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AssignmentPack
e0201801AS02A-B4
Accounting ServicesPack 2
This Assignment Pack contains the Quizzes you will need to complete your course. The Lessons will tell you when to complete each Quiz. If you have not yet accessed your Lessons, you can download your Electronic Lesson Book or order a printed copy from the Student Site, www.uscareerinstitute.edu. If you have questions, please contact Student Services at 1-800-347-7899.
No part of this document may be reproduced or transmitted in any form or by any means, electronic or mechanical, for any purpose, without the express written permission of U.S. Career Institute.
Copyright © 2014, Weston Distance Learning, Inc. All Rights Reserved. e0201801AS02A-B4
For more inFormation contact:
U.S. Career InstituteFort Collins, CO 80525
www.uscareerinstitute.edu
Assignment Pack 2
Instructions for Quizzes1. Be sure you’ve mastered the Lessons and Practice Exercises that this Quiz covers.2. Mark your answers on the Quiz, and make sure to check your answers by reviewing the Lessons.3. When you’re finished, decide how you will submit your answers and then follow the correct
instructions below. You may only submit your answers for a Quiz once. Important: When submitting your Quiz, be sure to include your name, address, student ID number and course code. Incomplete information may result in your Quiz not being processed.
Scanner Quiz InstructionsFor a Quiz that contains only multiple-choice questions, please select the method of submission:
● Online: Submit your answers online and receive your grade immediately by submitting them to the student site, www.uscareerinstitute.edu.
● Phone: Call the Quiz Line at 1-877-599-5857 and give your answers over the phone to receive your grade immediately.
● Mail or Fax: Scanner Answer Sheets and addressed envelopes are included with each print Assignment Pack. Transfer your Quiz answers to the Scanner Answer Sheet, using only blue or black ink. Mail your Scanner Answer Sheet using the enclosed envelope, or fax the form to 1-877-599-5863.
Instructor-Graded Quiz InstructionsFor the quickest response to instructor-graded Quizzes, simply e-mail your completed Quiz as an attachment to your instructor at [email protected]. In most cases, you will receive the graded Quiz back via e-mail within three business days.
To ensure your instructor can grade your Quiz electronically, please create documents using one of the following preferred software programs: Microsoft® Word, Microsoft® Works or WordPerfect®. Make sure to include your name, student ID, course code and Quiz number in the subject line of your e-mail. Include your address in the e-mail. Finally, please note that these instructions only apply to handwritten Quizzes. Thank you and good luck!
For a Quiz that contains Instructor-graded questions, please select the method of submission:
● Online: Submit your answers online for an instructor to review and grade by submitting them to the student site, www.uscareerinstitute.edu.
● Mail or Fax: Scanner Answer Sheets and addressed envelopes are included with each print Assignment Pack. Transfer your Quiz answers to the Answer Sheet, using only blue or black ink. Mail your Cover Sheet and Answer Sheet using the enclosed envelope, or fax the form to 1-877-599-5863.
After you have submitted your Quiz answers, you may begin the next lesson. You do not need to wait for your Quiz results to move on to the next lesson!
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Assignment Pack 2
Quiz 7: Accounts ReceivableThis is an Instructor-graded Quiz that should be submitted according to the instructions at the beginning of this pack.
Part 1—Multiple ChoiceSelect the best single answer for items 1 through 25. Each correct answer is worth 2 points.
1. Accounts Receivable is a listing of businesses that _____.a. make their purchases on accountb. owe more than $50c. are late with their paymentsd. fall short of the financial goals set by your company
2. Any time a service or product is bought but not paid for immediately, that sale is said to be _____.a. pendingb. unofficialc. on accountd. under the table
3. Whenever a merchant receives full payment at the time a sale is made, that sale is classified as a _____ sale.a. finalb. cashc. creditd. pending
4. In the world of accounting services, a purchase made with a credit card is classified as a(n) _____ sale.a. cashb. creditc. charged. on account
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5. Ledgers that organize the individual components of a controlling account are known as _____.a. journalsb. debitsc. subsidiary ledgersd. proponent ledgers
6. In accounting services, you post all the sales made on account in the _____.a. Accounts Payable Journalb. accounting ledgerc. Cash Accountd. Accounts Receivable Ledger
7. The accounts receivable ledger is organized in _____ order.a. descendingb. alphabeticalc. classicald. new world
8. The journal entry A/R—Joe’s Office Supply gets posted once to the _____ and a second time to Joe’s individual account in the _____.a. general ledger, subsidiary ledgerb. general journal, accounts receivablec. accounts receivable, schedule of accountsd. none of the above
9. Because the accounts receivable ledger must be flexible, it is suggested you keep it in a _____ notebook.a. spiral-boundb. loose-leaf (three-ring)c. gluedd. legal
10. Which one of these is not part of the accounts receivable ledger? a. Debit columnb. Balance columnc. Credit columnd. Credit card number
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Assignment Pack 2
11. The balance column in an individual account shows a _____ balance for that account.a. subtractingb. runningc. derisived. rectifying
12. The single page that lists all the accounts and balances in the accounts receivable ledger is called the _____.a. general journalb. controlling accountc. schedule of accountsd. controlling schedule
13. The _____ is a copy of the customer’s accounts receivable ledger account for the month.a. statementb. billing cyclec. journal paged. schedule of accounts
14. Which of these is not part of a statement? a. Journal reference pageb. Beginning balancec. Purchases, payments and returns made that monthd. Payment due date
15. The total on the schedule of accounts for the accounts receivable ledger should match the _____.a. total in the accounts payable section of the ledgerb. total in the accounts receivable section of the journalc. balance shown in the controlling Accounts Receivable Account in the general ledgerd. both a and c
16. There should be at least _____ copies of each statement a business sends out.a. threeb. only onec. fived. two
