Unit 27. Understand Accounting

A specialized branch of accounting that keeps track of a company's financial transactions. [U27_KLO1.1]

• A.      Financial accounting
• B.      Project accounting
• C.      Managerial accounting
• D.     All of the above

It is a vital component of project management[U27_KLO1.1]

• A.      Financial accounting
• B.      Project accounting
• C.      Managerial accounting
• D.     All of the above

Which of the following report represents financial position of the company?[U27_ KLO 1.2]

• A.      Balance sheet
• B.      Trial balance
• C.      Statement of cash flow
• D.     Statement of retained earnings.

The main purpose of creating profit and loss statement is to check the ……… of company.[U27_ KLO 1.2]

• A.      Liquidity ratio
• B.      Amount of assets and liabilities
• C.      Profitability
• D.     Liabilities

Which of the following items will have depreciation? [ U27_KLO1.3]

• A.      Cash
• B.      Inventory
• C.      A/c receivable
• D.     Equipment

The debtors are also called [U27_KLO1.3]

• A.      Accounts receivable
• B.      Accounts payables
• C.      Employees
• D.     Managers

The normal balance of an asset is…….[U27_KLO1.4]

• A.      Debit
• B.      Credit
• C.      Revenue
• D.     Liability

The normal balance of an revenue is…….[U27_KLO1.4]

• A.      Debit
• B.      Credit
• C.      Revenue
• D.     Liability

Assets are resources ………….. [U27_KLO1.3]

• A.      Own by the company
• B.      Owes by the company
• C.      Own and owes by the company
• D.     Either own or owe by the company

Liabilities are resources …………..[U27_KLO1.3]

• A.      Own by the company
• B.      Owes by the company
• C.      Own and owes by the company
• D.     Either own or owe by the company