strayer ACCT 557 Wk 3 Quiz Chap 2 & 3 – An account consists of…

Wk 3 Quiz Chap 2 & 31. An account consists of2. Camper Van Company purchased equipment for $2,600 cash. As a result of this event,3. Which of the following statements isincorrect?4. The chart of accounts is a5. Devendra Company pays cash dividends of $600. The entry for this transaction will include a debit of $600 to6. Evidence that would not help with determining the effects of a transaction on the accounts would be a(n)7. Customarily, a trial balance is prepared8. NWA Air Charter signed a four-month note payable in the amount of $10,000 on September 1. The note requires interest at an annual rate of 9%. The amount of interest to be accrued at the end of September is9. The new bookkeeper for Atlas Manufacturing failed to make an adjusting entry to record revenue earned but not yet billed to customers. The effect of this error is to10. The difference between the cost of a depreciable asset and its related accumulated depreciation is referred to as the11. Crue Company had the following transactions during 2013:• Sales of $4,500 on account• Collected $2,000 for services to be performed in 2014• Paid $1,625 cash in salaries• Purchased airline tickets for $250 in December for a trip to take place in 2014. What is Crue’s 2013 net income using accrual accounting?12. Dinosaur Junior Corporation purchased a one-year insurance policy in January 2013 for $60,000. The insurance policy is in effect from May 2013 through April 2014. If the company neglects to make the proper year-end adjustment for the expired insurance13. The revenue recognition principle dictates that revenue be recognized in the accounting period14. Adjusting entries are required15. If an adjusting entry isnot made for an accrued expense,