?
If documented on the invoice, is it acceptable accounting practice to pay half of an invoice in December of a year and the other half in January of the next year, or even in two months in the same year?...

Miguel:This isn't a problem at all. Procedurally, make a copy of the invoice for month two. Enter each invoice into the appropriate month. The months need not even be contiguous.... More...

Accounting question regarding splitting an invoice between months.?
If documented on the invoice, is it acceptable accounting practice to pay half of an invoice in December of a year and the other half in January of the next year, or even in two months in the same year?...

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accounting question?
Can someone please help me with this accounting problem? Its worth a huge part of my grade and i cant seem to get my brain to work. here it is: Using the following data, prepare a classifiied balance sheet as of December 31, 20x7, for the Lee Company. There are 2,000 shares of common stock issued and outstanding. Accts Payable-$1600 Building not currently used-19,000 Accumulated Depreciation Equipment- 8,000 Common Stock-20,000 Retained Earnings-22,600 Copyright-5,000 Bonds Payable(due in 20yea...

wonderheadellen:Assets: Building not currently use, (-)accumulated deprectiation equipment, copyright, A/R, cash, land, equipment, short and long term investment. Liability: A/P, common stock, retained earnings, bonds payable, unearned revenue... More...

Accounting Question...Read below please...?
I am only a Sophomore in High School but I have my eyes set on being an accountant for my job..What are some ways that I can become a better accountant (Like what exercises and stuff cld i do to become better at it?)..What colleges have good Accounting programs that I can get in to? My average is between a B+ and an A-...Any other tips, examples, etc...? Thanks for your help!!...

bride2be091507:Keep your grades up, take lots of math. Take any business classes your school might offer. USA Today puts out a report annually on the top programs. Schools with good business schools have the best programs. Try University of Virginia or NYU.... More...

accounting question?
q#13 Using accrual accounting, revenue is recorded and reported only when cash is received without regard to when the services are rendered ? when the services are rendered without regard to when cash is received ? when cash is received at the time services are rendered ? if cash is received after the services are rendered ?...

Ricardo R:None of the above, Accrual basis works as follow: Whether or not money has been receive, and whether or not the service has been rendered, it is when it is recorded in the books. For instant, a client call and you ask for 50% up front and it is December 28th and the service is schedule for Jan 5th ... More...

another tough accounting question for pros?
On July 1, 20D, Thomas Company paid $2,400 for a two-year insurance policy on the building. The accounting period ends December 31. At the end of 20D, the financial statements should report On the Balance Sheet On the Income Statement (2 points) a. Prepaid insurance, $2,400 Insurance expense, $0. b. Prepaid insurance, $0 Insurance expense, $2,400. c. Prepaid insurance, $1,800 Insurance expense, $600. d. Prepaid insurance, $1,200 Insurance expen...

jseah114:c... More...

Can anyone help me with this accounting question?
q#9 Which of the accounting steps in the accounting process below would be completed last? A. preparing the adjusted trial balance B. posting C. preparing the financial statements D. journalizing...

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Bank Question - Can I do a direct deposit into a savings account ... or is it only for checking acct's?
I have a savings account but due to my credit systems report I cannot open a checking account. My questions are 1.) Can I direct deposit work checks into a savings account and 2.) Can I setup directing bill payments with savings account...

StonerChick:You can have your direct deposit set up for any account, just give them the account #, but your bank must coinside with your work, or they usually won't let you get d.d.... More...

Accounting question, please help?
All reconciling items in determining the adjusted cash balance per books require the depositor to make adjusting journal entries to the cash account. true or false? If a company uses the allowance method to account for uncollectible accounts, the entry to write off an uncollectible account only involves balance sheet accounts. true or false? thanks...

dazed&confused:true true... More...

Accounting Question?
These are ALL accounts for a company: Cash, Inventory, Accounts Receivable, Accounts Payable, Income Tax Payable, Loans, Capital Stock and Retained Earnings.... How would you create a journal entry with dr = cr with this transaction: The company paid $ 5000 for 2004 and provisional 2005 income taxes. The Income tax on the 2006 net income is estimated to be $2000. (Income tax payable at Dec. 31 2004 = $1500) "2006 net income" should be "2005 net income"...

High Jack:Please contact your Auditor... More...

Accounting question?
What are the accounts to debit and credit for the following adjusting entry? Mortgage Payable of $9,700 is payable next year (Current balance of the Mortgage Payable account is $150,600) I know Mortgage Payable is debited but what do we credit to balance the equation? Hmm...I think ajdustments shouldn't involve bank or cash...I'll look it up..thanks for answering =)...

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Accounting Question?
If the effect of the debit portion of an adjusting entry is to increase the balance of an expense account, which of the following describes the effect of the credit portion of the entry? a.increases the balance of an asset account c.decreases the balance of an asset account c.increases the balance of an expense account...

stl_aer:It's not a. because a credit decreases an asset. It's not c. because a credit decreases an expense. Must be b. a credit reduces an asset - could be cash or a prepaid expense.... More...

account questions?
if an account is suspended....is it just dead? Is there a time frame until you can access it again? what about contacts and important information linked to the suspended account, is that all gone forever?...

Raphio:If an account is suspended you have to approach the authorities concerned to make it alive and to get the required information in a reasonable time frame.The time frame depends upon where the account is.... More...

accounting question?
27 Which one of the following accounts below would likely be included in a deferral adjusting entry? A. Interest Revenue B. Unearned Revenue C. Salaries Payable D. Accounts Receivable...

