Question 1

Which of the following lists of items is used to compute the cost of goods available for sale?

Accepted Answer

A)   Delivered cost of purchases and beginning inventory
B)   Sales, beginning inventory, and ending inventory
C)   Net sales, beginning inventory, and ending inventory
D)   Gross profit, beginning inventory, and ending inventory
E)   Beginning inventory and ending inventoryF) A) and B)
G) C) and D)

Question 2

The adjusting entry for supplies on hand is always reversed.

Accepted Answer

A) True 
 B)False

Question 3

Long-Term Liabilities are usually listed in the order of their expected payment.

Accepted Answer

A) True 
 B)False

Question 4

The Interest Income account is classified as Other Income on the income statement.

Accepted Answer

A) True 
 B)False

Question 5

What would be an appropriate account number for Cash?

Accepted Answer

A)   11
B)   21
C)   31
D)   41E) A) and C)
F) A) and B)

Question 6

On an income statement, net sales minus cost of goods sold equals

Accepted Answer

A)   delivered cost of purchases.
B)   cost of goods available for sale.
C)   net income.
D)   gross profit.
E)   beginning inventory.F) All of the above
G) C) and E)

Question 7

Operating Expenses consist of

Accepted Answer

A)   Interest Expense and General Expenses.
B)   Selling Expenses and Cost of Goods Sold.
C)   Interest Expense and Selling Expenses.
D)   General Expenses and Selling Expenses.
E)   Interest Expense and Cost of Goods Sold.F) B) and E)
G) B) and C)

Question 8

Net sales of Thomas Company is $180,600, cost of goods sold is $144,400, selling expenses are $15,200, general expenses are $22,600, and interest expense is $1,500. Which of the following is the net income (loss)  of Thomas Company?

Accepted Answer

A)   $3,100
B)   $36,200
C)   $(1,600) 
D)   $13,600
E)   $(3,100) F) B) and E)
G) None of the above

Exam 12: Financial Statements, Closing Entries, and Reversing Entries

Which of the following lists of items is used to compute the cost of goods available for sale?

Correct Answer
verified

On an income statement, net sales minus cost of goods sold equals

Correct Answer
verified

Long-Term Liabilities are usually listed in the order of their expected payment.

Correct Answer
verified

The adjusting entry for supplies on hand is always reversed.

Correct Answer
verified

The Interest Income account is classified as Other Income on the income statement.

Correct Answer
verified

Operating Expenses consist of

Correct Answer
verified

What would be an appropriate account number for Cash?

Correct Answer
verified

Net sales of Thomas Company is $180,600, cost of goods sold is $144,400, selling expenses are $15,200, general expenses are $22,600, and interest expense is $1,500. Which of the following is the net income (loss) of Thomas Company?

Correct Answer
verified

Exam 12: Financial Statements, Closing Entries, and Reversing Entries

Which of the following lists of items is used to compute the cost of goods available for sale?

Correct AnswerverifiedShow Answer

On an income statement, net sales minus cost of goods sold equals

Correct AnswerverifiedShow Answer

Long-Term Liabilities are usually listed in the order of their expected payment.

Correct AnswerverifiedShow Answer

The adjusting entry for supplies on hand is always reversed.

Correct AnswerverifiedShow Answer

The Interest Income account is classified as Other Income on the income statement.

Correct AnswerverifiedShow Answer

Operating Expenses consist of

Correct AnswerverifiedShow Answer

What would be an appropriate account number for Cash?

Correct AnswerverifiedShow Answer

Net sales of Thomas Company is $180,600, cost of goods sold is $144,400, selling expenses are $15,200, general expenses are $22,600, and interest expense is $1,500. Which of the following is the net income (loss) of Thomas Company?

Correct AnswerverifiedShow Answer

Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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