AVCNKT REVIEW 123 (10.2023)

1. 1. Oliver and Jackson agreed to exchange goods, services, or assets for payment. What is this agreement called?

• A financial transaction

• A financial statement

• An entry

• A financial interest

2. 2. In a small business, Daniel is responsible for keeping an accurate record of the accounts. What is Daniel's job title?

• A bookkeeper

• An accountant

• A shareholder

• A creditor

3. 3. A situation that is extremely difficult or dangerous when there are many problems.

• Debt

• Decline

• Crisis

• Scrutiny

4. 4. People with good ____________ in accounting may strongly consider staying in key positions with organizations.

• quality

• qualifications

• quantity

• characteristic

5. 5. Accounting is essential in both the business field and for ordinary individuals. People utilize accounting abilities in their daily lives to make financial decisions and to calculate ________ on mortgages.

• 5. interest rates

• revenue

• equity

• net income

6. 6. The______principle is an accounting principle that requires caution when recording incomes and expenses.

• prudence

• consistency

• going concern

• matching

7. 7. The ______principle is an accounting term for a company that is financially stable enough to meet its obligations and continue its business for the foreseeable future.

• going concern

• matching

• consistency

• prudence

8. 8. The relationship between the amount of money that a company owes and the value of its shares.

• Gearing

• Lease

• Auditor

• Reconciliation

9. 9. ______refers to those assets and liabilities not appearing on the business's balance sheet.

• Financial transaction

• Contract

• Creative accounting

• Off balance-sheet

10. 10. A contract that gives someone the right to use land, tools, or buildings for a certain amount of time in exchange for money.

• Lease

• Entry

• Credit

• Loan