1. $1,000 worth of supplies are purchased on account. What is the Journal Entry to be posted?

2. What type of people does the Accounts Payable interface with most often?

3. Why would a company choose to invoice weekly rather than monthly?

4. What is Accounts Payable aging report?

5. What is the difference between Accounts Payable and Accounts Receivable?

6. A Trial Balance is a list of all accounts and their ending balances. Place the following accounts in the order they would appear on a properly prepared Trial Balance: Sales Revenue, Accounts Payable, Land and Rent Expense.

7. How will you track the deposits that clients pay to the vendors?

8. When clients have customers who are also vendors, what is the best way to offset Accounts Payable against Accounts Receivable?

9. Where do you record the payment terms for the money that a client owes to a vendor?

10. From the Accounts Payable point of view, what are the main problems that arise between Accounts Payable and Purchasing?

11. Accounts Payable is _________.

12. An Invoice statement is provided __________________

13. Why are per diem's used in lieu of having employees detail all actual spending for meals?

14. Which of the following is not an important step before approving a payment?

15. What is the last date for filing claims for VAT refunds in all countries?

16. Using the following information, compute total liabilities. Notes Receivable $30,000, Accounts Payable $20,000, Wages Payable $8,000 and Rent Expenses $40,000.

17. Recording expenditure made, but not yet paid, to a vendor is an example of:

18. Excess payment made to the supplier will appear as a _____..

19. What is Accounts Payable Turnover Ratio?

20. If a prepaid expense is expiring (the final month is expensed), and the company has not received an invoice for the upcoming prepaid period, the accounting should:

21. Under which head does VAT reflect in the Balance Sheet?

22. Under which head does VAT reflect in the Balance Sheet?

23. What is the standard sales tax rate used?

24. What should be submitted to the VAT authorities to obtain a refund of VAT?

25. On December 31, 2007, Deal Inc. failed to accrue the December 2007 sales salaries that were payable on January 6,2008. What will be the effect of the failure to accrue sales salaries on the working capital and cash flows from operating activities in Deal's 2007 financial statements? Working Capital Cash Flows from Operating Activities

26. When are sales & use taxes due?

27. How often should Payables be entered in the accounting system?

28. Who typically calculates the tax liability to be paid?

29. Who is to be covered by VAT (Value Added Tax)?

30. Which of the following will not result in the recognition of a deferred tax asset?

31. Which of the following accounts has a debit balance?

32.

Among the items reported on Cord, Inc.'s income statement for the year ended December 31, 2007 were the following:

Amortization of goodwill acquired in 1992 $10,000 

Insurance premium on the life of an officer. $5,000

Cord is the owner and beneficiary.

Temporary differences amount to:

33. What steps are taken before approving an invoice for payment?

34. What is VAT?

35. What are the debit memo & the credit memo in Payables?

36. Under the state law, Acme may pay 3% of eligible gross wages or it may reimburse the state directly for actual unemployment claims. The Company believes that actual unemployment claims will be 2% of the eligible gross wages and has chosen to reimburse the state. Eligible gross wages are defined as the first $10000 of the gross wages paid to each employee. The Company had five employees, each of whom earned $20000 during 2007. In its December 31, 2007 balance sheet, what amount should it report as accrued liability for unemployment claims?

37. SFAS 109 establishes standards of financial accounting and reporting for income taxes that are currently payable and for

38. What level of detail should invoices contain?

39. When a deposit is used as payment, what is the journal entry from the customer's (the person who made the deposit) perspective?

40. A good example of a typical prepaid expense is:

41. A company receives an advance payment for special order goods that are to be manufactured and delivered within 6 months. The advance payment should be reported in the company's balance sheet as a

42. A bill is a form on which you record details of _________ .

43. Why do companies use the government listed mileage rate for the reimbursement of traveling expenses rather than paying actualexpenses?

44.