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17. The process used to determine which customers are late with payments and which ones tend to pay on time is known as _____.a. double-checkingb. double crossingc. aging the accountsd. aging the double-check
18. A payment made on an accounts receivable account is first recorded in the _____.a. general journalb. general ledgerc. accounts receivable ledgerd. bad debit journal
19. Which of these categories is not one of the columns in the aging of accounts page? a. Customer nameb. Total duec. More than three years lated. 30-60 days
20. If there is a zero beginning balance in an account, then all the charges in that account are considered _____.a. lateb. to be zeroc. currentd. delinquent
21. When a person makes a payment on his/her accounts receivable account, it is entered in the general journal as an accounts receivable _____.a. creditb. debitc. returnd. charge-off
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Assignment Pack 2
22. When a customer returns a purchase, you should write “return” in the description column in the _____.a. general journalb. general ledgerc. accounts payable ledgerd. accounts receivable file
23. The schedule of accounts in the accounts receivable ledger shows the _____.a. name of the customerb. total balance the customer owesc. total accounts receivable for the businessd. all of the above
24. When an account is declared “uncollectible,” it is said to have been _____.a. thrown awayb. delinquentc. charged offd. charged up
25. There are _____ steps an accounting services professional takes after an account has been declared uncollectible.a. sevenb. ninec. tend. three
Quiz continues
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Part 2—Journalize and PostFor Part 2, journalize and post the following invoices for Judy’s Pet Works (use the general journal, general ledger and accounts receivable ledger sheets provided at the end of this Quiz). Each correct item entered is worth 1 point. (Note: For this Quiz, use the invoice total for each transaction. You will learn about sales tax in a future lesson.)
Keep in mind these accounts:
● Cash
● Accounts Receivable
● Sales
● Sales Returns (an account where returns are recorded)
26. On 8-15-XX, Alice Johnson has her dog washed and charges it to her account.
JUDY’S PET WORKS
711 MAIN ST.
Date: 8/15/XX
Name: Alice Johnson
Address: 812 Newberry
Cash On account X Payment Return
Number Description Amount
Fi Fi Dogwash 14.50
subtotal: 14.50
tax: — —
Total: 14.50
Signature: Alice Johnson
Invoice #90 Thank you!
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Assignment Pack 2
27. On 8-16-XX, John Davis makes a payment on his account.
JUDY’S PET WORKS
711 MAIN ST.
Date: 8/16/XX
Name: John Davis
Address: 112 9th Ave
Cash On account X Payment X Return
Number Description Amount
Payment #113 23.00
subtotal: 23.00
tax: — —
Total: 23.00
Signature: John Davis
Invoice #91 Thank you!
Quiz continues
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28. On 8-16-XX, Greg Morris buys dog food, has his dog washed and trimmed and charges it to his account.
JUDY’S PET WORKS
711 MAIN ST.
Date: 8/16/XX
Name: Greg Morris
Address: 1410 Homer
Cash On account X Payment Return
Number Description Amount
Dodger Dogwash 14.50
Trim 6.00
1 Dog Food 5.50
subtotal: 26.00
tax: 1.00
Total: 27.00
Signature: Greg Morris
Invoice #92 Thank you!
Quiz continues
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Assignment Pack 2
29. On 8-17-XX, Alice Johnson returns a leash she had bought the previous month.
JUDY’S PET WORKS
711 MAIN ST.
Date: 8/17/XX
Name: Alice Johnson
Address: 812 Newberry
Cash On account Payment Return X
Number Description Amount
Return of leash 8.00
(apply to account)
subtotal: 8.00
tax: 1.50
Total: 9.50
Signature: Alice Johnson
Invoice #93 Thank you!
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Fold on dotted line
This Space for Instructor Use
1. Fill in your student ID and your course code below.
STUDENT ID NUMBER COURSE CODE
2. Be sure your name and address are filled in below.3. Transfer your answers to this cover sheet.
NAME
ADDRESS
CITY STATE ZIP
U.S. Career Institute2001 Lowe StreetFort Collins, CO 80525
AC-2
Grade: ___________
Accounting Services Quiz 7
Part 1
1. _____________________________
2. _____________________________
3. _____________________________
4. _____________________________
5. _____________________________
6. _____________________________
7. _____________________________
8. _____________________________
9. _____________________________
10. _____________________________
11. _____________________________
12. _____________________________
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13. _____________________________
14. _____________________________
15. _____________________________
16. _____________________________
17. _____________________________
18. _____________________________
19. _____________________________
20. _____________________________
21. _____________________________
22. _____________________________
23. _____________________________
24. _____________________________
25. _____________________________
Part 2Attach your completed forms to this Quiz Cover Sheet and e-mail, fax or mail to the school.
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Assignment Pack 2
General Journal Judy’s Pet Works Page 5
1 2Date Description P/R Dr Cr20XX
123456789
1011121314 1516171819202122232425262728293031323334353637383940
Student Name ______________________________________ I.D. Number _______________________
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Ledger Accounts
Cash Acct #101 2
Date Description P/R Dr Cr20XX
12345
Accounts Receivable Acct #121 2
Date Description P/R Dr Cr20XX
12345
Sales Acct #411 2
Date Description P/R Dr Cr20XX
12345
Sales Returns Acct #421 2
Date Description P/R Dr Cr20XX
12345
Student Name ______________________________________ I.D. Number _______________________
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Assignment Pack 2
Accounts Receivable Subsidiary Ledgers
John Davis 112 9th Avenue
Date Item P/R Dr Cr Bal1 8 1 Beginning balance 2 3 002345
Accounts Receivable Subsidiary Ledgers
Alice Johnson 812 Newberry
Date Item P/R Dr Cr Bal1 8 1 Beginning balance 9 502345
Accounts Receivable Subsidiary Ledgers
Greg Morris 1410 Homer
Date Item P/R Dr Cr Bal1 8 1 Beginning balance 5 502345
Student Name ______________________________________ I.D. Number _______________________
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Assignment Pack 2
Quiz 8: Accounts PayableThis is an Instructor-graded Quiz that should be submitted according to the instructions at the beginning of this pack.
