Intro to Accounting Quizizz

What is the primary purpose of accounting in a business?

• To hire employees

• To keep track of all financial transactions

• To create advertisements

• To purchase inventory only

What does a business record as "sales revenue"?

• Money spent on inventory

• Money spent on wages

• Money received from customers who buy goods or services

• Money spent on advertising

What is a sole trader?

• A) A type of partnership

• B) A business owned by multiple people

• C) A business owned and managed by one person

• D) A government-owned company

What is another term for the money invested in a sole trader business?

• A) Debt

• B) Liability

• C) Equity/Capital

• D) Expense

Which of the following is an advantage of being a sole trader?

• A) Unlimited liability

• B) Need to work long hours

• C) Complete control over decisions

• D) Difficulty in getting money for expansion

What is a major disadvantage of being a sole trader?

• A) Easy setup

• B) Unlimited liability

• C) Keeping all the profits

• D) Being the boss

What is the term used to describe the money that a sole trader invests in their business when setting it up?

• Debt

• Loan

• Equity

• Grant

Which of the following is NOT a source of funding mentioned for starting up as a sole trader?

• Own Savings

• Borrowing from Family and Friends

• Busking

• Bank Loan

What is a characteristic of money borrowed from family and friends to start a business as a sole trader?

• High interest rates

• No rush to pay back and unlikely to have interest charged

• Requires collateral

• Must be repaid in monthly installments

Which payment method is NOT listed as a way for customers to pay for goods or services in a sole trader business?

• Cash

• Cheque

• Bitcoin

• PayPal