Basic Accounting Terms Quiz

What is the process of recording, summarizing, and analyzing financial transactions called?

• Auditing

• Accounting

• Budgeting

• Forecasting

Fill in the blank: Assets = Liabilities + ________.

• Revenue

• Owner’s Equity

• Expenses

• Income

Which of the following are resources owned by a business that have economic value?

• Liabilities

• Assets

• Expenses

• Revenue

What are debts or obligations a business owes called?

• Assets

• Liabilities

• Revenue

• Equity

The owner's financial interest in the business is known as what?

• Revenue

• Owner’s Equity

• Assets

• Liabilities

Income earned from business operations is referred to as:

• Expenses

• Revenue

• Assets

• Liabilities

Costs incurred to operate the business are known as:

• Revenue

• Expenses

• Assets

• Liabilities

A financial statement that shows a company’s financial position at a specific time is called a:

• Income Statement

• Balance Sheet

• Cash Flow Statement

• General Ledger

Which financial statement reports revenue and expenses over a period?

• Balance Sheet

• Income Statement

• Cash Flow Statement

• Trial Balance

A report showing cash inflows and outflows is known as a:

• Balance Sheet

• Income Statement

• Cash Flow Statement

• General Ledger