Accounting

Accounting

Accounting is the process of recording financial transactions pertaining to a business.

Heritage

[...] the study of heritage defined as the set of assets, rights and obligations belonging to one or more people, in their static aspects (economic

and financial) and dynamic (variations suffered by equity wealth) and its qualitative and quantitative aspects, aiming to expose you and show you how

is its situation, in order to provide conditions for intervention in it.

The main groups of users in accounting

The main objective of accounting is to allow each group of users to assess the economic and financial situation of the entity.

Accounting Users

Accounting users are those people who use the information provided by accounting for some purpose. Every user will have a specific interest in this use, since science accounting serves several purposes.

The main groups of users in accounting

Banks and creditors lenders need to assess whether these companies have the capacity payment to pay off their loans, as well as their interest, or if they can still release credits in order to anticipate their revenues

According to Franco (2009) - There are 2 large groups

These users can be divided into two large

groups, namely internal users and external users.

According to Franco (2009) - There are 2 large groups

Internal users are people who work at the entity, such as directors, managers and administrators at different levels

Multiple Choice

__________________ is the language of business.

• Finance

• Business Essentials

• Accounting

• English

Multiple Choice

When we think of Accounts Payable, we think of a ___________ as a form of payment.

• CASH

• CREDIT CARD

• BITCOIN

• CHECK

Multiple Choice

Bought supplies on account

Which 2 accounts are being affected?

• CASH & SUPPLIES

• SUPPLIES & CAPITAL

• ACCOUNTS PAYABLE & CASH

• ACCOUNTS PAYABLE & SUPPLIES

Multiple Choice

The accounting equation must always be

• balanced

• uneven

• zero

• equal to the square root of 5

Multiple Choice

Owner invests $1200 cash into their business.

Which 2 accounts are being affected?

• ACCOUNTS PAYABLE & CAPITAL

• CASH & ACCOUNTS PAYABLE

• CAPITAL & CASH

• CASH & SUPPLIES

Multiple Choice

Paid cash on Account- which 2 accounts are being affected?

• CASH & ACCOUNTS PAYABLE

• CASH & CAPITAL

• CASH & SUPPLIES

• SUPPLIES & ACCOUNTS PAYABLE

Multiple Choice

What type of an account is Capital?

• ASSET

• LIABILITIES

• OWNER'S EQUITY

Multiple Choice

What type of an account is Accounts Payable?

• ASSET

• LIABILITIES

• OWNER'S EQUITY

Multiple Choice

What type of an account is cash?

• ASSET

• LIABILITIES

• OWNER'S EQUITY

Multiple Choice

Assets=Liabilities-Owner's Equity is the accounting equation

• TRUE

• FALSE

Multiple Choice

opening balance is __________?

• balance of payments

• balance carried down

• balance broad-down

• money

Multiple Choice

current income is an _______ to the business?

• expense

• capital

• income

• credit

Multiple Choice

general ledgers are _________?

• VAT

• Mark-Up

• debit

• T-account

Multiple Choice

_______ can also be in a form of assets?

• tax

• capital

• customers

• bank

Multiple Choice

rates and taxes are an/a ________?

• profit

• income

• VAT

• Expense

Multiple Choice

water and electricity is an/a __________?

• credit

• asset

• expense

• income

Multiple Choice

when the owner takes money out of the business's account it is called _________?

• credit

• drawings

• debt

• borrowing

Multiple Choice

trading stock is an/a ________?

• equity

• liabilities

• assets

• owners equity

Multiple Choice

Equipment are an example of an/a ______?

• loan

• asset

• liability

• owners equity

Multiple Choice

________ are debts of the business?

• assets

• liabilities

• owners equity

• vehicles

Multiple Choice

assets decreases on the _______ side?

• debit

• two

• credit

• sixth

Multiple Choice

owners equity decreases on the _________ side?

• credit

• debit

• payments

• liability

Multiple Choice

Assets increase on the ________ side?

• subsidiary

• T-account

• credit

• debit

Multiple Choice

A general Leger/T) has a ______ and _______ side.

• cash receipt and debtors

• debit and payments

• debit and credit

• creditors and debtors

Multiple Choice

Double entry in accounting means there must be________ entries for every transaction?

• two

• Three

• six

• one

Objective of accounting

it had as an objective the control of assets, such as herds, food bales,

hunting and fishing instruments and other quantitative goods.

Accounting according to Franco (2009):

it is a science that studies and controls the assets of entities, through the registration, the expositive demonstration and the interpretation of the facts that occurred, in order to offer information about its composition and its variations, as well as on the economic result of wealth management.

Ribeiro (2005, p. 2) - Conceitos de contabilidade:

a) It is the science that studies and practices the functions of guidance, control and of registration relating to economic administration (official concept formulated at the first Brazilian Accounting Congress, held in Rio de Janeiro, in 1924).

Ribeiro (2005, p. 2) - Conceitos de contabilidade:

b) It is the information and evaluation system designed to provide its users with demonstrations and analysis of an economic, financial, physical and productivity, in relation to the entity object of accounting (study on the Basic Conceptual Framework of Accounting, prepared by the Institute Brazilian Accounting, Actuarial and Financial Research - IPECAFI, and approved by the Brazilian Institute of Accountants — IBRACON, 1986).

Ribeiro (2005, p. 2) - Conceitos de contabilidade:

c) It is the science that studies, controls or interprets the facts that occurred in the entities' assets, through registration, the expository demonstration and the disclosure of these facts in order to provide information about the composition of the assets, its variations and the economic result of the wealth management (FRANCO, 2009).