A statement that shows the updated balances of all general ledger accounts is called an/a?

a.) balance sheet
b) income summary
c.) trial balance
d) adjusted trial balance

Which of the following statements is incorrect concerning an adjusted trial balance? a. An adjusted trial balance lists account balances and their locations in the ledger. b. An adjusted trial balance shows proper balance sheet and income statement amounts. c. An adjusted trial balance is prepared before the adjusting entries have been journalized and posted. d. An adjusted trial balance can be used to prepare the financial statements. e. All of the above are true statements.

How do the adjusted trial balance and the post-closing trial balance differ? Which accounts are shown in the adjusted trial balance but not in the post-closing trial balance? Which account is shown in both trial balances but with a different balance on each?

Do adjusting entries affect income statement accounts, balance sheet accounts, or both? Explain.

Which of the following statements is false?

a. Adjusting entries are necessary because timing differences exist between when a revenue or expense is recognized and cash is received or paid.

b. Adjusting entries always affect at least one revenue or expense account and one asset or liability account.

c. The cash account will always be affected by adjusting journal entries.

d. Adjusting entries can be classified as either accruals or deferrals.

The controller of the Javier Company is preparing the budget for 2018 and needs to estimate a cost function for delivery costs. Information regarding delivery costs incurred in the prior two months are:

$$\begin{matrix} \text{Month} & \text{Miles Driven} & \text{Delivery Costs}\\ \text{August} & \text{12,000} & \text{\$10,000}\\ \text{September} & \text{17,000} & \text{\$13,000}\\ \end{matrix}$$

1. Estimate the cost function for delivery. 2. Can the constant in the cost function be used as an estimate of fixed delivery cost per month? Explain.

Adjusting entries will
a. Affect only income statement accounts.
b. Affect only balance sheet accounts.
c. Affect both income statement and balance sheet accounts.
d. Affect only cash flow statement accounts.
e. Affect only equity accounts.

If a building is appraised for $85,000, offered for sale at$90,000, and the buyer pays $80,000 cash for it, the buyer would record the building at$85,000. True False

A company sells 10,000 shares of previously authorized stock at the par value of $10 per share. What's the correct entry to record the transaction?

a. Debit cash$10,000, credit capital stock $10,000

b. Debit capital stock$100,000, credit cash $100,000

c. Debit cash$100,000, credit capital stock $100,000

d. Debit cash$100,000, credit treasury stock $100,000

e. Debit cash$10, credit capital stock $10

Are revenue accounts increased on the debit side or credit side?

On October 1, a client pays a company the full $12,000 balance of a year long contract. Using the Accrual method, what's the unearned revenue as of December31?

A company started the year with $10,000 of inventory. Purchases for resale during the year were$20,000. Inventory on December 31 is $5,000. What's the cost of goods sold?

A.$5,000

B. $10,000

C.$25,000

D. $30,000

E.$35,000

Valley Company’s adjusted trial balance on August 31, 2017, its fiscal year-end, follows.

$$\begin{matrix} & \text{Debit} & \text{Credit}\\ \text{Merchandise inventory } \ldots\ldots\ldots & \text{\$41,000}\\ \text{Other (noninventory) assets} \ldots\ldots\ldots & \text{130,400}\\ \text{Total liabilities} \ldots\ldots\ldots & \quad & \text{\$ 25,000}\\ \text{Common stock}\ldots\ldots\ldots & \quad & \text{10,000}\\ \text{Retained earnings } \ldots\ldots\ldots & \quad & \text{94,550}\\ \text{Dividends} \ldots\ldots\ldots & \text{8,000}\\ \text{Sales} \ldots\ldots\ldots & \quad & \text{225,600}\\ \text{Sales discounts } \ldots\ldots\ldots & \text{2,250}\\ \text{Sales returns and allowances} \ldots\ldots\ldots & \text{12,000}\\ \text{Cost of goods sold} \ldots\ldots\ldots & \text{74,500}\\ \text{Sales salaries expense} \ldots\ldots\ldots & \text{32,000}\\ \text{Rent expense—Selling space} \ldots\ldots\ldots & \text{8,000}\\ \text{Store supplies expense}\ldots\ldots\ldots & \text{1,500}\\ \text{Advertising expense} \ldots\ldots\ldots & \text{13,000}\\ \text{Office salaries expense} \ldots\ldots\ldots & \text{28,500}\\ \text{Rent expense—Office space } \ldots\ldots\ldots & \text{3,600}\\ \text{Office supplies expense} \ldots\ldots\ldots & \text{400}\\ \text{Totals} \ldots\ldots\ldots & \text{\$355,150} & \text{\$355,150}\\ \end{matrix}$$

On August 31, 2016, merchandise inventory was $25,400. Supplementary records of merchandising activities for the year ended August 31, 2017, reveal the following itemized costs.$

$$\begin{matrix} \text{Invoice cost of merchandise purchases } \ldots\ldots\ldots & \text{\$92,000}\\ \text{Purchases discounts received} \ldots\ldots\ldots & \text{2,000}\\ \text{Purchases returns and allowances} \ldots\ldots\ldots & \text{4,500}\\ \text{Costs of transportation-in} \ldots\ldots\ldots & \text{4,600}\\ \end{matrix}$$

$ 1. Compute the company’s net sales for the year. 2. Compute the company’s total cost of merchandise purchased for the year. 3. Prepare a multiple-step income statement that includes separate categories for net sales, cost of goods sold, selling expenses, and general and administrative expenses. 4. Prepare a single-step income statement that includes these expense categories: cost of goods sold, selling expenses, and general and administrative expenses.

The following error took place in journalizing and posting the transaction.

b. A withdrawal of $14,000 by Ron Sutin, owner of the business, was recorded as a debit to Wages Expense and a credit to Cash.

Journalize the entry to correct the error. Omit explanations.