ACCOUNTING 1 REVIEW QUIZ

NAME: SCORE:

YEAR & COURSE: DATE:

I. Determine the normal side of each given account title. Write the answer on your answer sheet.
1. Salary Expense –
2. Fees Earned –
3. Cash –
4. Furniture & Fixtures –
5. Accounts Payable –
6. Owner’s Drawing –
7. Owner’s Capital –
8. Supplies Expense –
9. Loans Payable –
10. Service Income –
11. Assets –
12. Revenues –
13. Expenses –
14. Owner’s equity –
15. Liabilities –

II. Analyze the transactions and provide the debit account title and credit account title. (2pts.each)
1. Used supplies for the month, P 4,500.
2. Purchased computer for cash P 34,500.
3. Customers paid for services rendered, P 12,000.
4. Bought supplies worth 16,000, paid 8,000 and balance on account.
5. Paid salaries for employee, P 20,000.

I. Provide the Trial Balance of JM Luna Law Office for the month of September at current year. (25pts.each)

ACCOUNTS PAYABLE P 4,500.00

CASH 24,350.00
JM LUNA, CAPITAL 37,800.00
SUPPLIES EXPENSE 550.00
UTILITIES EXPENSE 1,350.00
FEES EARNED 17,800.00
JM LUNA, DRAWING 4,800.00
OFFICE EQUIPMENT 18,300.00
SALARY EXPENSE 3,000.00
RENT EXPENSE 7,750.00
 ACCOUNTING 2 REVIEW QUIZ

NAME: SCORE:

YEAR & COURSE: DATE:

I. IDENITIFICATION.
Identify the following if it represent a) Prepaid Expense; b) Accrued Expense; c) Unearned Revenue; d) Accrued
Revenue.
1. Fees received but not yet earned.
2. Unused supplies.
3. Light and water bill owed but not yet paid.
4. Interest earned on note receivable but not yet received.
5. Unexpired insurance paid in advance.
6. Fees earned but not yet billed and collected.
7. Salary owed but not yet paid.
8. Taxes owed but payable the following year.
9. Subscriptions received in advance by a magazine publisher.
10. Advertising paid during the year but applicable next year.

II. TRUE OR FALSE. Write correct if the statement is true, otherwise, false. (2pts.each)
1. Prepaid expenses are expenses that are incurred and owed but not yet paid.
2. Depreciation expense is the portion of a plant asset’s cost that is charged to expense, or written off, each year.
3. Unearned revenues are revenues that are received and already earned.
4. Deferral is a delay on recognizing revenue for cash already received or an expense for a bill already paid.
5. Depreciation is the increase in usefulness of a fixed asset or plant asset over time or how it is used.

II. ADJUSTING ENTRY:

Provide an adjusting entry for the following. (5pts.each)
1. The balance of the supplies on hand account before adjustment at the end of the accounting period was
P 3,650. An inventory of the supplies on hand at the end of the accounting period amounted to P 1,750.
2. Rent for the month is still unpaid. P 4,000.
 ACCOUNTING 1 REVIEW QUIZ

NAME: _______________________________ SCORE & AVERAGE: ____________

YEAR & COURSE: ________________________ DATE: ___________

I. MULTIPLE CHOICES. Analyze the statement/s carefully and choose your answer in the box below.
(2pts.each)
1. Type of business that provides quality service to customer.

2. Types of ownership that requires only one owner.

3. Accounting elements that refers to a business properties.

4. This government sector secures the two types of ownership.

5. Ownership that composed of stock or shareholders in order to create another form of business.

6. Accounts Payable is one of the account title of what element?

7. An individual who lends money or sells services or goods to be collected in the future.

8. It is the business obligation owes to other business.

9. This business is owned by two or more individuals who contribute, money, property, and talent.

10. A business which buys and sells goods or merchandise.

11. This is the inflows of assets resulting from goods sold or services rendered.

12. Corporation is managed by ________.

13. The outflows of assets resulting to cash spent or incurred expenses.

14. An economic system use to provide quantitative information especially financial in nature.

15. Cash is an account title of what element?

ACCOUNTING EXPENSE CORPORATION REVENUE

BOARD OF DIRECTORS ASSET CREDITOR LIABILITIES

SEC BIR DEBTOR DEBIT

CREDIT SERVICE BUSINESS MANUFACTURING

MERCHANDISING BUSINESS OWNER’S EQUITY

ACCOUNTING EQUATION.