Part 1—Multiple ChoiceFor questions 1 through 25, choose the best answer for each question. Each correct answer is worth 2 points.
1. The word “payable” means _____.a. the company owes moneyb. someone owes the company moneyc. you need to go to the bankd. accounts received
2. The accounts payable ledger is a _____ ledger.a. uselessb. subsidiaryc. superiord. descending
3. The accounts payable ledger contains all the _____ for a company.a. bank accountsb. checks issuedc. customersd. creditors
4. The accounts in the accounts payable ledger are listed in _____ order.a. alphabeticalb. numericalc. ascendingd. descending
5. Each account in the accounts payable ledger is _____.a. duplicated in the general journalb. eliminated every monthc. listed on its own page (one per page)d. placed on the operating statement
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6. Because the accounts payable ledger gets reorganized as a company gains or drops creditors, the ledger must be _____ enough to handle these changes.a. flexibleb. strictc. stringentd. straight
7. The information for the accounts payable ledger comes from the _____ journal.a. cash receiptsb. subsidiaryc. creditorsd. general
8. The ledger format for the accounts payable ledger is organized into _____ columns.a. threeb. sixc. tend. four
9. What information is not transferred from the general journal into the accounts payable ledger? a. Dateb. The amountc. Accounts payable creditd. Accounts receivable debit
10. When creditors have more than one entry in their account, the balance column is a _____ balance.a. runningb. stopc. negatived. positive
11. A return is posted in the accounts payable ledger as a _____.a. creditb. positive numberc. negative numberd. debit
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Assignment Pack 2
12. The list of creditors contained in the accounts payable ledger, including account balances, is known as a _____.a. list of creditorsb. balance listc. schedule of creditorsd. schedule of balances
13. To set up a list such as the one in question #12, you list the individual creditors’ accounts and balances in _____ order.a. alphabeticalb. descendingc. numericald. any
14. You head up the schedule of creditors with the company name, the words “schedule of creditors” and _____.a. how many creditors are on the listb. the date the schedule was preparedc. cross-referencing informationd. the number 5
15. When a company buys something on account, usually there will be some kind of _____ documentation of that transaction.a. oralb. telephonec. faxd. written
16. Invoices are issued by _____.a. companies buying goodsb. creditors selling goods or services on accountc. corporationsd. huge warehouses
17. The abbreviation for purchase order is _____.a. Purchordb. P.Orderc. P.O.d. PurchO
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18. The most important item on any invoice (aside from the amount due) is the _____.a. date of the statementb. items purchasedc. color of the carbon paperd. invoice number
19. What is not listed on an invoice? a. Payment for goods or servicesb. An invoice numberc. A list of goods or services purchasedd. A payment due date
20. The invoice number helps purchasing companies keep track of _____.a. money they are owedb. invoicesc. purchase ordersd. the date of the order
21. Businesses should organize creditors’ records in _____ files—one file per creditor.a. groupb. largec. individuald. gathered
22. A purchase order will usually include _____ for a creditor to follow to get paid.a. credit card numbersb. departmental paper trailsc. instructionsd. both a and b
23. A purchase order is issued _____.a. by the creditor to the companyb. by the company to the creditorc. by an accountant—every timed. only on Fridays
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Assignment Pack 2
24. Written records help businesses _____.a. avoid paying any taxesb. hire employeesc. pay off debtsd. keep track of its money
25. Accurate records help businesses _____.a. keep ahead of their competitionb. avoid paying any taxesc. keep profits under controld. determine sale prices
Quiz continues
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Part 2—Journalize and PostFor Part 2, journalize and post the following invoices for Judy’s Pet Works (use the general journal, general ledger and accounts payable ledger sheets provided at the end of this Quiz). Each correct item entered is worth 1 point. For this Quiz, use the invoice total to complete each transaction. (You will learn about sales tax in a future lesson.)
Keep in mind these accounts:
Office supplies (items bought to supply the office)
Store supplies (items bought to the supply store, not for resale)
Accounts payable
Purchases (items bought for resale)
26. On 8-15-XX, Judy bought office supplies at Office Co. and had them charged to her account.
OFFICE CO.
536 REMMER ST.
Date:8/15/XXXX
Name: Judy’s Pet Works
Address: 711 Main St.
Cash On account X Payment Return
Number Description Amount
1 Box envelopes 5.00
1 Box pens 4.00
1 File folders 2.00
subtotal: 11.00
tax: 2.00
Total: 13.00
Signature: Judy MillerInvoice #12 Thank you!
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Assignment Pack 2
27. On 8-16-XX, Judy bought store supplies at Ralph’s and had them charge it to her account.
RALPH’S PET SUPPLY
454 8TH ST.
Date:8/16/XXXX
Name: Judy’s Pet Works
Address: 711 Main St.
Cash On account X Payment Return
Number Description Amount
10 Shampoo 10.00
2 Scissors 15.00
subtotal: 25.00
tax: 3.00
Total: 28.00
Signature: Judy MillerInvoice #43 Thank you!
Quiz continues
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28. On 8-16-XX, Judy returned part of the office supplies she had bought previously on account.
OFFICE CO.
536 REMMER ST.
Date:8/16/XXXX
Name: Judy’s Pet Works
Address: 711 Main St.