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accounting question?
25 Which account would normally not require an adjusting entry? A. Wages Expense B. Accounts Receivable C. Accumulated Depreciation D. Smith, Capital...

David W:D Capital accounts do not require any adjustment. Wages expenses may require adjustment to allow for things like accumulated holidays not taken, or for wages not paid during the accounting period due to specific contractual obligations Accounts receivable may need a write off for bad debts. Accumula... More...

Accounting question -- Closing Owner's Capital?
After closing entries are posted, the balance in the owner's capital account in the ledger will be equal to: a) the beginning owner's capital reported on the owner's equity statement. b) The amount of the owner's capital reported on the balance sheet. c) zero. d) the net income for the period. Any help with an explanation is appreciated! I do select a best answer, so please answer seriously....

boo's mom:b). a) is incorrect because the beginning capital balance does not reflect any capital transactions during the accounting period (i.e., stock dividends, stock buybacks). c) is incorrect because the owner's capital is not closed with the closing entries. Only income statement items are closed. d)... More...

Accounting question regarding investments?
During fiscal 2006 Markham Ltd. purchased two investments. On February 19 it purchased a five-year bond from a private company. Markham invested in the bond because it wanted to set aside funds to meet an obligation that is due in five years. The company intends to hold on to the bond until it matures in February 2011. Markham paid $1,000,000 for the bond and it will receive that amount when it matures. The coupon rate on the bond is 7% and interest is payable on February 19 of each year. On Dec...

COOLDUDE:its very easy but lengthy for 2 points bond purchases DR Cash CR Cash DR Intrest Receivable 7% CR try to do it your self if you need help in any point then u can directly contact me i will sure help u... More...

Accounting question! Please help! I'm doing an online interview!?
When a statement of cash flows is prepared, the sum of the three major components (operating activities, investing activities, financing activities) will add up to: 1. The ending cash balance 2. Net profit for the period 3. The ending working capital 4. The change in the cash account during the year 5. The opening cash balance Thank you...

IKnowAll:Your answer is 1. but why don't you use google and who told you you are an accountant?... More...

accounting question?
I am having problems with double entry and balancing the dr and cr sides. Let's say monthly rent expense is incurred and is not yet paid or recorded. Do I cr rent payable and dr cash? When do I use rent expense? Is this after the month has passed? I am not shure how each t-account affects the opposite side. Any information will be appreciated!...

Laissez-Faire Guy:Credit Rent Payable and Debit Rent Expense. when the rent is paid, you credit cash and debit rent payable. Rent is usually due on the first of the month, and that is when the expense would be accrued, if you really want to do it like that. After doing it this way, you'll notice that your rent pay... More...

Accounting question?
Which of the following are all temporary accounts? 1.liabilities, revenues, and expenses 2.revenues, expenses, and withdrawals 3.revenues, expenses, and capital 4.assets, revenues, and withdrawals...

J.T.:number 2... More...

Accounting Question: Difference b/w Cash Receipts, Deposits, and Live Checks?
Whats the difference between Cash Receipts, Deposits, and Live Checks from an Accounts Receivable Clerk's point of view? Thanks!...

pab00a:Cash Receipts - when I hear this I think of the different ways a company may receive cash from customers/debtors/etc. These ways may include via, wire transfer, lockbox transaction, ACH Transaction, or "live check". In my mind this is more of a process (i.e. from receipt of money to deposit in ban... More...

can anyone help me with this accounting question?
33 The balance in the prepaid insurance account before adjustment at the end of the year is $10,000. If the additional data for the adjusting entry is (1) "the amount of insurance expired during the year is $8,500," as compared to additional data stating (2) "the amount of unexpired insurance applicable to a future period is $1,500," for the adjusting entry: A. the debit and credit amount for (1) would be the same as (2) but the accounts would be different B. the accounts for (1) would b...

sweetsal:c..they are saying the same thing.... expense amount is $8500 balance in prepaid account is $1500 C for sure... More...

Cost Accounting Question.?
How should average costing for inventory be calculated. I’m specifically trying to determine if average costing is calculated based on the original cost you bought the item till present? Or should average costing only take into account activity for the current fiscal year....

drachenreiter:It depends on what method you use in accounting for your inventories. There two systems offered in accounting for inventories - the periodic system and perpetual system. The periodic systems calls for the physical counting of goods on hand at the end of the accounting period to determine quantitie... More...

I am going to try this accounting question one more time....?
We have a gift certificate program at work where we buy the certificates from a company for face value, 5, 10, etc and then we in turn sell them to the public. We make nothing off of these as we are a non profit. When we buy the g/c the money is debited from our checking account. When we sell them, they are either paid for right then or they are invoiced to our members. We do not use Quickbooks to invoice from because it was never set up that way.It is done through a membership program. But ...

Andy:sounds like you've got it reversed.. I assume when you say "gift certificates on hand" that it is an inventory account. When you order from th GC company you are adding to your inventory.Therefore you should be debiting cash and crediting GCOH. When you sell the GC's you should be crediting cash and... More...

Please what are the likely interview question on Accounting course?
when one is invited for interview what are the likely interview question one can be ask as a graduate of Accounting...

Slugg:Generally speaking there are two types of interviews: technical and behavioral. On a behavioral interview, the interviewer is trying to get a feel of your personality to see if it fits the company's culture. Usually the more senior person will be conducting this interview. Usual questions would... More...