Fill in the missing amount of the equation provided.

1. Paul Hardin has a barber shop. As of July 31, Hardin owned the following business related property:
Cash P 13,500 Shop Supplies P 3,500
Shop Equipment 92,000 Fixtures 48,000

On the same date, Hardin owed business creditors as follows:

Barbers Equipment Co. P 32,000
Ace Fixtures Co. 18,000
a. On the basis of the above data, fill in the following blanks in the accounting equation.

Assets _____________ = Liabilities___________ + Owner’s Equity _____________

b. Assuming that during the month of August, assets increased by P 3,500 and liabilities increased by
P 5,100. Complete the accounting equation.

Assets _____________ = Liabilities___________ + Owner’s Equity _____________

c. Assuming that during the month of September, assets decreased by P 2,500 and liabilities decreased
by P 2,800. Complete the equation.

Assets _____________ = Liabilities___________ + Owner’s Equity _____________

2. Anna Sales has a beauty shop. As of January 31, Hardin owned the following business related property:
Cash P 8,500 Beauty Supplies P 4,500
Shop Equipment 68,000 Building 300,000

On the same date, Hardin owed business creditors P 18,000.

a. On the basis of the above data, fill in the blanks in the accounting equation.

Assets _____________ = Liabilities___________ + Owner’s Equity _____________

b. Assuming that during the month of February, assets increased by P 4,500 and liabilities increased by
P 2,500. Complete the equation.

Assets _____________ = Liabilities___________ + Owner’s Equity _____________

 ACCOUNTING 2 REVIEW QUIZ

NAME: SCORE:

YEAR & COURSE: DATE:

I. IDENITIFICATION.
1. Good bought for resale.

2. Refers to merchandise acquired for resale.

3. Is a discount taken by the buyer for early payment.

4. Is the period of time within which an invoice must be paid if a discount is to be taken.

5. This represents the transportation costs of merchandise purchased by the business.

6. A tax imposed by the government.

7. A written request that certain item(s) be ordered.

8. A special discount from the published list prices offered to large buyers.

9. Is the amount of time in which the buyer is allowed to pay.

10. Is the term when payments for the merchandise are to be made as agreed on by the seller and the buyer.

Sales Transportation In Credit Period Purchase Returns & Allowances

Purchases Purchase Invoice Discount Period Purchase Order
Goods Purchase Requisition Cash or COD Periodic Inventory
Merchandise Sales Discount Credit Term Perpetual Inventory
Gross Profit Purchase Discount VAT
Net Income Trade Discount Sales Return & Allowances

II. Explain the following terms.

1. 2/10, n/30
2. 2/EOM, n/60
3. 2/EOM/10, n/60
4. What is the formula of generating net income in merchandising
 II. Determine the account titles affected of each transactions. Refer your answer from the chart of accounts
given below. (2pts.each)

The following selected transactions were completed by Metro Merchandising Company during June of the
current year.

Transactions DEBIT CREDIT

1 Sarah Avalos made an initial cash investment of P100,000.

3 Purchased P14,000 worth of merchandise on cash.

4 Bought office furniture worth P 30,000 on account.

6 Purchased merchandise on account worth P 10,000. Terms: 1/10,
n/30
7 Sold merchandise worth of P 5,000 on cash.

8 Paid laborer P 8,500.

11 Paid freight charge for merchandise purchased, P 300.

12 Paid rent for the month P 12,500.

14 Sold merchandise on account, P 10,000

15 Paid creditor on June 6 less the discount.

METRO MERCHANDISING COMPANY

CHART OF ACCOUNTS
JUNE, 20CY

CASH PURCHASES
ACCOUNTS RECEIVABLE PURCHASE RETURNS & ALLOWANCES
OFFICE SUPPLIES PURCHASE DISCOUNT
OFFICE EQUIPMENT FREIGHT IN
MERCHANDISE INVENTORY ADVERTISING EXPENSE
ACCOUNTS PAYABLE FREIGHT OUT
NOTES PAYABLE UTILITIES EXPENSE
SARAH AVALOS, CAPITAL SALARY EXPENSE
SARAH AVALOS, DRAWING RENT EXPENSE
SALES INCOME SUMMARY
SALES RETURN & ALLOWANCES
SALES DISCOUNT