Cash On account Payment Return X
Number Description Amount
1 Box envelopes 5.00
(apply to account)
subtotal: 5.00
tax: 1.00
Total: 6.00
Signature: Judy MillerInvoice #14 Thank you!
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Assignment Pack 2
29. On 8-17-XX, Judy purchased items for resale from Ralph’s Pet Supply.
RALPH’S PET SUPPLY
454 8TH ST.
Date:8/17/XXXX
Name: Judy’s Pet Works
Address: 711 Main St.
Cash On account X Payment Return
Number Description Amount
10 Bags dog food 20.00
10 Cat food 15.00
5 Leashes 20.00
subtotal: 55.00
tax: (resale)
Total: 55.00
Signature: Judy MillerInvoice #48 Thank you!
Quiz continues
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30. On 8-20-XX, Judy paid Office Co. $7.00, check number 119.
OFFICE CO.
536 REMMER ST.
Date:8/20/XXXX
Name: Judy’s Pet Works
Address: 711 Main St.
Cash On account Payment X Return
Number Description Amount
Payment (check #119) 7.00
subtotal: 7.00
tax: ------
Total: 7.00
Signature: Judy MillerInvoice # Thank you!
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Fold on dotted line
This Space for Instructor Use
1. Fill in your student ID and your course code below.
STUDENT ID NUMBER COURSE CODE
2. Be sure your name and address are filled in below.3. Transfer your answers to this cover sheet.
NAME
ADDRESS
CITY STATE ZIP
U.S. Career Institute2001 Lowe StreetFort Collins, CO 80525
AC-2
Grade: ___________
Accounting Services Quiz 8
Part 1
1. ______________________
2. ______________________
3. ______________________
4. ______________________
5. ______________________
6. ______________________
7. ______________________
8. ______________________
9. ______________________
10. ______________________
11. ______________________
12. ______________________
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13. ______________________
14. ______________________
15. ______________________
16. ______________________
17. ______________________
18. ______________________
19. ______________________
20. ______________________
21. ______________________
22. ______________________
23. ______________________
24. ______________________
25. ______________________
Part 2Attach your completed forms to this Quiz Cover sheet and e-mail, fax or mail to the school.
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Assignment Pack 2
General Journal Judy’s Pet Works Page 5
1 2Date Description P/R Dr Cr20XX
123456789
1011121314 1516171819202122232425262728293031323334353637383940
Student Name ______________________________________ I.D. Number _______________________
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Assignment Pack 2
Cash Acct #101 2
Date Description P/R Dr Cr20XX
12345
Office Supplies Acct #131 2
Date Description P/R Dr Cr20XX
12345
Store Supplies Acct #141 2
Date Description P/R Dr Cr20XX
12345
Accounts Payable Acct #211 2
Date Description P/R Dr Cr20XX
12345
Purchases Acct #511 2
Date Description P/R Dr Cr20XX
12345
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Accounts Payable Subsidiary LedgerOffice Company 536 Remner Street
Date Item P/R Dr Cr Bal1 8 1 Beginning balance 0 0023456789
1011121314151617181920
Accounts Payable Subsidiary LedgerRalph’s Pet Supply 454 8th Street
Date Item P/R Dr Cr Bal1 8 1 Beginning balance 0 0023456789
1011121314151617181920
Student Name ______________________________________ I.D. Number _______________________
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Assignment Pack 2
Quiz 9: Financial StatementsThis is a Scanner Quiz that should be submitted according to the instructions at the beginning of this pack.
Use the information to answer the following questions.
Prepare an Income Statement for Elaine’s Beauty Salon.
The statement is for the year ending December 31, 20XX
● Rent cost $1,900
● Sales Revenues totaled $4,300
● Cost of Goods Sold was $2,000
● Utilities cost $600
● Service Revenues totaled $48,000
● The company paid out $12,000 in wages
Elaine’s Beauty Salon Income Statement
Year Ended December 31, 20XX
INCOME Sales Revenue Service Revenue Total Revenue Less Cost of Goods Sold Gross Profit
EXPENSES Wage Expense Rent Expense Utilities Expense Total Expenses
NET INCOME
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Complete a Balance Sheet for Harvey’s Rabbit Supply, dated December 31, 20XX.
Use the following information:
● Cash: $2,400
● Accounts Receivable: $1,900
● Equipment: $3,000
● Inventory: $2,200
● Accounts Payable: $900
● Notes Payable: $5,100
● Rent Payable: $2,000
● Harvey Harrison, owner—Equity: $1,500
Harvey’s Rabbit Supply Balance Sheet
December 31, 20XX
ASSETS LIABILITIESCURRENT ASSETS CURRENT LIABILITIES Cash Rent Payable Accounts Receivable Accounts Payable Inventory Total Current Liability Total Current Assets LONG-TERM LIABILITIESFIXED ASSETS Notes Payable Equipment Total Long-Term Liabilities Total Fixed Assets TOTAL LIABILITIES EQUITY Harvey’s Equity
TOTAL ASSETS TOTAL LIABILITIES & EQUITY=
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Assignment Pack 2
Complete a Statement of Owner’s Equity for Linda’s Craft Boutique, dated December 31, 20XX.
Use the following information:
● Beginning Equity: $20,230
● Net Income: $18,500
● Owner Investment: -0-
● Withdrawals: $10,000
LINDA’S CRAFT BOUTIQUE STATEMENT OF OWNER’S EQUITY Year Ended December 31, 20XX
Beginning Equity, Jan. 1, 20XXNet Income for YearOwner InvestmentLess Withdrawals for the YearIncrease in CapitalEnding Equity, Jan. 1, 20XX
Select the best single answer for items 1 through 25. Transfer the answers to the scanner sheet. Each correct answer is worth 4 points.
