2. ACCOUNTING REVIEW ACCOUNTING JEOPARDY DOCSEDA

3. Debit/CreditAdjustments Income Statement Balance SheetStatement of Equity 100 200 300 400 500

4. Debit/Credit 100 BOUGHT MERCHANDISE ON ACCOUNT FROM HOME DEPOT. A: What is a debit to Purchases or Merchandise Inventory and credit to Accounts Payable/Home Depot ? Docseda

5. Debit/Credit 200 A: What is a debit to Accounts Receivable and credit to Sales Return and Allowances? CUSTOMER RETURNED $200 OF MERCHANDISE FOR CREDIT. Docseda

6. Debit/Credit 300 A: What is a debit to Allowance for Doubtful Accounts and credit to Accounts Receivable ? WROTE OFF CUSTOMERS $4,000 ACCOUNT AS UNCOLLECTIBLE UNDER ALLOWANCE METHOD. Docseda

7. Debit/Credit 400 A: What is a debit Cash for $490, Sales Dsicounts for $10 and credit Accounts Receivable for $500? Collected a $500 account from customer within 2% discount period. Docseda

8. Debit/Credit 500 A: What is a debit to Cash for $6,009.50 [6060-(6060MV*.10*30/360)] and credits to Notes Receivable for $6,000 and Interest Income for $9.50? On 5/1/03, discounted a 6% 60 day note dated 4/1/03 at banks rate of 10%. Docseda

9. A: What is debit to Accounts Receivable and credit to Cash for $25? This journal entry represents adjustment to cash based on Trial Balance as of 12/31/03 and additional information shown below: Docseda Adjustments 100

10. Adjustments 200 A: What is debit to Bad Debts Expense and credit to Allowance for Doubtful Accounts for $2? This journal entry represents Bad Debts Expense adjustment based on Trial Balance as of 12/31/03 and additional information shown below: Docseda

11. Adjustments 300 A: What is debit to Interest Receivable and credit to Interest Revenue for $1? This journal entry represents accrued revenue adjustment based on Trial Balance as of 12/31/03 and additional information shown below: Docseda

12. Adjustments 400 A: What is debit to Interest Expense and credit to Interest Payable for $5? This journal entry represents accrued expense adjustment based on Trial Balance as of 12/31/03 and additional information shown below: Docseda

13. Adjustments 500 A: What is debit to Income Summary and credit to Merchandise Inventory for $10? This journal entry represents inventory adjustment based on Trial Balance as of 12/31/03 and additional information shown below: Docseda

14. Income Statement 100 A: What is $490? This amount represents Net Sales based on 12/3103 Worksheet shown below: Docseda

15. Income Statement 200 A: What is $104? This amount represents Net Income based on 12/31/03 Worksheet shown below: Docseda

16. Income Statement 300 A: What is $226 [22+200+16-12]? This amount represents Cost of Goods Sold based on Worksheet shown below: Docseda

17. Income Statement 400 A: What is $119 [104(NI)+15(Income Tax Expense)]? This amount represents Net Income Before Taxes based on Worksheet shown below: Docseda

18. Income Statement 500 A: What is debit to Income Summary and credit to Retained Earnings for $104? This entry closes income summary account based on Worksheet shown below: Docseda

19. Balance Sheet 100 A: What is $122 [3+61-5+50+12+1]? Docseda This amount represents Total Current Assets based on Worksheet shown below:

20. Balance Sheet 200 A: What is $30,000[Assets=Liabilities+Equity]? Docseda IF LIABILITIES EQUAL $18,000 AND STOCKHOLDERS EQUITY EQUALS $12,000 THEN ASSETS EQUAL THIS AMOUNT.

21. Balance Sheet 300 A: What is Property Plant and Equipment Category (as a contra-asset)? This category is used to classify Accumulated Depreciation-Equipment on Balance Sheet. Docseda

22. Balance Sheet 400 A: What is $678 [12/31/03 BV of $630-Dep.of $48]? Assuming S/L Dep, this amount represents book value of Equip.on 1/1/03 based on Worksheet: Docseda

23. Balance Sheet 500 A: What is $431 [246(CS)+96(R/E Beg.Bal)+104(NI)-15 (Div)]? This amount represents business worth of co. shown below: Docseda

24. Statement of Equity 100 A: What is Assets – Liabilities = Equity (Accounting Equation)? A – L = E Docseda

25. Statement of Equity 200 A: What is Beginning Capital Stock Balance + Stockholder Investments + Beginning R/E Balance – Dividends + Net Income – Net Loss? This detailed formula represents the standard formula used to determine total stockholders equity on the Statement of Stockholders Equity. Docseda

26. Statement of Equity 300 A: What is $431 [246(CS)+96(R/E Beg.Bal)+104(NI)-15(Dividends)]? This amount represents Total Stockholders Equity for company shown below: Docseda

27. Statement of Equity 400 A: What is Contra-Equity account? This account category is used to classify Dividends with a normal debit balance Docseda

28. Statement of Equity 500 A: What is 41shares [246(CS) / $6PV]? Docseda Assuming common stock was issued at $6 par value, this amount represents amount of shares outstanding based on worksheet shown below: