Accounting 310 problems: Matching terms and journal entries

Question 222
Match the terms below by entering the appropriate code letter in the space provided.
Income from operations
Periodic inventory system
Freight-out
Gross profit
Purchase invoice
FOB shipping point
Net sales
FOB destination
Operating expenses
Sales discounts

1 Expenses incurred in the process of earning sales revenue.
2 Sales less sales returns and allowances and sales discounts.
3 Net sales less cost of goods sold.
4 Requires a physical count of goods on hand to compute cost of goods sold.
5 An incentive to encourage customers to pay their accounts early.
6 Freight terms that require the seller to pay the freight cost.
7 Gross profit less total operating expenses.
8 A document that supports each credit purchase.
9 Freight terms that require the buyer to pay the freight cost.
10 Freight cost to deliver goods to customers reported as a selling expense.

Question 217
Match the terms below by entering the appropriate code letter in the space provided.

Accrued expenses
Accrued revenues
Revenue recognition principle
Accumulated depreciation
Expense recognition principle
Depreciation
Time period assumption
Book value
Prepaid expenses
Fiscal year

1 Expenses paid before they are incurred.
2 Divides the economic life of a business into artificial time periods.
3 A contra asset account.
4 Revenues earned but not yet received.
5 A twelve month accounting period.
6 Cost less accumulated depreciation.
7 Expenses incurred but not yet paid.
8 Efforts are related to accomplishments.
9 A cost allocation process.
10 Revenue is recognized in the accounting period in which it is earned.

Attachments

Solution Summary

Question 222
Match the terms below by entering the appropriate code letter in the space provided.
Income from operations
Periodic inventory system
Freight-out
Gross profit
Purchase invoice
FOB shipping point
Net sales
FOB destination
Operating expenses
Sales discounts

1 Expenses incurred in the process of earning sales revenue.
2 Sales less sales returns and allowances and sales discounts.
3 Net sales less cost of goods sold.
4 Requires a physical count of goods on hand to compute cost of goods sold.
5 An incentive to encourage customers to pay their accounts early.
6 Freight terms that require the seller to pay the freight cost.
7 Gross profit less total operating expenses.
8 A document that supports each credit purchase.
9 Freight terms that require the buyer to pay the freight cost.
10 Freight cost to deliver goods to customers reported as a selling expense.

Question 217
Match the terms below by entering the appropriate code letter in the space provided.

Accrued expenses
Accrued revenues
Revenue recognition principle
Accumulated depreciation
Expense recognition principle
Depreciation
Time period assumption
Book value
Prepaid expenses
Fiscal year

1 Expenses paid before they are incurred.
2 Divides the economic life of a business into artificial time periods.
3 A contra asset account.
4 Revenues earned but not yet received.
5 A twelve month accounting period.
6 Cost less accumulated depreciation.
7 Expenses incurred but not yet paid.
8 Efforts are related to accomplishments.
9 A cost allocation process.
10 Revenue is recognized in the accounting period in which it is earned.