FABM

What organization defines accounting as the art of recording, classifying, and summarizing in a significant manner and in terms of money, transaction, and events.

• a. American Institute of Certified Public Accountants (AICPA)

• b. Financial Accounting Standards Board (FASB)

• c.  Government Accounting Standards Board (GASB)

• d.  Philippine Institute of Certified Public Accountants (PICPA)

. If the total liabilities amount to P 650,000 which is 1/3 of the total assets, what is the amount of the residual    

    interest of the business?

• a. 1,200,000

• b. 1,300,000                       

• c. 1,450,000

• d. 1,500,000

Purchases with down payment and the balance on account

• a. Cash receipts journal  

• b. Cash Payment Journal   

• c.       General Journal

• d. Sales Journal

This states that all materials facts that will significantly affect the financial statements must be indicated.

Cianar transferred to the business personal photography equipment valued at 100,000.00. What is the Journal Entry?

A long-term assets that are used in the operations of the company.

A customer may instead promise to pay the seller at some future time after delivery.

Is an statement that reports the results of operations of the business for one accounting period.

Which of the element of Statement of Comprehensive Income is generally used to describe revenue derived from rendering of service?

The following are the advantage of Partnership EXCEPT.

• a. A general partner has unlimited liability if the other partners are limited partners or  are insolvent.

• b. There are minimal costs and requirements in the formation.

• c. There are more funds contributed from the investment of the partners.

• d. There is infusion of more knowledge, experience, and skills from two or more partners.