Accrual and Prepayment for Expenses and Revenue

1. In accrual basis accounting, both revenues and expenses are recorded when they occur.

• Yes

• No

Revenue and expenses that are recognised will be recorded according to :

• Cash basis or bank basis

• Cash basis or accrual basis

• Cash paid or cash received

• Revenue basis or expenses basis

Which of the following that adjustment must be made for?

1. I) Accrued Expenses

2. II) Prepayment Expenses

3. III) Accrued Revenue

4. IV) Unearned Revenue

• (I) and (II)

• (II) and (III)

• (I), (II) and (III)

• All of the above

Prepaid salary is consider under?

• Current Liability

• Current Asset

Accrued Rental is consider under?

• Current liability

• Current asset

Accrued dividend received is considered under?

• Current liability

• Current asset

Prepaid commission received is consider under?

• Current liability

• Current Asset