Accountancy

Accounting is also known as the language of business

• True

• False

An employee dismissed from his job is an events which represent business transaction.

• True

• False

An owner withdrawing cash from his business for personal use is an events representing business transaction

• True

• False

Accounting can be viewed as an information system which has its inputs, processing methods and output.

• True

• False

Accounting is required in

• a. Business activities

• b. Non-Business activities

• c. Non-Governmental Organisation

• d. All of the above

A transaction is an exchange in which participant’s ____________ or __________ value.

• a. Receives, sacrifices

• b. receives, earn

• c. earn, sacrifices

• goods, services

Accounting measures the transactions in terms of -

• a. Differential measuring unit

• b. Quantity measurement Unit

• c. Average measurement unit

• d. Common measurement unit

The process of establishing the relationship between various items or group of items taken from Income Statement or Balance Sheet or both is known as

• a. Analyzing

• b. Interpreting

• c. Recording

• d. Classifying

Maintenance of books of accounting which is often routine and clerical in nature-

• a. Accountancy

• b. Financial Management

• c. Accounting

• d. Book-Keeping

The process of transferring the transaction recorded in the journal to respective accounts opened in Ledger is-

• a. Journalising

• b. Posting

• c. Balancing

• d. Position Statement