1. Based on the income statement, what sentence is true about Elaine’s Beauty Salon? a. The business is not profitable.b. The business receives more in Sales Revenues than Service Revenues.c. The business is profitable.d. The business’ wage expenses were less than the Sales Revenues.
2. The total profit or loss shown by Elaine’s business is _____.a. $35,800 profitb. $35,800 lossc. $64,800 lossd. $64,800 profit
3. What is the beauty salon’s gross profit? a. $14,500b. $54,300c. $52,300d. $50,300
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4. What are the beauty salon’s total expenses? a. $14,500b. $16,500c. $21,900d. $48,000
5. What is the “bottom line” of the beauty salon business? a. $50,300b. $35,800c. $52,300d. $64,800
6. When the balance sheet for Harvey’s Rabbit Supply is complete, the total assets and total liabilities & equity columns should both show a balance of _____.a. $11,000b. $9,500c. $13,500d. $6,500
7. The amount of the total current assets for Harvey’s Rabbit Supply is _____.a. $6,500b. $8,000c. $4,300d. $9,500
8. Inventory is listed under the _____ heading in the balance sheet.a. Fixed Assetsb. Current Liabilitiesc. Owner’s Equityd. Current Assets
9. Owner’s Equity is listed in/on the _____ side of the balance sheet.a. rightb. leftc. both a and bd. center
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Assignment Pack 2
10. When you write the company name on the top of a balance sheet, you are _____ that document.a. eliminatingb. “heading up”c. “close listing”d. revising
11. The total fixed assets for Harvey’s are _____.a. not included in a balance sheetb. $3,000c. $6,500d. $9,500
12. Accounts Payable is listed under the _____ heading on the balance sheet.a. Equityb. Current Assetsc. Long-term Liabilitiesd. Current Liabilities
13. The total liabilities for Harvey’s is _____.a. $9,500b. $3,000c. $8,000d. not listed on a balance sheet
14. On a balance sheet, _____ are listed on the left and _____ are listed on the right.a. assets & equity, liabilitiesb. assets, liabilities & equityc. equity, assets & liabilitiesd. assets, equity
15. When a balance sheet is completed correctly, the totals on both sides should _____.a. never be equalb. only be equal if capital is not includedc. always be equald. be less than zero
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16. When a company wants to apply for a loan at the bank, it will usually submit a _____.a. statement of owner’s equityb. complete set of booksc. copy of the general ledgerd. summary of the year’s trial balances
17. The statement of owner’s equity summarizes the amount of _____ an owner has in his business.a. incomeb. accountsc. equityd. receivables
18. The first step in preparing the statement of owner’s equity is _____.a. adding up the withdrawals for the yearb. deciding whether the net income was negative or positivec. looking at the last statement of owner’s equityd. preparing an income statement
19. An example of a current asset is _____.a. the owner’s deskb. cashc. a company truckd. the utility bill
20. An example of a fixed asset is _____.a. inventory for saleb. the telephonec. store equipmentd. cash in the cash register
21. An example of a current liability is a(n) _____.a. telephone billb. electric billc. mortgage paymentd. payroll taxes
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Assignment Pack 2
22. An example of a long-term liability is _____.a. loan on a piece of store equipmentb. accounts receivablec. monthly rentd. all of the above
23. Based on the statement of owner’s equity, the ending equity for Linda’s Craft Boutique is _____.a. $48,730b. $28,730c. $11,730d. $38,730
24. Based on the statement of owner’s equity, which statement is true about Linda’s Craft Boutique? a. The business is not profitable.b. Linda took too much money out of the drawing account.c. The business has more money now than it did on the last statement of owner’s equity.d. Linda has very few customers.
25. The beginning equity for Linda’s Craft Boutique is _____.a. $20,230b. $27,730c. $18,500d. $10,000
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Assignment Pack 2
Quiz 10: Specialized JournalsThis is an Instructor-graded Quiz that should be submitted according to the instructions at the beginning of this pack.
Part 1—Multiple ChoiceSelect the best single answer for items 1 through 10. Each correct answer is worth 4 points.
1. The Other Accounts column is used for entries that don’t _____.a. matterb. fit into any specific columnc. add up correctlyd. balance
2. The cash payment journal can also be called the _____ journal.a. cash purchasesb. cash outlayc. cash disbursementsd. credit disbursement
3. The sales journal is where you enter purchases made _____.a. by customers on accountb. with cashc. by individuals onlyd. by corporations only
4. When completing the cash receipts journal, the Accounts Receivable Cr column shows the _____.a. total amount of a cash saleb. balance due for an accounts receivable customerc. amount of an allowance made on a sale to a customerd. amount paid on an Accounts Receivable account
5. When an A/R customer returns a purchase and his account is credited, that transaction is recorded in the _____ journal.a. generalb. cash returnsc. refundd. sales
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6. The most used specialized journal will probably be the _____ journal.a. sales returnsb. salesc. cash receiptsd. purchases
7. When a company makes a payment to one of their creditors, that payment is recorded in that company’s _____ journal.a. creditb. cash paymentsc. cash allotmentd. purchases
8. The _____ journal is where you record items your company buys for resale.a. cash paymentsb. purchasesc. cash receiptsd. a or b, depending on the method of payment
9. The Other Accounts column is posted to the ledger _____.a. once a yearb. only after 50 entriesc. as a totald. line by line
10. When do you post the total of the Other Accounts column in a specialized journal? a. Once a yearb. Whenever you post items to the ledgerc. Once a weekd. It is not posted
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Assignment Pack 2
Part 2—Journalize and PostYour journal entries will be worth 40 points: -1 for each incorrect entry. -1 for missing dates. -1 for each journal missing totals. -1 for missing check marks in the P/R column. -1 for missing account numbers under totals. -2 for not journalizing a transaction or entering in the wrong journal.
