HW4

A. Simple journal entry F. Compound journal entry K. Account titles

B. Journalizing G. Account L. Recording Process

C. Debit H. Peso M. Permanent accounts

D. Credit I. Historical cost N. Temporary accounts

E. Rules of debit and credit J. Journals O. Posting reference

G 1. An accounting device used in recording, classifying, and summarizing the business

transactions
O 2. Evidence of completed posting
E 3. All debits have credits of equal amounts, or vice-versa
C 4. To enter an amount on the left side of an account
D 5. To enter an amount on the right side of an account
J 6. Books of original entry
B 7. The process of recording the transaction in a journal
A 8. Journal entry that involves one debit and one credit account
F 9. Journal entry that involves more than two accounts
H 10. Unit of measurement used in recording and reporting financial data
M 11. Balance sheet accounts
N 12. Income statement account
I 13. Accepted basis of valuing assets and benefits acquired, and liabilities incurred
 ASSETS LIABILITIES CAPITAL DRAWINGS INCOME EXPENSES
A debit credit
B credit debit
C debit credit
D debit credit
E debit credit
F credit debit
G debit credit
H credit debit
I debit credit
J debit credit
K debit credit
L debit credit
M credit debit
N debit credit
O credit debit
P credit debit
Q credit debit

CORRECT ANSWER:

ASSETS LIABILITIES CAPITAL DRAWINGS INCOME EXPENSES

A debit credit
B credit debit
C debit credit
D debit/credit debit
E debit/credit
F debit/credit
G debit debit credit
H credit debit
I debit credit
J credit debit
K credit debit
L debit/credit
M credit debit
N debit credit
O credit debit
P debit credit
Q credit debit
 DEBIT CREDIT
ACCOUNT TITLE AMOUNT ACCOUNT TITLE AMOUNT
A cash P 150,000 Luis Vergara, capital P 150,000
B Store Equipment (Repair P 75,000 Cash P 25,000
equipment)
Accounts Payable P 50,000
C Store Equipment (shop P 13,500 Cash P 13,500
tools)
D Rent Expense P 14,000 Cash P 14,000
E Cash P 4,350 Service Revenue P 4,350
F Accounts Payable P 20,000 Cash P 20,000
G Cash P 7,000 Unearned Revenue P 7,000
H Store Equipment P 120,000 Depreciation P 120,000
I Cash P 15,000 Luis Vergara, withdrawals P 15,000
J Salary Expense P 12,000 Cash P 12,000
K Notes Payable P 3,000 Cash P 3,000
L Cash P 200 Sales Revenue P 200
M Cash P 150 Equipment P 800

Loss on disposal P 650

434,850 434,850

CORRECT ANSWER:

DEBIT CREDIT
ACCOUNT TITLE AMOUNT ACCOUNT TITLE AMOUNT
A cash P 150,000 Luis Vergara, capital P 150,000
B Store Equipment (Repair P 75,000 Cash P 25,000
equipment)
Accounts Payable P 50,000
C Store Equipment (shop P 13,500 Cash P 13,500
tools)
D Rent Expense P 14,000 Cash P 14,000
E Cash P 4,350 Service Revenue P 4,350
F Accounts Payable P 20,000 Cash P 20,000
G Accounts Receivable P 7,000 Service Revenue P 7,000
H Delivery Equipment P 120,000 Vergara, Capital P 120,000
I Vergara, drawing P 15,000 Cash P 15,000
J Salary Expense P 12,000 Cash P 12,000
K Accounts Payable P 30,000 Notes Payable P 30,000
L Cash P 200 Miscellaneous Income P 200
M Cash P 150 Tools P 800

Loss on sale of tools P 650

434,850 434,850