Fisancial Chapter 7 Quiz Name TRUEFALSE 1) The sales journals of companies using
ID: 2571582 • Letter: F
Question
Fisancial Chapter 7 Quiz Name TRUEFALSE 1) The sales journals of companies using the perpetual and periodic inventory systems differ in that under the perpetual system a column is used to record cost of goods sold and inventory amounts for each sale but not the periodic system 1) 2) The purchases journal is typically used to record only purchases of inventory.2_ 3) A trial balance is completed after posting but before proving the subsidiary ledger by preparing a schedule of the controlling account. 3) s) Posting debits from the Sales journal to Accounts Receivable twice-once to the general ledger account Accounts Receivable and once to the customers subsidiary accountviolates the accounting equation equal credits. 4) of debits 5) A company using the perpetual inventory system records the increase in cost of goods sold and decrease isn inventory at the time ofeach sale in the sales journal. 5) 6) If the total balance of the accounts payable ledger equals the total of the controlling Accounts Payable account, then the accounts are presumed to be correct. 6) 7) A schedule of accounts receivable is a listing of all customer accounts and account balances. ) 8) Account balances in the general ledger and the subsidiary ledgers should be proved for accuracy after posting is complete. 8 21 Three transactions that would be recorded in the sales journal are: (1) recording sales taxes (2) recording sales 9) returns and allowances and (3) recording purchases discounts 10) Control, competency, compatibility, flexibility and cost-benefit are the five basic principles of accountingExplanation / Answer
Answer:
1.True.In periodic merchandise inventory is evaluated at the end of fiscal perios unlike perpetual
2.True.
3.True.First trial balnce is prepared and then subsidary ledgers are tested.
4.False
5.True.
6.True.
7.True.
8.True.
9.False.Purchase discounts are not part of sales journal
10.False
Related Questions
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.