1. Debit Credit Review Questions
Accounting 30S
Debit Credit Review Questions

2. The balance in this type of account will be closed at the end of the accounting year so that the account will begin the following year with a zero balance

3. Income statement account
Temporary account Or
Nominal account
Income statement account

4. assets = liabilities + owner’s equity

5. Accounting equation

6. Two of these records are involved in every business transaction

7. account

8. This general ledger account’s credit balance reports a retailer’s main operating revenues for the account year

9. Sales

10. This accounting method reports revenues when they are earned and expenses when they occur

11. Accrual method

12. The balance in this type of account will be carried forward from the end of an accounting year to the beginning of the next accounting year

13. Permanent Or Real or Balance Sheet

14. This internal report lists the balances in each of the general ledger account in either a debit or credit column for the purpose of showing that accounts have debits equal to credits

15. Trial balance

16. This type of liability account is expected to have a debit balance
This type of liability account is expected to have a debit balance. An example is HST Recoverable

17. Contra liability

18. Accounting system that requires that every business transaction will involve two or more accounts and that the debit amounts will have the same total as the credit amounts

19. Double entry

20. This journal shows the account debited and the account credit and their amounts

21. General journal

22. In a manual system this is the recording of amounts from a journal into the general ledger

23. posting

24. This type of account is credited when an asset is sold for more than its book value

25. Gain (revenue)

26. The accounts that are debited when they are used up in the process of earning revenues

27. expense

28. The left side of an account and the normal balance for asset, expense and loss accounts

29. debit

30. Account debited when an asset is sold for less than its book value

31. loss

32. The accounts credited when they are earned through the sale of goods or services

33. revenue

34. Right side of an account and the normal balance for liability, equity, revenue and gain accounts

35. credit

36. Account debited when the owner withdraws business cash (or other assets) for person use. At the end of the accounting year, the balance is transferred to the owner’s capital account

37. Owner’s drawing

38. Journal entry to accrue or defer amounts prior to preparing a company’s financial statement

39. Adjusting entry

40. In manual accounting systems this is defined as the book of original entry

41. This type of entry has more than one account that is debited and/or more than one account that is credited.

42. Compound journal entry

43. This list of the general ledger accounts does not include the account balances

44. Chart of accounts

45. This includes both a debit amount and a credit amount that will be posted to the general ledger accounts

46. Journal entry

47. These entries transfer the end-of-the-year balances from the income statement accounts to the income summary account. These will result in the income statement accounts beginning each accounting year with a zero balance

48. Closing entries