Orleans & Co., a cash-basis taxpayer, prepares accrual-basis financial statements. In the current year balance sheet, Orleans's deferred income tax liabilities increased in comparison with those reported for the previous year. Which of the following changes would cause this increase in deferred income tax liabilities?

I.An increase in prepaid insurance premium

II.An increase in rent receivable

III.An increase in warranty obligations

45. Which form is used to reimburse an individual for Travel and Entertainment expenses?

46. Which of the following methods can be used to value inventory in QuickBooks?

47. Companies accrue expenses in order to comply with which accounting principle?

48. Barnel Corp. owns and manages 19 apartment complexes. On signing a lease, each tenant has to pay the first and the last month's rent and a $500 refundable security deposit. The security deposits are rarely refunded in total because cleaning costs of $150 per apartment are almost always deducted. About 30% of the time, the tenants are also charged for damages to the apartment, which typically costs $100 to repair. If a one year lease deed is signed on a $900 per month apartment, what amount would the company report as refundable security deposit?

49. What is the best way to reimburse Travel and Entertainment to the employees who do not wish to use the electronic form of reimbursement?

50. In its 2007 income statement, Cere & Co. has reported an income of $300,000 before income taxes. Cere estimated that, because of permanent differences, taxable income for 2007 would be $280,000. During 2007, Cere made estimated tax payments of $50,000, which were debited to income tax expense; Cere is subject to a 30% tax rate. What amount should Cere report as income tax expense?

51. Of the following, which is a typical situation involving a deposit?

52. On July 1, 2006, Ran County issued reality tax assessments for its fiscal year ended June 30, 2007. The assessments were to be paid in two equal installments. On September 1, 2006, Day & Co. purchased a warehouse in Ran County. The purchase price was reduced by a credit for accrued realty taxes. The company did not record the entire year's real estate tax obligations, but instead records tax expenses at the end of each month by adjusting prepaid real estate taxes payable, as appropriate. On November 1, 2006, it paid the first installment of $12000 for realty taxes. What amount of this payment should it record as a debit to real estate taxes payable?

53. Accounts Payable affect net income.

54. Can you collect and remit tax for a state even if not required to do so?

55. Ross & Co. pays all salaried employees on Monday for the 5-day work week ended the previous Friday. The last payroll recorded for the year ended December 31, 2004 was for the week ended December 25, 2004. The payroll for the week ended January 1, 2005 included regular weekly salaries of $80000 and vacation pay of $ 25000 for the vacation time earned in 2004 but not taken by December 31, 2004. Ross had an accrued liability of $20000 for vacation pay as on December 31, 2003. In its December 31, 2004 balance sheet, what amount should Ross report as accrued salary and vacation pay?

56. At what stage in the Accounts Payable process is cash affected?

57. Why is it important for companies to manage their Accounts Payable?

58. When are invoices treated as having been paid short?

59. The correct journal entry to record a purchase of inventory on credit using a perpetual inventory system includes:

60. A firm makes all its purchases on credit basis. Cash payment on trade credit is required in the month following the purchase on 70% of all the purchases. The firm takes a 2?sh discount and makes payment for the remaining 30% of all the purchases in the month of purchase.The forecasted purchases for January through April are worth $300,000, $375,000, $450,000, and $300,000 respectively. What will be the total cash disbursement for purchases in the month of March?

61. When an invoice is presented for payment, most companies match it against a purchase order and a receiving document, and if all three match, the invoice is paid on or after its due date. This is referred to as ---------------- .

62. Under generally accepted accounting principles, which approach is used to determine income tax expense?

63. The Financial Statement extract of Cris & Co. has reported an interest expense of $85,000 in its Cash Flow Statements. There was no prepaid interest on interest capitalization either in the beginning or at the end of 2007. Accrued interest as on December 31, 2006 was $15,000. What will be the accrued interest as on December 31, 2007?

64. Streamlined Sales Tax is a national effort by which of the following?

65. Tax Accounting Services pays off $200 on account. To record this transaction for Tax Accounting Services, the cash account is credited. Which account is debited?

