True or false: the accounting process

Exercise and reference answers

Questions

1. Statement is true

   Yes

   Statement

   Every transaction has a two-fold aspect, debit and credit.

2. Statement is true

   Yes

   Statement

   The journal is the book of original entry.

3. Statement is true

   Yes

   Statement

   A trial balance draws its totals from the ledger accounts.

4. Statement is true

   No

   Statement

   A transaction can be recorded with only a debit and no credit.

Instructions

Decide whether each statement about the accounting process is true or false.

Explanation