| A | B |
|---|
| True or False: The work sheet is used to pull together all the information needed to prepare the financial statements and complete the end-of-period activities. | True |
| True or False: A single rule under a column of amounts means that hte amounts are to e added or subtracted. | True |
| True or False: The work sheet is prepared in pen because it is a formal document. | False |
| True or False: The work sheet hsa four sections: the heading, the Trial Balance section, the Income Statement section, and the Balance Sheet section. | False |
| True or False: The maximum period covered by the accounting cycle is one month. | False |
| True or False: A double rule across both amount columns of the Trial Balance section means that no more entries will be made. | True |
| True or False: If the debit column of the Income Statement section of the work sheet is greater than the credit column of the Income Statement section, there is a net income for the period. | False |
| True or False: Amounts fromthe Trial Balance section are first extended to the Balance Sheet section. | True |
| True or False: Account titles are listed on the work sheet in the same order as they appear in the general ledger. | True |
| True or False: A ledger account having a zero balance is not listed on the Trial Balance section of the work sheet. | False |
| The first two columns of the work sheet are used to enter the _______. | Trial Balance |
| Ther permanent general ledger accounts are extended to the ______ of the work sheet. | Balance Sheet section |
| A(n) ________ results when revenue is larger than expenses. | Net Income |
| A net loss is entered in the _______ column of the Income Statement section. | Credit |
| If the total of the credit column of hte Income Statement section is less than the debit column, htere is a ______ for the period. | Net Loss |
| The amount of net income for hte period is added to the total of the credit column of the Balance Sheet section because it increases the balance in the _______ account. | Capital |
| The ______ of the work sheet answers the questions "who," "what," and "when." | Heading |
| A paper used to collect information from the general ledger accounts is a(n) ________. | Work Sheet |
| ______ is transferring balances from the Trial Balance section of the work sheet to either the Balance Sheet section or the Income Statement section. | Extending |
| The ________ allows a business to match revenue against expenses as a means of measuring profit for the period. | Matching Principle |
