Financial Statements Quiz

Also known as the balance sheet. This statement includes the amounts of the company’s total assets, liabilities and owner’s equity which in totality provides the condition of the company on a specific date.

• Statement of Financial Position

• Statement of Changes in Equity

• Statement of Comprehensive Income

• Cash Flow Statement

Also known as the Income Statement. It contains the results of the company’s operations for a specific period of time.

• Statement of Financial Position

• Statement of Changes in Equity

• Statement of Comprehensive Income

• Cash Flow Statement

Provides an analysis of inflows and/or outflows of cash from/to operating, investing and financing activities.

• Statement of Financial Position

• Statement of Changes in Equity

• Statement of Comprehensive Income

• Cash Flow Statement

All changes, whether increases or decreases to the owner’s interest on the company during the period are reported here.

• Statement of Financial Position

• Statement of Changes in Equity

• Statement of Comprehensive Income

• Cash Flow Statement

This account is debited in order to record returns of customers or allowances for such returns.

• Sales discounts

• Sales returns

• Purchase discounts

• Purchase returns

This is where discounts are given to customers who pay early are recorded.

• Sales discounts

• Sales returns

• Purchase discounts

• Purchase returns

Account used to record early payments by the company to the suppliers of merchandise.

• Sales discounts

• Sales returns

• Purchase discounts

• Purchase returns

Account used to record merchandise returned by the company to their suppliers.

• Sales discounts

• Sales returns

• Purchase discounts

• Purchase returns

An entity whose assets, liabilities, income and expenses are centered or owned by only one partner.

• Corporation

• Owner’s Equity

• Sole Proprietorship

• Partnership

An entity whose assets, liabilities, income and expenses are centered or owned by itself, being a legally separate entity from its owners. Owners are called shareholders or stockholders of the company.

• Corporation

• Owner’s Equity

• Sole Proprietorship

• Partnership