Your general ledger entries will be worth 20 points: -1 for each incorrect posting. -1 for missing dates. -1 for missing references in the P/R column.
For Part 2, journalize and post the following transactions for Judy’s Pet Works. (Use the specialized journals, general ledger and subsidiary ledgers sheets provided at the end of the Quiz.) All transactions are dated July 1, 20XX. The posting is completed at the end of the month.
Judy goes to a local supplier, Lot’s Feeding Supply, and buys $200 worth of dog food. The food will be resold and Judy places the amount on her account.
Back at the store, one of Judy’s customers, Ann Moore, comes in and makes a payment of $150 toward her account. Ann is a credit customer of Judy’s.
Later in the day Judy stops by Custom Leathers, a store that specializes in making custom leather leashes. Judy buys five leashes and writes out check number 143 for $80. Judy will resell the leashes.
Back at Judy’s store, another credit customer, Julie Brown, comes in and makes a credit purchase of $50. Judy issues invoice numer 18 to Julie.
Judy needs office supplies. She goes to Office Co. and buys $25 worth of supplies. The amount is placed on Judy’s account with Office Co. Office Co. issues invoice number 54 to Judy.
When Judy gets back to the store, Julie Brown is back. She forgot cat litter for the cat. Her $3 purchase is placed on her account as well. Invoice number 19 is issued.
Judy sees a bill from Lot’s Feeding Supply for last month’s purchases and decides to pay it. She writes out check number 144 for the amount of $32.
Judy records the cash sales for the day of $750.
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Sales Journal Judy’s Pet Works
Page 1
Date 20XX Customer’s Name P/R
Accts Receivable Dr
Sales Cr
Cash Receipts Journal Judy’s Pet Works
Page 1
Date 20XX
Acct Credited
P/R
Acct Rec. Cr
Sales Cr
Other Accounts Cr Cash DrAcct Title P/R Amt.
Cash Payments Journal Judy’s Pet Works
Page 1
Date 20XX
Check No. Payee
P/R
Acct Payable Dr
Other Accounts Dr Cash CrAcct Title P/R Amt.
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Assignment Pack 2
Purchases Journal Page 1Judy’s Pet Works
Date 20XX
Acct Credited
P/R
Acct Payable Cr
Purchase Dr
Office Supplies Dr
Other Accounts DrAcct Title P/R Amt.
General Ledger Cash Account Account No. 100
1 2
Date20XX Item P/R Dr Cr
1
2
3
General Ledger Accounts Receivable Account Account No. 111
1 2
Date20XX Item P/R Dr Cr
1
2
3
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General Ledger Office Supplies Account No. 115
1 2
Date20XX Item P/R Dr Cr
1
2
3
General Ledger Accounts Payable Account No. 201
1 2
Date20XX Item P/R Dr Cr
1
2
3
General Ledger Sales Account Account No. 401
1 2
Date20XX Item P/R Dr Cr
1
2
3
Student Name ______________________________________ I.D. Number ______________________
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Assignment Pack 2
General Ledger Purchases Account No. 501
1 2
Date20XX Item P/R Dr Cr
1
2
3
Accounts Receivable Subsidiary LedgerJulie Brown
Date Item Balance P/R Dr Cr Bal123456789
1011121314151617181920
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Accounts Receivable Subsidiary LedgerAnn Moore
Date Item Balance P/R Dr Cr Bal1 7 1 Beginning balance 1 5 0 0023456789
1011121314151617181920
Accounts Payable Subsidiary LedgerLot’s Feeding Supply
Date Item Balance P/R Dr Cr Bal1 7 1 Beginning balance 3 2 0023456789
1011121314151617181920
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Assignment Pack 2
Accounts Payable Subsidiary LedgerOffice Co.
Date Item Balance P/R Dr Cr Bal123456789
1011121314151617181920
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Fold on dotted line
This Space for Instructor Use
1. Fill in your student ID and your course code below.
STUDENT ID NUMBER COURSE CODE
2. Be sure your name and address are filled in below.3. Transfer your answers to this cover sheet.
NAME
ADDRESS
CITY STATE ZIP
U.S. Career Institute2001 Lowe StreetFort Collins, CO 80525
AC-2
Grade: ___________
Accounting Services Quiz 10
Part 11. ______________________
2. ______________________
3. ______________________
4. ______________________
5. ______________________
6. ______________________
7. ______________________
8. ______________________
9. ______________________
10. ______________________
Part 2Attach your completed forms to this Quiz Cover Sheet and e-mail, fax or mail to the school.
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Assignment Pack 2
Quiz 11: Depreciation, Merchandising Accounts and Sales Tax
This is a Scanner Quiz that should be submitted according to the instructions at the beginning of this pack.
Select the best single answer for items 1 through 25. Each correct answer is worth 4 points.
