Financial Reports and Procedures Quiz

What is a budget?

• A report that shows the condition of a company

• A report that shows revenues, expenses, and net income or loss for the reporting period

• A detailed plan or estimate of expected income and expenses for a period of time

• A document that shows incoming and outgoing cash for a given period

Which financial document shows the assets, liabilities, and owner's equity on a certain date?

• Cash flow statement

• Sales invoice

• Income statement

• Balance sheet

What is a cash flow statement?

• A detailed plan or estimate of expected income and expenses for a period of time

• A document that shows incoming and outgoing cash for a given period

• A report that shows the condition of a company

• A report that shows revenues, expenses, and net income or loss for the reporting period

What is a sales invoice?

• A report that shows revenues, expenses, and net income or loss for the reporting period

• A detailed plan or estimate of expected income and expenses for a period of time

• A document that shows incoming and outgoing cash for a given period

• Charges for goods or services provided to a customer

What is a statement of account?

• A document that shows incoming and outgoing cash for a given period

• A listing of unpaid invoices as of a certain date

• A detailed plan or estimate of expected income and expenses for a period of time

• A report that shows revenues, expenses, and net income or loss for the reporting period

What should employees do before making a payment?

• Make payments by electronic funds transfer

• Use a petty cash fund for small expenses

• Prepare checks for payments

• Review all the documents related to each purchase

What is an approved voucher used for?

• To make payments for small expenses

• To track and authorize payments

• To prepare checks for payments

• To take advantage of discounts

How are payments made on the appropriate dates?

• By preparing checks

• By using a petty cash fund

• By filing vouchers by date

• By making electronic funds transfer

What is a petty cash fund used for?

• To make payments for small expenses

• To track and authorize payments

• To take advantage of discounts

• To prepare checks for payments

What must be done to a petty cash fund as needed?

• It must be authorized and tracked

• It must be replenished

• It must be used for small expenses

• It must be filed by date