FBLA ACCOUNTING II MIDTERM EXAM WITH

FBLA ACCOUNTING II MIDTERM EXAM WITH

COMPLETE SOLUTIONS | 2025 A+ GRADED

Professor's Name:

Date:

INSTRUCTIONS: Information in BOLD should be added to every exam cover sheet.

• The length of the examination: If your exam is a take home, please specify the

amount of time (in hours) needed to complete this exam during the stated range of dates.

• The number of pages of the examination: Please write how many pages are in the

exam and number each page. For example, "1 of 10, 2 of 10," etc. This is very important to ensure that exams are duplicated correctly.

• Indicate what materials may be brought into the examination room (textbook, notes,

casebooks, supplemental materials, etc.) Indicate if no materials are allowed. Usage of computers should be stated clearly. If your exam will be completed using Exam4 (secure) or MyWCL (non-secure), indicate it here. You do not need to provide instructions about using Exam4 or MyWCL. The students have already received this information. You may allow the students the option of handwriting their exams in bluebooks which will be provided in the exam room.

• You will receive "0" credit for any unanswered question.
• If scantron answer sheets are used, give detailed instructions. Only anonymous grading

numbers should be written in the space marked identification number and the corresponding bubbles should be filled in. If using scantron answer sheets for True and False questions, please indicate which letter should be used for True and which letter should be used for False (for example, A=True, B=False). If your exam contains multiple-choice questions and you do not want to use Scantron answer sheets, describe how your students should mark their answers (Circle correct answer on the question sheet, write in a blue book, type them in their document, etc.)

• No corrections will be made once the exam is distributed. If there is a typo or

ambiguity in a question, state your assumption and answer accordingly.

• Only your anonymous-grading number should appear on your blue book and

examination copy. DO NOT USE EITHER YOUR NAME OR SOCIAL SECURITY

NUMBER.

• If you are graduating at the end of the semester, please write "GRADUATING" on

the outside of your exam envelope and on each Blue Book.

• All materials, including the questions, handwritten answers (if applicable) and

scratch materials at the end of the exam, inserted into your self-sealing exam envelope and handed to the proctor.

• The use of electronic devices (iPods, cell phones, mp3 players, etc.) is prohibited

during the exam. This policy is at your discretion, however we recommend this language to prevent cheating and honor code violations. 1 / 2

A proof of the equality of debits and credits in a general ledger is a(n): - B.trial balance

Expenses paid in one fiscal period but not reported as expenses until a later fiscal period

are initially recorded as: - B.prepaid expenses on the Balance Sheet

A written application requesting permission to form a corporation is called the: - D.articles of incorporation

What effect would a two for one stock split have? - C.The stock price will drop by half and the number of shares of stock outstanding will double.

Cole and Madison are partners who decided to liquidate the partnership. Before the liquidation, the partnership's balance sheet showed Cash $10,000, total "other assets", $106,000; total liabilities, $88,000; Cole Capital, $15,100; and Madison, Capital,

$12,900.

The "other assets" were sold for $118,000. After liabilities are paid, what is total distribution to Cole? - D.$21,100

Wilson invests cash of $30,000 in the partnership. Jones invests the assets of an existing business. Jones's balance sheet shows $8,000 in cash, $10,000 in accounts receivable, $500 in allowance for uncollectible accounts, $7,000 for other current assets, $15,000 for equipment, $5,000 for accumulated depreciation minus equipment, and $1,000 for accounts

payable. The total capital of the partnership will be: - C.$63,500

Marsh Corporation has a current assets valued at $15 million, inventory at $12 million, and current liabilities valued at $6 million. The cost of goods sold was $60 million. Based on this

information, its current ratio is: - B.2.5

Use horizontal analysis to compute the percentage increase in sales: In 2009 sales were $200,000 and in 2010 sales were $250,000. The result is: - D.sales increased by 25 percent

The entry to record the receipt of a note from a charge customer in settlement of the

account is: - C.debit Notes Receivable; credit Accounts Receivable

Using the aging method, Marsh Corporation estimates that uncollectible accounts will total

• / 2