1. A decrease in value of an item is known as _____.a. appreciationb. depreciationc. associationd. destruction
2. The three factors that affect depreciation are original cost, estimated useful life and the _____ of the item.a. estimated trade-in (salvage) valueb. new retail pricec. lifestyled. sale price
3. The _____ means how long that item is expected to last.a. overall lifetimeb. maximum operation periodc. constant rate of operationd. estimated useful life
4. George’s Lawn Service purchases a riding lawn mower for $5,000. It has an estimated useful life of 5 years and a trade-in value of $1,100. Using the straight-line method of figuring depreciation, what is the monthly depreciation rate for the following equipment purchase? a. $416.67b. $65.00c. $780.00d. $101.67
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5. The _____ method is the simplest of the four methods for figuring depreciation.a. double-declining balanceb. best-guess estimationc. straight-lined. sum-of-years-digits
6. The sum-of-years-digits and double-declining balance methods of figuring depreciation are both _____ methods.a. accelerated depreciationb. decelerated depreciationc. flawed, uselessd. unknown
7. To find book value of an item, an accounting services professional subtracts the accumulated depreciation from the _____ of an item.a. wholesale costb. balance sheetc. original costd. retail sales price
8. Sales tax is posted to the _____ account in the general ledger.a. Sales Tax Payableb. Sales Tax Receivablec. Accounts Payabled. Operating Tax
9. When a person counts all of a business’ merchandise, he is said to be taking _____.a. too much timeb. a tax countc. wholesale figuresd. inventory
10. The actual number of items a business has for sale is known as _____.a. suppliesb. stockc. household graind. reorder goods
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Assignment Pack 2
11. What is not a reason to take inventory? a. To determine if any stock is being stolen.b. To survey customers about in-stock items.c. To tell the business when to reorder items.d. To tell the business what items sell well.
12. A _____ count of inventory is an exact count of each and every stock item and is usually done at the end of an accounting period.a. periodicb. perpetualc. processd. hiring
13. A(n) _____ count is typically used for tax purposes and to help determine the exact value of a business.a. perpetualb. periodicc. estimatedd. operant
14. The ongoing count of stock is known as a(n) _____ count.a. periodicb. estimatedc. perpetuald. reported
15. _____ is how much an item costs a consumer.a. Retail costb. Sale pricec. Wholesale costd. Sale cost
16. When you assume the first-purchased stock is sold first, you are using the _____ method of figuring inventory value.a. last-in-first-outb. last-in-last-soldc. first-in-first-outd. weighted average
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17. The opposite of the first-in-first-out method of figuring inventory value is known as _____.a. last-in-last-outb. last-in-first-outc. weighted averaged. first-in-first-sold
18. When you figure an average cost for all inventory, regardless of when it was purchased, you are using the _____ method of figuring inventory value.a. weighted averageb. last-in-first-outc. last-in-last-outd. first-in-last-out
19. Cost of goods sold is a simple way of stating how much an item cost _____.a. consumersb. retail purchasersc. suppliersd. merchandise businesses
20. The cost of goods sold figure is used on the _____.a. balance sheetb. income statementc. ledgerd. modus operandi
21. Use the first-in-first-out method of figuring inventory value to solve this problem. Ted buys small crystals for his gift shop. On Monday, he bought 100 crystals for $2 each. The
next Monday, he bought 75 crystals for $3 each and on Wednesday, he bought 200 crystals for $1.50 each. On Friday, he counted and found he had 100 crystals remaining. What is the value of the inventory? a. $200b. $150c. $300d. $75
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Assignment Pack 2
22. Use the last-in-first-out method of figuring inventory value to solve this problem. Ted buys small crystals for his gift shop. On Monday, he bought 100 crystals for $2 each.
The next Monday, he bought 75 crystals for $3 each and on Wednesday, he bought 200 crystals for $1.50 each. On Friday, he counted and found he had 100 crystals remaining. What is the value of the inventory? a. $200b. $150c. $295.23d. $177.45
23. Use the weighted average method of figuring inventory value to solve this problem. Ted buys small crystals for his gift shop. On Monday, he bought 100 crystals for $2 each.
The next Monday, he bought 75 crystals for $3 each and on Wednesday, he bought 200 crystals for $1.50 each. On Friday, he counted and found he had 100 crystals remaining. What is the value of the inventory? a. $255b. $215c. $193d. $300
24. Based on your calculations above, what can you say about the three methods of figuring inventory? a. They find similar, but not exactly the same, values for inventory.b. The figures are wildly different—they vary by more than 50 percent from
method to method.c. Crystals cannot be counted.d. All of the above.
25. To find merchandise available for sale, you add beginning inventory to _____.a. net salesb. cost of goods soldc. net profitd. net purchases
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Assignment Pack 2
Quiz 12: The WorksheetThis is an Instructor-graded Quiz that should be submitted according to the instructions at the beginning of this pack.
Remember: This is an open-book Quiz! Please use all the information provided in this and previous lessons to complete the Quiz.
Part 1—The WorksheetFollow these instructions to complete the Quiz. Correct adjustments on the worksheet are worth 4 points. All other correct entries are worth 1 point.
Step 1: Use the following accounts, their balances and adjustments to complete a worksheet for Mary Moore Administrative Services—a non-merchandising business. The period ending is February 28, 20XX. Refer to the examples in Lesson 9 for proper formatting.
Account Title Dr Cr
Cash 5,400.00Accounts Receivable 550.00Supplies 150.00Prepaid Insurance 1,200.00Building 20,000.00Equipment 8,000.00Accumulated Depreciation 1,000.00Accounts Payable 200.00Mortgage Payable 15,000.00Capital 16,700.00Service Revenue 3,500.00Salary Expense 1,000.00Utility Expense 100.00
Step 2: Make the following adjustments:
(a) $50 worth of supplies were used up during the month.
(b) $200 of the prepaid insurance was used during the month.
(c) The equipment and building together depreciated by $200 during the month.
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Step 3: Use columns 5 and 6 of the worksheet to prepare an adjusted trial balance sheet.
Step 4: Use columns 7 and 8 of the worksheet to prepare an income statement.
Step 5: Use the information from the operating statement to prepare a capital statement.
Step 6: Use columns 9 and 10 of the worksheet, and the capital amount from the capital statement, to prepare a balance sheet.
Step 7: Attach your completed forms to this Cover Sheet and mail to the school in one of the envelopes provided.
