Introduction to Accounting

The definition "Accounting is the process of identifying, measuring, and communicating economic information." came from which organization?

• AAA

• ACPA

• AICPA

• PICPA

Who is considered as the father of modern accounting?

• Augustus

• Suetonius

• Queen Victoria

• Luca Pacioli

What is the starting point of the accounting process?

• Classifying

• Recording

• Identifying

• Communicating

It is the preparation and presentation of financial information for internal users in order to have a sound decision-making.

• Tax Accounting

• Financial Accounting

• Cost Accounting

• Management Accounting

Transactions and events that cannot be measured in money terms are not recorded in the books of accounts.

• TRUE

• FALSE

We record ___________in the books of accounts.

• Financial Transactions

• Non-financial Transactions

• Both financial and non-financial transactions

• Neither financial nor non-financial transactions

Which of the following is not a branch of accounting?

• Cost Accounting

• Accounting Education

• Management Accounting

• Bookkeeping

This user of the financial statements is concerned mostly with the liquidity of business.

• Customers

• Investors

• Management

• Trade Creditors

Who among the following users of financial statements is concerned with the solvency of the business?

• Customers

• Lenders

• Employees

• Suppliers

A user of financial statement who is concerned with the performance of the business and its ability to give returns.

• Investor

• Lender

• Trade Creditor

• Customer