Accounting Quiz Bee 6

Accounting provides information on

• Cost and income for managers

• Company’s tax liability for a particular year

• Financial conditions of an institution

• All of the above

The long term assets that have no physical existence but are rights that have value is known as

• Current assets

• Fixed assets

• Intangible assets

• Investments

The assets that can be converted into cash within a short period (i.e. 1 year or less) are known as

• Current assets

• Fixed assets

• Intangible assets

• Investments

Patents, Copyrights and Trademarks are

• Current assets

• Fixed assets

• Intangible assets

• Investments

The accounts that records expenses, gains and losses are

• Personal accounts

• Real accounts

• Nominal accounts

• None of the above

The process of entering all transactions from the journal to ledger is called

• Posting

• Entry

• Accounting

• None of the above

Bookkeeping differs from accounting in which part of process?

• Classifying

• Interpreting

• Summarizing

• Recording

Which of the following is the internal user of accounting information?

• Suppliers

• Government

• Finance department

• Employee Union

The expenses should be recorded during the period in which they are incurred as to generate revenue, regardless of when the transfer of cash occurs.

• Consistency

• Accrual

• Going concern

• Matching

The accounting principles that states companies and owners should be account for separately.

• Going Concern

• Business Entity

• Consistency

• Prudence