Mary Moore Administrative ServicesWorksheet
For the month ending February 28, 20XX1 2 3 4 5 6 7 8 9 10Unadjusted
Trial Balance
AdjustmentsAdjusted Balance
Income Statement
Balance Sheet
Account Title Dr Cr Dr Cr Dr Cr Dr Cr Dr CrCashAcc. Rec.Office SuppliesPrepaid Ins.BuildingEquipmentAccum. Depr.Acc. PayableMortgage PayableEquityRevenueSalary exp.Utility exp.
Office supply exp.Insurance exp.Depreciation exp.
Net income (loss)
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Assignment Pack 2
Mary Moore Administrative ServicesAdjusted Trial Balance
For the month ending Feb. 28th, 20XXDr Cr
CashAccounts ReceivableSuppliesPrepaid InsuranceBuildingEquipmentAccum. DepreciationAccounts PayableMortage PayableEquityService RevenueSalary ExpenseUtility ExpenseSupplies ExpenseInsurance ExpenseDepreciation Expense
Totals
Mary Moore Administrative ServicesIncome Statement
For the month ending Feb. 28th, 20XX
Service revenueExpenses Salary exp Utility exp Supplies exp Insurance exp Depreciation expTotal ExpensesNet Income
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Mary Moore Administrative ServicesOwner’s Equity Statement
For the month ending Feb. 28th, 20XX
Equity ending Jan. 31, 20XXNet income from Feb.Equity ending Feb. 28, 20XX
Mary Moore Administrative ServicesBalance Sheet
For the month ending Feb. 28th, 20XX
ASSETS Current assets Cash Accounts receivable Supplies Prepaid InsuranceTotal current assets Fixed assets Building Equipment Less: DepreciationTotal fixed assetsTotal assets
LIABILITIES AND EQUITY Current liabilities Accounts payableTotal current liabilities Long-term liabilities Mortgage payableTotal long term liabilitiesTotal liabilitiesOwner’s Equity ending Feb. 28, 20XXTotal Liabilities and Equity
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Assignment Pack 2
Part 2Use the completed worksheet and financial statements to answer the following questions. Transfer the answers to the Quiz Cover Sheet provided.
1. The totals for the unadjusted trial balance columns on the worksheet come to _____.a. $34,600 debit and $34,600 creditb. $18,400 debit and $18,400 creditc. $37,400 debit and $35,400 creditd. $36,400 debit and $36,400 credit
2. The totals for the adjustment columns on the worksheet come to _____.a. $650 debit and $650 creditb. $37,400 debit and $37,400 creditc. $1,200 debit and $1,200 creditd. $450 debit and $450 credit
3. The totals for the adjusted trial balance columns on the worksheet come to _____a. $36,400 debit and $36,400 creditb. $1,250 debit and $1,250 creditc. $36,600 debit and $36,600 creditd. $35,050 debit and $35,050 credit
4. Without the net income added to the total, the totals for the income statement columns on the worksheet come to _____.a. $3,350 debit and $3,500 creditb. $1,550 debit and $3,500 creditc. $3,500 debit and $3,500 creditd. $1,150 debit and $3,500 credit
5. How much net income is added to column 7 of the worksheet to balance the income statement columns? a. $950b. $1,050c. $3,500d. $1,950
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6. How much net income is added to column 10 of the worksheet to balance the balance sheet columns? a. $950b. $1,950c. $3,500d. $1,050
7. What is the adjusted balance of the supply account? a. $50 debitb. $100 creditc. $200 debitd. $100 debit
8. What is the adjusted balance of the prepaid insurance account? a. $1,000 creditb. $200 debitc. $1,000 debitd. $1,400 debit
9. What is the adjusted balance of the accumulated depreciation building account? a. $800 creditb. $1,200 creditc. $1,400 debitd. No adjustment was made
10. What is the adjusted balance of the depreciation expense account? a. $800 debitb. $400 debitc. $200 debitd. $1,000 credit
11. What are the total expenses on the income statement? a. $3,500b. $1,150c. $2,150d. $1,550
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Assignment Pack 2
12. What is the net income on the income statement? a. $1,950b. $3,500c. $2,150d. $2,350
13. What is the equity ending January 31, 20XX on the owner’s equity statement? a. $3,500b. $17,850c. $35,050d. $16,700
14. What is the equity ending February 28, 20XX on the owner’s equity statement? a. $16,700b. $3,500c. $18,650d. $20,200
15. What are the total current assets on the balance sheet? a. $7,000b. $7,050c. $6,850d. $7,100
16. What are the total fixed assets on the balance sheet? a. $26,800b. $30,000c. $28,400d. $29,600
17. What are the total assets on the balance sheet? a. $33,000b. $33,250c. $33,850d. $37,050
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18. What are the total current liabilities on the balance sheet? a. $15,000b. $200c. $15,200d. $17,000
19. What are the total liabilities on the balance sheet? a. $15,000b. $200c. $15,200d. $17,850
20. What is the amount of owner’s equity on the balance sheet? a. $16,700b. $33,050c. $0d. $18,650
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Fold on dotted line
This Space for Instructor Use
1. Fill in your student ID and your course code below.
STUDENT ID NUMBER COURSE CODE
2. Be sure your name and address are filled in below.3. Transfer your answers to this cover sheet.
NAME
ADDRESS
CITY STATE ZIP
U.S. Career Institute2001 Lowe StreetFort Collins, CO 80525
AC-2
Grade: ___________
Accounting Services Quiz 12
Part 1Attach your completed forms to this Quiz Cover Sheet and e-mail, fax or mail to the school.
Part 21. _____
2. _____
3. _____
4. _____
5. _____
6. _____
7. _____
8. _____
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9. _____
10. _____
11. _____
12. _____
13. _____
14. _____
15. _____
16. _____
17. _____
18. _____
19. _____
20. _____