Quizz on commerce

Which accounting principle dictates that expenses should be recorded in the same period as the revenues they help to generate?

• Matching principle

• Revenue Recognition Principle

• Cost Principle

• Going Concern Principle

What is the formula for calculating net profit?What is the formula for calculating net profit?

• Revenue - Expenses

• Revenue + Expenses

• Revenue / Expenses

• Expenses - Revenue

Which of the following is NOT an asset?

• Inventory

• Accounts Payable

• Cash

• Equipment

What is the purpose of a trial balance?

• To record all transactions

• To prepare financial statements

• To ensure that debits and credits are equal

• To calculate net profit

Which financial statement provides a snapshot of a company's financial position at a specific point in time?

• Income Statement

• Balance Sheet

• Cash Flow Statement

• Statement of Retained Earnings