Bookkeeper Certification Practice Test
Debits are used to record: - Answer -Increases in assets
An employee whose regular hourly rate is $10 and whose overtime rate is 1.5 times the
regular rate worked 44 hours in one week. In the payroll register, the employer should
record an overtime rate of ____________ per hour. - Answer -$15
The Income Statement is prepared first because the Net Income amount is a line item
on the Balance Sheet. (T/F) - Answer -False
Springville Distributors made sales using a list price of $880 and a trade discount of 30
percent. What amount should be recorded for the sale? - Answer -$616
The frequency of deposits of federal income taxes withheld and social security and
Medicare taxes is determined by the amount owed. (T/F) - Answer -True
Aspen Corporation made sales using a list price of $4500 and trade discounts of 30
percent then 20 percent. What amount should be recorded for each sale? - Answer -
$2520
Laws passed by Congress in 1933 and 1934 gave the Securities and Exchange
Commission (SEC) final say on matters of financial reporting by publicly owned
corporations. (T/F) - Answer -True
A subsidiary ledger is a ledger that contains accounts of a single type. (T/F) - Answer -
True
Springville Distributors made sales using a list price of $590 and a trade discount of 20
percent. What amount should be recorded for the sale? - Answer -$472
The Accounts Payable account has a $3000 credit balance. An entry for the payment of
$1000 on the amount owed is recorded and posted. The new balance of the Accounts
Payable account is: - Answer -A $2000 credit balance
The process of transferring the data from the journal into the ledgers is called: - Answer
-Posting
Which of the following is not a reason why the book balance of cash may not agree with
the balance of the bank statement?
