Accounting Quiz Bee part 8

The elements directly related to the measurement of financial position are:

• Assets, Liability, equity, income and expenses

• Assets, Liability and equity

• Income and expenses

• Assets and liabilities

The elements directly related to Income Statement or Profit or Loss are:

• Assets, Liability, equity, income and expenses

• Assets, Liability and equity

• Income and expenses

• Assets and liabilities

These are resources controlled by the entity as a result of past transactions or events and from which future economic benefits are expected to flow to the entity

• Assets

• Liabilities

• Equity

• Income

These are present obligations of an entity arising from past transactions or events the settlement of which is expected to result in an outflow from the entity of resources embodying economic benefits

• Assets

• Liabilities

• Equity

• Expenses

It is the residual interest in the assets of the entity after deducting all of its liabilities

• Income

• Expense

• Net income

• Equity

It is an increase in economic benefit during the accounting period related to an increase in asset or a decrease in liability that results in increase in equity other than contribution from owners

• Asset

• Liability

• Income

• Expense

This arises in the course of ordinary regular activities of the entity and is referred to by a variety of different names including sales, fees, interest, dividends, royalties and rent.

• Income

• Revenue

• Profit

• Gain

What is the effect if an entity collected in full an account receivable?

• Total assets will increase

• Total assets will decrease

• Total assets will not be affected

• Equity will increase

Equal or uniform charge method of depreciation

• Straight line method

• Composite method

• Group method

• Sum-of-Years’ digits

It is the systematic allocation of depreciable amount of an item of property, plant and equipment

• Depreciation

• Depletion

• Amortization

• Realization