TLE 10 REVIEW

Which of the following is the data about the money transactions of a person or a business?

• Accounting

• Financial information

• Transaction

• Financial statements

It is the process of preparing the financial statements from the transactions recorded in the books of account designed to meet the information needs of its users.

• Recording

• Classifying

• Summarizing

• Interpreting

Which of the following is the process of recording financial transactions pertaining to a business?

• Recording

• Transaction

• Financial information

• Accounting

It is writing down of business transactions chronologically in the books of account as they transpire.

• Recording

• Classifying

• Summarizing

• Interpreting

Which among the party interested in financial information provides the financial resources to keep the business on going?

• Financial institutions

• Employees

• Stockholders/Owner/Investors

• Management

Tom & Jerry agreed to share to contribute money and property to start a business. Their business organization is called ________.

• Sole proprietorship

• Corporation

• Partnership

• Manufacturing

In which type of organization does one person take all the risks?

• Sole proprietorship

• Corporation

• Partnership

• Manufacturing

Which of the following means that approaches used in reporting must be uniformly employed from period to period to allow comparison of results between time periods?

• Historical cost

• Accrual principle

• Objectivity principle

• Consistency

This party uses financial information to set goals for their companies.

• Employees

• Management

• Financial Institutions

• Owners/Investors

Salon, laundry business, and automotive repair are what type of business operation?

• Manufacturing business

• Service business

• Merchandising business

• Partnership business