Chapter 5 Quiz

Assume the use of special journals. Select the correct journal to use to record a purchase of supplies on account.
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Terms in this set (25)
Assume the use of special journals. Select the correct journal to use to record a purchase of supplies on account.
purchases
Assume the use of special journals. Select the correct journal to use to record a purchase of supplies for cash.
cash payments
Assume the use of special journals. Select the correct journal to use to record a payment of cash on account to creditors.
cash payments
Assume the use of special journals. Select the correct journal to use to record a purchase of office equipment on account.
purchases
Assume the use of special journals. Select the correct journal to use to record the receipt of cash for office supplies sold to employees at cost.
cash receipts
Assume the use of special journals. Select the correct journal to use to record the receipt of cash from a credit customer on account.
cash receipts
Assume the use of special journals. Select the correct journal to use to record providing services on account to a credit customer (issuing an invoice).
revenue
Assume the use of special journals. Select the correct journal to use to record the receipt of cash from a cash customer for fees earned.
cash receipts
Assume the use of special journals. Select the correct journal to use to record the adjusting entries at the end of the accounting cycle.
General journal
In recording 400 fees earned on account transactions during a single month, how many times will it be necessary to write Fees Earned if each transaction including fees earned is recorded individually in a two-column general journal?
400
In recording 400 fees earned on account transactions during a single month, how many times will it be necessary to write Fees Earned if each transaction for fees earned is recorded in a revenue journal?noneIn recording 400 fees earned on account transactions during a single month, how many postings to Fees Earned will occur if each transaction for fees earned is recorded in a revenue journal?1The journal in which all items purchased on account are recorded is called what?purchases journalThe journal in which all sales and services on account are recorded is called what?revenue journalThe major advantages of the use of special journals are substantial savings in record-keeping expenses and a reduction of record-keeping errors.This statement is True.The primary ledger, when used in conjunction with subsidiary ledgers, that contains all of the balance sheet and income statement accounts is called what?general ledgerThe reason that a company maintains separate accounts receivable ledgers for each customer as opposed to maintaining a single accounts receivable for all customers is that managers need to know which customers owe money, how much they owe, and how long the amount owed has been outstanding.This statement is True.The special journal in which all cash payments are recorded is called what?cash payments journalThe special journal in which all cash receipts are recorded is called what?cash receipts journalThe two-column form used for entries that do not "fit" in any of the special journals is called what?general journalWhat are journals designed to be used for recording a single type of transaction called?special journalsWhat is a ledger containing individual accounts with a common characteristic called?subsidiary ledgerWhat is the account in the general ledger that summarizes the balances of the accounts in a subsidiary ledger called?controlling accountWhat is the ledger called where the individual accounts with credit customers are arranged in alphabetical order?accounts receivable ledgerWhat is the subsidiary ledger containing the individual accounts with supplies (creditors) called?accounts payable subsidiary ledger