Start learning →

ACCA Knowledge Level Adjusting Entry Accounts — practice questions

Explore 4 free Adjusting Entry Accounts questions in ACCA Knowledge Level Financial Accounting. Open each question or exercise to read its content, reference answers and available explanation.

Practise Adjusting Entry Accounts with Quill →

Adjusting Entry Accounts questions and exercises with answers

Showing questions 1–4 of 4.

Which of the following accounts is closed out at the end of the period rather than carried forward?Read the answer and worked solution →Match the Statement (ACCA FA)Read the answer and worked solution →P&L or Position? (ACCA FA)Read the answer and worked solution →Finish the Term (ACCA FA)Read the answer and worked solution →

Worked practice questions

Which of the following accounts is closed out at the end of the period rather than carried forward?

  1. Fees Earned
  2. Prepaid Insurance
  3. Unearned Fees
  4. Accumulated Depreciation
Show answer and solution

Correct answer: A. Fees Earned

1. Only profit-or-loss accounts (revenues and expenses) are closed out. 2. Fees Earned is a revenue account, so it is closed, making A correct. 3. Prepaid Insurance is an asset and Unearned Fees is a liability, both balance sheet items that are not closed. 4. Accumulated Depreciation is a contra asset on the balance sheet and is not closed either. _Source: Jonick, Principles of Financial Accounting (CC BY-SA 4.0), §2.2.3 "Adjusting Entry Accounts", p.56_

Open this question →

Match the Statement (ACCA FA)

Read exercise and reference answers
Matching pairs
  1. Left
    Revenue
    Right
    Statement of profit or loss
  2. Left
    Trade payables
    Right
    Statement of financial position
  3. Left
    Dividends paid
    Right
    Statement of cash flows
  4. Left
    Retained earnings movement
    Right
    Statement of changes in equity
Instructions
Match each item to where it is reported.

Open this exercise →

P&L or Position? (ACCA FA)

Read exercise and reference answers
Items
  1. Item
    Revenue
    Answer
    left
  2. Item
    Depreciation charge
    Answer
    left
  3. Item
    Accumulated depreciation
    Answer
    right
  4. Item
    Trade receivables
    Answer
    right
  5. Item
    Interest expense
    Answer
    left
  6. Item
    Share capital
    Answer
    right
  7. Item
    Cost of sales
    Answer
    left
  8. Item
    Retained earnings
    Answer
    right
Categories
Left
Profit or loss
Right
Financial position
Instructions
Swipe each item to its statement.

Open this exercise →

How to practise

  1. Choose a Adjusting Entry Accounts question and try to work out your answer.
  2. Open the question to check the correct answer and read its worked solution.
  3. Continue in the app for bite-sized lessons, explanations and review with Quill. You can start without creating an account.

More Financial Accounting topics

Ratio AnalysisStatement of Cash FlowsThe Mechanics of the Accounting ProcessInventory ValuationAsset, Liability and Equity AccountsFinancial StatementsAccounting EquationBonds Payable