QUIZ 2- A015 (CHAP 1 & 2)

___________ is the process of identifying, recording and classifying, summarizing, analysing and interpreting business transaction.

• Bookkeeping

• Transaction

• Accounting

• Financing

The body that issues accounting standards in Malaysia is

• Bursa Malaysia

• The Malaysian Accounting Standards Board

• Bank Negara Malaysia

• Malaysian Institute of Accountants

Which of the following is one of the branches of accounting?

• Taxation

• Marketing

• Mathematics

• Econometrics

Which of the following would not be considered an external user of accounting data for a company?

• Inland Revenue Department (LHDN)

• Management

• Creditors

• Investors

Types of business activities are:

• Services, manufacturing, and company

• Services, manufacturing, and merchandising

• Services, partnership, and manufacturing

• Services and merchandising

The three types of business ownership are:

• Sole proprietorships, small businesses, and partnerships

• Sole proprietorships, partnerships, and companies

• Sole proprietorships, partnerships, and large businesses

• Financial, manufacturing, and service companies

Which of the following statements is false?

• A statement of cash flows summarizes the information about the cash flows (receipts) and outflows (payments) for a specific period of time.

• A statement of financial position reports the assets, liabilities, and owner’s equity at a specific date.

• An income statement presents the revenues, expenses, changes in owner’s equity, and resulting net income or net loss for a specific period of time.

• An owner’s equity statement summarizes the changes in owner’s equity for a specific period of time.

Which of the following can be classified as an intangible asset?

• Accounts Receivable

• Goodwill

• Capital

• Mortgage

GAAP stands for

• Generally Accepted Auditing Procedures

• Generally Accepted Auditing Principles

• Generally Accepted Accounting Principles

• Generally Accepted Accounting Procedures

Payment of an account payable affects the components of the accounting equation in the following way.

• Decreases owner’s equity and decreases liabilities

• Increases assets and decreases liabilities

• Decreases assets and increases owner’s equity

• Decreases assets and decreases liabilities