Accounting Quiz

53.Which of the following is done internally by auditor?

• Examining the management report and determine whether it conforms to the financial statements
  

• Providing consulting services
  

• Gathering evidence on the financial control systems and the figures in the financial statements
  

• Bookkeeping
  

54. 54. A(n) __________ examines a company's accounting information system to determine whether financial reports reliably represent its operations.

• asset accounting
  

• leverage
  

• liability
  

• audit
  

57.______ is a direct tax on the earnings of individuals and corporations.

• Income tax
  

• Inheritance tax
  

• Valued added tax
  
  

• Sales tax
  

69.Because merchandising companies sell inventory, their income statements will have an additional expense item called _______.

• Cost of Goods Sold
  

• Cost of Goods Purchase
  

• Expense of Goods Purchase
  

• Expense of Goods Sold
  

17._______ prepare reports for both external and internal users.

• Audits

• Managers

• Accountants

• Clients

7.__________ are debts and obligations of a company.

• Assets

• Profit

• Liabilities

• Expenses

5.___________ are the things that a company owns and can be sold to pay debts.

• Liabilities

• Profit

• Assets

• Capital

8.__________ are money that is owed.

• Lease

• Debts

• Assets

• Expenses

13.People who specialize in the field of accounting are known as ________.

• auditor

• businesses

• accountants

• taxes

18.Quality information may help users reach more informed _______.

• identify

• images

• decisions

• action