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Adjustments Sample Problems
Adjustments Sample Problems
Sample Problems
Mukhang mapapa 1. Correcting Entries
"Grades doesn't define
who you are" ako this 2. Reclassifying Entries
sem ah
-BSA 3. Adjustments
Student(2020)
1.
Reclassifying and
Correcting
Entries
1. Which of the following is true regarding reclassifying
entries?
a. It is made to c o r re c t a n e r ro r i n t h e a m o u n t
b. It is made at December 31
c. It is made to c o r re c t t h e w ro n g j o u r n a l e n t r y
d. It is made to c o r re c t e r ro r s re g a r d i n g w ro n g a c c o u n t t i t l e
Answer: D
2. Which of the following is false regarding the reclassifying
entries?
a. It is done to correct errors in the journal entry
b. It is done to correct an incorrect entry
c. It involves at-least one nominal and one real account
d. None of the above is false
Answer: C
3. Which of the following is subject to reclassifying entries?
a. Wrong amount
b. Items that involves transposition, sliding and omission error
c. Wrong account title and wrong amount
d. Wrong account title
Answer: D
4. Which of the following is true regarding correcting entries?
a. it involves always one nominal and one real account
b. it is done at year end
c. It is done to record transaction that already happened but is still unrecorded as of the
year end
d. All of the above is true
Answer: B
5. Correcting and Reclassifying Entries
a. Are made to correct the amount in the journal entry
b. Are made to correct the account title in the journal entry
c. Are made to correct an incorrect journal entry
d. Are made to effect transactions that already happened but is still unrecorded
Answer: C
6. During the year, the entity purchase an equipment amounting to P1,000,000 on account. After some time,
the entity paid half of the amount.
The journal entry made was
At date of purchase At date of payment
Equipment 1,000,000 No Entry
Cash 1,000,000
What is the correcting entries to be made by the entity ?
a. Debit Cash 1,000,000 Credit Accounts Payable 1,000,000 Adjustments
b. Debit Cash 500,000 Credit Accounts Payable 1,000,000 Cash 500,000
c. Debit Cash 500,000 Credit Accounts Payable 500,000 Accounts Payable 500,000
d. Debit Accounts Payable 500,000 Credit Cash 500,000 Answer: C