Source Documents
What is the title of the column that source documents are recorded on a general journal?
Doc. No.
What is the correct abbreviation for the month "September" on a General Journal?
A. S.
B. Sep.
C. Sept.
D. Septem.
B. Sep.
"Sales" would be classified under which section of our Chart of Accounts?
Revenue
What does GAAP stand for?
Generally Accepted Accounting Principles
All transaction for a business are recorded on a:
General Journal
Name at least three source documents that we have seen within our modules / classwork
Receipts, Invoices, Memorandums, Sales Invoices, Bank Statements, etc.
What column of the general journal contains a record of source documents?
Doc. No.
What are two types of equity accounts?
Capital (Investments) & Drawing (Withdrawals)
This GAAP concept states that transactions large enough to make business decisions must be recorded as separate items within accounting records
Materiality
An account in a general ledger that summarizes all accounts in a subsidiary ledger
Controlling Account
Company A bought supplies on account from Company B. Based our definitions of source documents, which type of source document should Company B issue to Company A?
Sales Invoice
What is the one column of the general journal we have not used yet?
Post. Ref.
Jan. 24 - Paid cash for electric bill. R1. $400.00
Based on the transaction above, what is the name of the account that would be debited?
Utilities Expense
The GAAP concept Objective Evidence states that a __________ must be on file for each transaction.
Source Document
The procedure for arranging accounts in a general ledger, assigning account numbers, and keeping records current is known as:
File Maintenance
This source document is a form on which a brief message is written to describe a transaction
Memorandum (memo)
Company A business sells services on account to Company B. Which two accounts are affected in this transaction, and will be recorded on the books for Company A?
Sales & Accounts Receivable
Company A received cash on account from Company B. For this transaction, what would be the effect on "Accounts Payable" for Company A's books?
A. Debited
B. Credited
C. Unaffected
D. Both Debited & Credited
C. Unaffected
Company A has $5,000 in their cash account. The retail price for a new computer is $1,500. Company A purchases this computer at a discounted price of $1,200.
Company A also needs new office equipment. The owner believed they had a coupon to purchase a set of chairs at a discounted rate of $300, but the coupon was not valid at the time of purchase. Therefore, company A paid $500 for the set of chairs.
If the Historical Cost Principle of GAAP is followed, what is the remaining amount in Company A's cash account after these transactions?
$3,300
Company A bought supplies on account from Company B. Which two accounts are affected in this transaction, and will be recorded on the books for Company A?
Supplies & Accounts Payable
Company A pays cash for supplies from Company B. Based on our definitions of source documents, which type of source document should Company B issue to Company A?
Receipt
Name the six columns of a general journal in order from left to right
Date, Account Title, Doc. No., Post. Ref, Debit, Credit
Name the five sections of the chart of accounts in the correct order
Assets, Liabilities, Equity, Revenue, Expenses
What is the organization responsible for creating and maintaining GAAP?
Financial Accounting Standards Board (FASB)
What symbol is used to enter a formula in Microsoft Excel?
=