Page 53 - Participant Guide - Unanet GovCon Closing a Fiscal Period (2)

Lesson 2: SUBLEDGERS

1. What represents the amount of money owed by a Company to its creditors
(vendors) which is recorded as a liability on the Company's balance sheet?
a) Accounts Payable - This is the correct response because AP is
defined as a liability balance of vendor invoice to be paid
b) Billings - This is an incorrect response because Billings are customer
invoices
c) Accounts Receivable - This is an incorrect response because AR is
defined as an asset balance of customer payments to be received

2. What are the earmarking of funds in a specific Fiscal Period in response to an
accepted purchase order?
a) Accounts Payable - This is an incorrect response because AP is
defined as a liability balance of vendor invoices to be paid
b) Billings - This is an incorrect response because Billings are customer
invoices
c) Commitments - This is the correct response because purchase
commitments are funds obligated to a purchase order

3. What represents the amount of money owed to a Company by its debtors
(customers) which is recorded as an asset on the Company's balance sheet?
a) Accounts Payable - This is an incorrect response because AP is
defined as a liability balance of vendor invoices to be paid
b) Accounts Receivable - This is the correct response because AR is
defined as an asset balance of customer payments to be received
c) Billing This is an incorrect response because Billings are customer
invoices

APPENDIX A: CHECK YOUR UNDERSTANDING ANSWER KEY ©2022 Unanet. All rights reserved. 53