财务会计英语-练习及答案ch02.docVIP

CHAPTER2

ANALYZINGTRANSACTIONS

Chapter2—AnalyzingTransactions

TRUE/FALSE

1. Accountsarerecordsofincreasesanddecreasesinindividualfinancialstatementitems.

ANS: T DIF: 1 OBJ: 01

2. Agroupofrelatedaccountsthatmakeupacompleteunitiscalledatrialbalance.

ANS: F DIF: 1 OBJ: 01

3. Achartofaccountsisalistingofaccountsthatmakeupthejournal.

ANS: F DIF: 1 OBJ: 01

4. Thechartofaccountsshouldbethesameforeachbusiness.

ANS: F DIF: 2 OBJ: 01

5. Accountspayableareaccountsthatyouexpectwillbepaidtoyou.

ANS: F DIF: 2 OBJ: 01

6. Consuminggoodsandservicesintheprocessofgeneratingrevenuesresultsinexpenses.

ANS: T DIF: 1 OBJ: 01

7. Prepaidexpensesareanexampleofanexpense.

ANS: F DIF: 2 OBJ: 01

8. UnearnedRevenuesareanexampleofaliability.

ANS: T DIF: 2 OBJ: 01

9. Drawingsareanexampleofanexpense.

ANS: F DIF: 2 OBJ: 01

10. Accountsintheledgerareusuallymaintainedinalphabeticalorder.

ANS: F DIF: 2 OBJ: 01

11. Dependingontheaccounttitle,therightsideoftheaccountisreferredtoasthecreditside.

ANS: F DIF: 2 OBJ: 02

12. Todeterminethebalanceinanaccount,alwayssubtractcreditsfromdebits.

ANS: F DIF: 1 OBJ: 02

13. Unlessthetransactioniscompound,thedollaramountofthedebitsforeachtransactionisequaltothedollaramountofthecreditsforthattransaction,andthusthetermdouble-entrybookkeeping..

ANS: F DIF: 3 OBJ: 03

14. Thedouble-entryaccountingsystemrecordseachtransactiontwice.

ANS: F DIF: 1 OBJ: 03

15. Theincreasesideofallaccountsisthenormalbalance.

ANS: T DIF: 2 OBJ: 03

16. Thejournalisthebookoforiginalentry.

ANS: T DIF: 1 OBJ: 03

17. Theprocessofrecordingatransactioninthejournaliscalledjournalizing.

ANS: T DIF: 1 OBJ: 03

18. Journalizingistheprocessofenteringamountsintheledger.

ANS: F DIF: 1 OBJ: 03

19. Transactionsarelistedinthejournalchronologically.

ANS: T DIF: 1 OBJ: 03

20. Journaliz