Ⅰ. Circle T if the statement is True, F if it is false.
1、( T )Closing entries convert nominal accounts to zero balances.
2、( F Dividend Declared is a temporary account and is closed to Retained Earnings account at the end of the accounting period.
3、( T )Purchases Returns and Allowances is recorded in the purchases journal. 4、( F )The term “prepaid” designates the seller is to remit to the freight company.
5、( F )A debit memo on a bank statement indicates an addition to the bank balance.
6、( T )CPV (Cost-volume-profit) analysis is just the same as break-even analysis.
7、( F )External reporting (i.e., financial accounting) must follow GAAP in all respects.
8、( F )Financial position can best be determined by referring to the income statement. 9、( F )If one has made a sale for which the money has not yet been received, one would debit Unearned Revenues and credit Earned Revenues.
10、( F )An decrease in accounts receivable would be deducted from Net Income in the operating activities section in the statement of cash flows that employs the indirect method.
11、( T )On a per-unit basis, fixed costs remain constant with changes in volume. 12、( F )Preparation of a worksheet helps reduce the possibility of overlooking an adjustment.
13、(F )The accrual basis of accounting often violates the matching rule.
14、( B )The owner’s withdrawals account is closed to the Income Summary account.
Ⅱ. Choose the best answer for each question and write it on Answer Sheet.
1、Which of the following accounts should appear in the post-closing trial balance? A. Supplies Expense 答案：D B. Unearned Revenue C. Depreciation Expense D. Sales
2、Sheen, Inc. has fixed costs per month of $12,000. Contribution margin is 20% of sales. What amount of monthly sales will allow the corporation to break even? A. $12,000
B. $2,400 答案：C C. $20,000 D. $60,000
3、Who (buyer or seller) would bear the freight cost and who would remit to freight company under the selling term:“F.O.B. shipping point, freight prepaid”? A. Buyer, Buyer 答案：A B. Seller, Seller
C. Buyer, Seller D. Seller, Buyer
4、Which of source documents can provide the basis for an entry in the purchaser’s accounting records?
A. Sales invoice 答案：D B. Purchase order
C. Purchase requisition D. Receiving report 5、Which of the following measures is useful as an indication of the ability of a firm to liquidate current liabilities?
A. Working capital 答案：A B. Quick ratio
C. Working capital ratio D. All of the above
6、The ratio of the quick assets to current liabilities, which indicates the “instant” debt-paying ability of a firm, is: 答案：B A. Acid-test ratio B. current ratio
C. Bankers’ ratio D. Working capital ratio
7、A measure useful in evaluating the efficiency in credit management is: A. Working capital
B. Number of days’ sales in receivables答案：C C. Number of days’ sales in inventory
D. Ratio of plant assets to long-term liabilities
8、Which of the following descriptions is not the nature of corporations? A. Separate legal entity
B. Share of stock may be bought and sold freely答案：A C. Stockholders have unlimited liability D. Double taxation
9、If X company purchased merchandise from Y company on credit, for X company the transaction would be entered in :
A. a purchases journal 答案：D B. a sales journal
C. a cash receipts journal D. a cash disbursement journal 10、Which of the following accounts can be found in the statement of owner’s equity? A. Retained Earnings 答案：A B. Dividend Declared
C. Income Summary D. Net Income
11、H company sold merchandise to K company $10,000 and then K company returned $4,000 merchandise to M company. In this transaction, a credit memo should be issued by:
A. H company B. K company
C. Bank
D. Freight company
答案：流动资产通常是按照它们的流动性或变现能力排列的 Ⅲ. Translate the following sentences into Chinese.
1、Current assets are usually listed in the order of their “liquidity” or convertibility into cash. 答案：独资、合伙和股份有限公司这三种类型的企业组织的资产负债表中的主要不同出现在业主权益部分。
2、The principal differences in the balance sheet for the three forms of business organizations——the single proprietorship, the partnership and the corporation——appear in the owners’ equity section. 答案：在日历年度或财务年度结束时，所需的调整分录就必须记入普通日记账并过入分类账户，以完成恰当的结账程序
3、At the close of the calendar or fiscal year, the necessary adjusting entries must be recorded in the general journal and posted to the ledger accounts in order to accomplish the proper closing procedures.
答案：1987年，财务会计准则委员会发布了第95号财务会计准则公告《现金流量表》，以取代第19号会计原则委员会意见书《财务状况变动报告》。
5、In 1987, The Financial Accounting Standards Board issued SFAS No.95 “Statement of Cash Flows”, which superseded APB Opinion No.19 “Reporting Changes in Financial Position”.
答案：保本分析可以按两种方法进行：一是等式法，二是单位边际利润（贡献）法。
6、Break-even analysis can be approached in two ways: First, by what is called the equation method; and second, by what is called the unit contribution method.
答案：百分比分析、比值、周转率及其他财务比率，可以反映企业的财务状况和经营成果，它们都是有用的财务指标。
7、Percentage analyses, ratios, turnovers, and other measures of financial position and operating results are useful analytical measures.
Ⅳ. Make the necessary entries according to the following requirements.
1、To reflect the sales salaries $3,000 to employees on services rendered but not paid on Jan.31 (Make adjusting entries)
Dr. Sales Salaries Expense 3,000
Cr. (Accrued) Salaries Payable 3,000
2、In 2004, withdrawal of cash $16,000 by owner: Conway (Make closing entries) Dr. Conway, Capital 16,000
Cr. Conway, Drawing 16,000
3、(1) On Mar. 2, Gecko Company purchased goods from Hadley Co. with a list $6,000, but Gecko was entitled to a 10% trade discount; term 2/10,n/30, F.O.B. destination, freight collect. Gecko Company Paid freight on shipment from Hadley Co., $360. (1) Mar. 2:
Dr. Purchases 5,400[=6,000×(1-10%)]
Cr. Accounts Payable--Hadley Co. 5,400
Dr. Accounts Payable--Hadley Co. 360 Cr. Cash 360
(2) On Mar. 9, Gecko Company received a credit memo of $400 from Hadley Co. as an adjustment of the prices charged for the merchandise purchased on Mar. 2. (2) Mar. 9:
Dr. Accounts Payable--Hadley Co. 400
Cr. Purchases Returns and Allowances 400
(3) On Mar. 10, Gecko Company paid Hadley Co. the amount due.
（Record the transactions for Gecko Company in general journal entry form） (3) Mar.10:
Dr. Accounts Payable--Hadley Co. 4,640 [=5,400-360-400] Cr. Cash 4,540 Purchases Discounts 100 [=(5,400-400)×2%]
