Quiz 1

Which of the following is not a process of accounting?

• Identifying

• Recording

• Reporting

• Communicating

All accountants can do external auditing.

• True

• False

Only CPA's can do internal auditing.

• True

• False

ABC Company entered into a contract with XYZ Company to provide services amounting to P1,000,000. Should it be recorded in the financial statement of the company?

• Yes

• No

Transactions should be recorded in a chronological order in the books of the company.

• True

• False

Which of the following belongs to the private area of accounting?

• External Auditing

• Internal Auditing

• Government Accounting

• Accounting Education

This process occurs through the preparation of financial statement.

• Identifying

• Coordinating

• Communicating

• Recording

Philippine Institution of Certified Public Accountants (PICPA) is the association of all CPAs in the Philippines.

• True

• False

Accounting is an information system since you can find all the financial information about the company through this.

• True

• False

Accounting information allows the business owner to assess the effectiveness and not the efficiency of the operations of the business.

• True

• False