Penn foster book keeping course exam nunber 98610100

Penn foster book keeping course exam nunber 98610100

13

PLATT HARDWARE STORE

CHART OF ACCOUNTS

	Division 1	Asset Accounts	11–19
	Division 2	Liability Accounts	21–29
	Division 3	Owner's Equity Accounts	31–39
(1)	ASSETS
	11
	12
	13
	14
	15
(2)	LIABILITIES
	21
	22
	23
	24
(3)	OWNER'S EQUITY
	31

EXAM FIGURE 1

Using your completed Chart of Accounts, choose the one correct answer.

1. The assets division should contain what accounts?

A. 11 P. Woodsley, Capital

12 Equipment—Store

13 Equipment—Office

14 Cash

15 Accounts Payable—Taylor Investments

B. 11 Accounts Payable—Bellhaven Bank

12 Equipment—Store

13 Equipment—Office

14 P. Woodsley, Capital

15 Cash

C. 11 Cash

12 Equipment—Store

13 Equipment—Office

14 Prepaid Insurance

15 Accounts Payable—Taylor Investments

D. 11 Cash

12 Prepaid Insurance

13 Equipment—Store

14 Equipment—Office

15 Supplies

¹⁴ Assets, Liabilities, and Owner’s Equity

2. The liabilities division should contain what accounts?

A. 21 Accounts Payable—Bellhaven Bank

22 P. Woodsley—Capital

B. 21 Accounts Payable—Bellhaven Bank

22 Accounts Payable—Taylor Investments

C. 21

22

D. 21 Accounts Payable—Bellhaven Bank

22 Merchant’s Bank

3. The owner’s equity division should contain what account(s)?

A. 31 P. Woodsley—Capital

B. 31 P. Woodsley—Capital

32 Merchant’s Bank

C. 31 Merchant’s Bank

32 P. Woodsley—Capital

D. 31

32

Use the following information to answer questions 4–11.

Analyze and prepare journal entries for the following transactions on the form provided in Exam Figure 2. Pencil-foot the debit and credit columns.

(A) 5/1—Purchased a new calculator for the office for $690 on account from J. C. Hollings, Inc., memo 3.

(B) 5/2—Purchased $3,500 of equipment for the store on account from Craft Bank, memo 4.

(C)5/4—Paid cash, $42.92, for supplies, check 4.

(D)5/5—Paid cash, $1,000, to Bellhaven Bank for amount owed on account, (check 5).

4. You record the debit entry for transaction (A) 5/1 in the journal as

Date	Description	Debit	Credit
A.May 1	Equipment—Office	690.00
B.May 1	Equipment—Office		690.00
C.May 1	Calculator	690.00
D.May 1	A/P—J. C. Hollings, Inc.	690.00

Assets, Liabilities, and Owner’s Equity ¹⁵

5. You record the credit entry for transaction (A) 5/1 in the journal as

Date	Description	Debit	Credit
A.May 31	J. C. Hollings, Inc.	690.00
B.May 1	J. C. Hollings, Inc.	690.00
C.May 1	A/P—J. C. Hollings, Inc.		690.00
D.May 1	Creditor		690.00

JOURNAL

PAGEJ1

DOC.

DATE

ACCOUNT TITLE

NO.

P.R.

DEBIT

CREDIT

EXAM FIGURE 2

6. You record the debit entry for transaction (B) 5/2 in the journal as

Date	Description	Debit	Credit
A.May 2	A/P—Craft Bank		3,500.00
B.May 2	A/P—Craft Bank	3,500.00
C.May 2	Equipment—Store	3,500.00
D.May 2	Merchandise		3,500.00

¹⁶ Assets, Liabilities, and Owner’s Equity

7. You record the credit entry for transaction (B) 5/2 in the journal as

Date	Description	Debit	Credit
A.May 2	A/P—Craft Bank	3,500.00
B.May 2	A/P—Craft Bank		3,500.00
C.May 2	Merchandise		3,500.00
D.May 2	Equipment—Store	3,500.00

8. The account titles for transaction (C) 5/4 should appear in the Account Title column of the journal entry as

A. Supplies Cash

B. Equipment—Store

P. Woodsley—Capital

C. Cash Equipment—Store

D. P. Woodsley, Capital Cash

9. The account titles for transaction (D) 5/5 should appear in the Account Title column of the journal entry as

A. Merchant’s Bank

Equipment—Store

B. Cash Equipment—Store

C. A/P—Bellhaven Bank Cash

D. Inventory—Merchandise P. Woodsley—Capital

10. Assuming that you’re recording the transactions on the first page of the journal, the page entry at the top right side of the journal should be

A. One.

B. J.

C. J1.

D. 2.

11. Posting references on the journal should be

A. made when journalizing.

B. entered when the journal is totaled.

C. entered when posting to the ledger.

D. entered in alphabetical order.

Assets, Liabilities, and Owner’s Equity ¹⁷

Use the following information to answer questions 12–20.

First, add Accounts Payable—J. C. Hollings and Accounts Payable—Craft Bank from the transactions prepared in Exam Figure 2 to the chart of accounts in Exam Figure 1. Next, open all ledger accounts using the form in Exam Figure 3. Then, post the journal entries from Exam Figure 2 to the ledger accounts and balance each ledger account. Be sure to post the balance of each account (from page 13 of the exam) before you post the transac-tions you just journalized.

12. After posting the journal entries to the ledger, what is the balance of the Cash account?

A.	Debit $4,056.82	C.	Credit $1,042.92
B.	Credit $3,013.90	D.	Debit $3,013.90

13. After posting the journal entries to the ledger, what is the balance of the Equipment—Store account?

A.	Debit $4,500	C.	Debit $8,000
B.	Credit $1,500	D.	Credit $4,500

14. On May 3, what is the balance of the Equipment—Office account?

A.	Debit $5,090	C.	Debit $4,400
B.	Debit $690	D.	Credit $5,090

15. What is the balance of the Accounts Payable—Bellhaven Bank account?

A.	Debit $1,000	C.	Credit $5,000
B.	Debit $4,000	D.	Credit $4,000

16. After posting the journal entries to the ledger, what is the balance of the Supplies account?

A.	Debit $500	C.	0
B.	Debit $542.92	D.	Credit $542.92

17. After posting the journal entries to the ledger, what is the balance of the Accounts Payable—Craft Bank account?

A.	0	C.	Debit $3,500
B.	Credit $3,500	D.	Credit 0

18. After posting the journal entries to the ledger, the opening balance of the P. Woodsley— Capital account was

A.	increased.	C.	unchanged.
B.	decreased.	D.	deleted.

¹⁸ Assets, Liabilities, and Owner’s Equity

19. What entry do you make in the Post Ref. column of the ledger to show that you posted the transactions from the journal?

A.	1	C.	Leave it blank
B.	J1	D.	11

20. Asset accounts are increased by

A. entries to the debit side of the account.

B. crediting a liability account.

C. entries to the right side of the account.

D. adding a credit entry to the account’s normal balance.

GENERAL LEDGER

ACCOUNT

ACCOUNT NO.

DATE

DATE

20—

ITEM

P.R.

DEBIT

20—

ITEM

P.R.

CREDIT

ACCOUNT

ACCOUNT NO.

DATE

20—

ITEM

P.R.

DEBIT

DATE

ITEM

P.R.

CREDIT

²⁰ Assets, Liabilities, and Owner’s Equity

Assets, Liabilities, and Owner’s Equity ²¹

²² Assets, Liabilities, and Owner’s Equity