141. Statements that show the effects of proposed transactions as if the transactions had already occurred are called: A. Pro forma statements B. Professional statements C. Simplified statements...

141. Statements that show the effects of proposed transactions as if the transactions had already occurred are called:

A. Pro forma statements

B. Professional statements

C. Simplified statements

D. Temporary statements

E. Interim statements

142. The following items appeared on a company's December 31 work sheet for the current period. Based on the following information, what is net income for the current period?

A. $1,400

B. $1,855

C. $1,905

D. $2,060

E. $4,670

143. Which of the following errors would cause the Balance Sheet columns of a work sheet to be out of balance?

A. Entering an asset amount in the Income Statement Debit column.

B. Entering a liability amount in the Income Statement Credit column.

C. Entering an expense amount in the Balance Sheet Debit column.

D. Entering a revenue amount in the Balance Sheet Debit column.

E. Entering a liability amount in the Balance Sheet Credit column.

144. The Unadjusted Trial Balance columns of a work sheet total $84,000. The Adjustments columns contain entries for the following:

Office supplies used during the period, $1,200.

Expiration of prepaid rent, $700.

Accrued salaries expense, $500.

Depreciation expense, $800.

Accrued service fees receivable, $400.

The Adjusted Trial Balance columns total is:

A. $80,400

B. $84,000

C. $85,700

D. $85,900

E. $87,600

145. On January 1, Able Company purchased equipment costing $135,000 with an estimated salvage value of $10,500, and an estimated useful life of five years. Using the straight-line method, what is the amount that should be recorded as depreciation on December 31?

1. 
   $27,000
   


2. 
   $24,900
   


3. 
   $29,100
   


4. 
   $135,000
   


5. 
   $10,500
   

146. A company had service revenue of $250,000, rent expense of $10,000, utility expense of $3,500, salary expense of $18,500, depreciation expense of $9,000, advertising expense of $4,500, dividends in the amount of $18,000, and a beginning balance in retained earnings of $17,900. What is the balance in the income summary account before it is closed for the period?

1. 
   $250,000
   


2. 
   $45,500
   


3. 
   $204,500
   


4. 
   $222,400
   


5. 
   $232,100
   

147. A company had revenue of $550,000, rent expense of $100,000, utility expense of $10,000, salary expense of $125,500, depreciation expense of $39,000, advertising expense of $40,200, dividends in the amount of $183,000, and an ending balance in retained earnings of $402,300. What is the beginning retained earnings for the period?

1. 
   $250,000
   


2. 
   $235,300
   


3. 
   $314,700
   


4. 
   $367,000
   


5. 
   $350,000
   

148. A company had revenue of $550,000, rent expense of $100,000, utility expense of $10,000, salary expense of $125,500, depreciation expense of $39,000, advertising expense of $40,200, dividends in the amount of $183,000, and an ending balance in retained earnings of $402,300. What is the appropriate journal entry to close income summary?

1. 
   Income Summary…………….$235,300
   

Retained Earnings………………..$235,300

1. 
   Retained Earnings……………$235,300
   

Income Summary………………..$235,300

1. 
   Income Summary…………….$52,300
   

Retained Earnings………………..$52,300.

1. 
   Retained Earnings…………….$52,300
   

Income Summary………………...$52,300

1. 
   Income Summary……………...$314,700
   

Retained Earnings…………………$314,700

149. Based on the following information, what would be the total on the Credit side of a post- closing trial balance, assuming all accounts have a normal balance?

1. 
   $61,516
   


2. 
   $74,671
   


3. 
   $74,800
   


4. 
   $87,955
   


5. 
   $81,263
   

150. Based on the following information, what would be the balance in the Retained Earnings Account, assuming all accounts have a normal balance?

1. 
   $0
   


2. 
   $13,718
   


3. 
   $13,155
   


4. 
   $13,284
   


5. 
   $2,563
   

151. Based on the following information, what would be the ending balance in the Retained Earnings account, assuming all accounts have a normal balance?

1. 
   $15,847
   


2. 
   $13,718
   


3. 
   $13,155
   


4. 
   $13,284
   


5. 
   $13,847
   

152. Based on the following information, determine the current ratio, assuming all accounts have a normal balance?

1. 
   1.23
   


2. 
   3.58
   


3. 
   11.57
   


4. 
   12.3
   


5. 
   1.57
   

153. Based on the following information, determine the current assets, assuming all accounts have a normal balance?

1. 
   $74,800
   


2. 
   $37,647
   


3. 
   $60,265
   


4. 
   $23,112
   


5. 
   $60,953