I had often wondered about the order of JE's on the exam because Wiley seemed so picky about them. So I contacted the AICPA. Here is what I found out:
My original e-mail to the AICPA:
I am inquiring about the general format of journal entries on the CPA exam. For example, if a company purchased a piece of property with cash and a note payable the journal entry could be as follows:
Debit Property
Credit Cash
Credit Notes Payable.
Or it could be entered on the exam as:
Credit Cash
Credit Notes Payable
Debit Property.
Personally, I would enter it as in the first example because I was taught to always put debits first. I realize that this is a very simple example but it is intended to be simple. Is there a specific format for journal entries for exam purposes and could you point me in the right direction to find this information.
Your assistance in this matter is greatly appreciated.
Anita Mitchell
Their first response:
Dear Ms. Mitchell,
Thank you for contacting the AICPA regarding the general format of journal entries on the CPA Exam.
Your request is being researched. A follow-up email will be sent within 5-7 business days.
We appreciate your patience. Please let us know if we may be of any further assistance in the meantime.
Thank you,
XXXXX XXXXXXXX
AICPA Member Service
Their final answer:
Dear Ms. Mitchell,
We are following up regarding your inquiry about the general format of journal entries on the CPA Exam.
It doesn't matter what order the Debit/Credit responses are entered in as long as the proper corresponding debits and credits are provided with each response.
We apologize for the delayed response. We appreciate you taking the time to research this information and look forward to serving you in the future.
Kind regards,
XXXXX XXXXXXXXX
AICPA Member Service
So I read that to mean, as long as you use the correct account and the correct amount, it doesn't matter. Wiley doesn't use the same software that the exam uses, because the exam software is a secret guarded more heavily than the Coca-Cola recipe.
I hope this helps.
.