TOPIC 1 - INTRODUCTION TO ACCOUNTING 2

Which of the followings are NOT the external users of financial information?

• Managers of a business

• Creditors of a business

• Potential investors

• Government agencies such as Inland Revenue Board

The accounting process includes all of the following EXCEPT:

• identification of business transactions

• preparation of trial balance

• preparation of financial statements

• observation of business transactions

Which of the following types of business organisations have unlimited

liability?

• Private limited company and sole proprietorship

• Partnership and sole proprietorship

• Private limited company and partnership

• Private and public limited company

Accounting is best described as __________.

• recording all financial transactions systematically

• recording all production costs and profitability of a business

• classifying, recording, summarising and interpreting all financial transactions of a business

• recording all assets and liabilities of a business

What is the range number of owners in private limited company?

• 1 - 50

• 2 - 20

• 2 - 50

• 1 - No limit

Which type of business organisation has the following characteristics: i)

Owned by 2 to 20 persons, ii) Unlimited liability and iii) No legal obligation

to prepare the !nancial statements

• Sole proprietorship

• Partnership

• Private limited company

• Public limited company

The accounting process can be described as __________.

• Recording, summarising, interpreting, and classifying

• Classifying, recording, summarising, and interpreting

• Recording, classifying, summarising, and interpreting

• Classifying, summarising, recording, and interpreting

Which of the following group is CORRECT?

• External users – Creditors, Debtors, Managers

• Internal users – Managers, Employees, Suppliers

• External users – Financial institution, Government, Investors

• Internal users – Supervisors, Investors, Government

Which of the following businesses has limited liabilities with control from

the board of directors?

• Kedai Maju Jaya

• Atiah and Associates

• Syarikat Ah Chong Anak Beranak

• Makmur Muamalat Sdn Bhd

Business organisations could be classi!ed into sole proprietorship,

pa"nership and limited company. Which of the following business

organisation has the word "Berhad" at the end of its name?

• Partnership

• Sole proprietorship

• Public limited company

• Private limited company