ACCT 220 Quiz 2 Latest
Click Link Below To Buy:
Question 1 (4 points) Question 1 Unsaved
One advantage to using a perpetual inventory system is that the company never has to physically count the inventory.
Question 1 options:
Question 2 (4 points) Question 2 Unsaved
The weighted-average inventory method will likely result in neither the highest nor the lowest ending inventory.
Question 2 options:
Question 3 (4 points) Question 3 Unsaved
When calculating accounts receivable turnover, a company would prefer a higher number rather than a lower number (within reason)
Question 3 options:
Question 4 (4 points) Question 4 Unsaved
When performing a bank reconciliation, checks outstanding are added back to the bank balance.
Question 4 options:
Question 5 (4 points) Question 5 Unsaved
Usually the quick ratio will be a lower number than the current ratio.
Question 5 options:
Select the best answer for each of the following questions.
Question 6 (4 points) Question 6 Unsaved
The bad-debt method that uses the accounts receivable aging report is _______________.
Question 6 options
the direct write-off method
the percentage-of-sales method
the bad-debt expense method
the percentage-of-receivables method
Question 7 (4 points) Question 7 Unsaved
When it is determined that too much money has been set aside for uncollectible accounts, we will _______________.
Question 7 options:
credit reserve for uncollectible account
debit accounts receivable
debit reserve for uncollectible accounts
Question 8 (4 points) Question 8 Unsaved
A customer whose account was previously written off unexpectedly pays us. If we are using the allowance method we would _______________
Question 8 options:
debit cash and credit bad-debt expense
debit bad-debt expense and credit cash
debit accounts receivable and credit...