Because an account form has columns for the debit and credit balance of an account, it is often referred to as the balance-ruled account form.
True
The asset division accounts for TechKnow Consulting are numbered in the 100s.
True
The cash account is the first asset account and is numbered 100.
False
The second division for TechKnow Consulting's chart of accounts is the owner's equity division.
False
The first digit of account numbers for accounts in the owner's equity ledger division is 3.
True
The last two digits in a 3-digit account number indicate the general ledger division of an account.
False
When adding a new expense account between accounts numbered 510 and 520, the new account is assigned number 515.
True
TechKnow consulting arranges expense accounts in chronological order in its general ledger.
False
The two steps for opening an account are writing the account title and recording the balance.
False
Posting sorts journal entries so that all debits and credits affecting each account are brought together in one place.
True
Each amount in the Debit and Credit columns of a general journal is posted to the account written in the Account Title column.
True
The only reason for the Post. Ref. columns of the journal and the general ledger is to indicate which entries in the journal still need to be posted if posting is interrupted.
False
A blank in the Post. Ref. column of the journal indicates that posting for that line still needs to be completed.
True
Recording the posting reference is always the last step in the posting procedure.
True
The first step to post an account from the Credit column is to write the date in the Date column of the account.
True
Whenever the credits in an account exceeds the debits, the balance is always a credit.
True
Cash can be proved at any time.
True
If the cash balance in the checkbook equals the cash balance in the Cash account, cash is proved.
True
Journal errors discovered before entries are posted are corrected by first preparing a memorandum describing the correction to be made.
False
When making a correcting entry, the same four steps are followed as when making any journal entry.
True