66. What is the difference between billable and non-billable expenses?

67. The Provisions of SFAS 109, Accounting for Income Taxes, are applicable to:

68. The correct journal entry to record a return of inventory purchased on credit basis using a perpetual inventory system includes:

69. What does the acronym EFT stand for?

70. An open credit is __________.

71. Tax Accounting Services pays off $200 on account. To record this transaction for Tax Accounting Services, the Cash account is credited and the __________ account is debited.

72. On December 31, 2007, special insurance costs incurred but unpaid were not recorded. If these insurance costs were related to work-in-process, what will be the effect of the omission on accrued liabilities and retained earnings in the December 31, 2007 balance sheet? Accrued liabilities Retained Earnings

73. What is the standard method used for the employees to submit an account of the travel expenses incurred by them?

74. Who are the parties to a bill of exchange?

75. Receipts from cash sales of $7,500 were recorded incorrectly as $5,700. What entry is required in the depositor's accounts?

76. Who can use a company's Travel & Entertainment Cards, though the liability lies with the employees?

77. On January 1, 2007, Al's Cleaning Services received an advance payment of $3000 for three months of cleaning services. The $3000 was recorded as Unearned Cleaning Revenue because the services had not yet been provided. Which of the following will include the January 31, 2007 adjustment entry?

78. What is the report generated to find the net purchases from each vendor regardless of how payments were recorded called?

79. On February 1, Royal Company Ltd. purchased $2,000 worth of merchandise, terms 2/10, n/30. The company uses the gross method of recording purchases. Payment for the Accounts Payable was made on February 26. Which of the following journal entries is appropriate for the February 26 transaction?

80. Accrual Basis means __________.

81. When an employer makes an end-of-period adjusting entry with a debit to the Supplies Expense, the credit entry is made to:

82. What is the mode of making payment to the employees for reimbursing travel and entertainment expenses?

83. Buck & Co. receives deposits from its customers to protect itself against non-payments for future services. These deposits should be classified by the company as

84. Accompanying the bank statement was a credit memorandum for a short-term, non-interest-bearing note collected by the bank. What entry is required in the depositor's accounts?

85. What is the Journal Entry for "The Company purchased $6,000 worth of merchandise on credit"?

86.

Hudson Hotels collects 15 % as city sales tax on room rentals, in addition to $2 per room, per night, as occupancy tax. Sales tax for each month is due at the end of the following month, and occupancy tax are due 15 days after the end of each calendar quarter. On January 3, 2008, Hudson paid its November 2007 sales tax and occupancy tax for the fourth quarter of 2007. Additional information pertaining to Hudson's operations is as follows:

2007 Room Rentals Room Nights

October $100,000 $1,100

November $110,000 $1,200

December $150,000 $1,800

What amounts should Hudson report as sales tax payable and occupancy tax payable in its December 31, 2007 balance sheet?

Sales Tax Occupancy Taxes

87. How are prepaid expenses typically tracked?

88. Debit memos are required for_______.

89. The ratio derived by dividing Cost of Goods Sold by Account Payable is known as _______.

90. How are the A/P journal entries typically created?

91. What are the steps involved in setting up QuickBooks to track 1099 information?

92. Rush checks may also be called _____

93. On what sales is it important to note that the Sales and Use Tax should be paid?

94. Lime & Co.'s payroll for the month ended January 31,2007 is summarized as follows: Total wages $10000 Federal income tax withheld $1200 All wages paid were subject to FICA. FICA tax rates were 7?ch for the employees and the employer. The company remits payroll taxes on the 15th of the following month. In its financial statements for the month ended January 31, 2007, what amounts should it report as total payroll tax liability and as payroll tax expense?

95. Why do companies require deposits & advances?

96. Making insurance payments in advance is an example of:

97. What is nexus?

98. Accounts payable refer to the current _________.

99. Payments for expenses incurred on corporate cards should be made directly to_____.

100. What is the use of an Accounts Payable ledger?