FABM1 QUIZ BEE

Accounting is the process of ________, ________, and ________ financial information.

• Identifying

• Checking

• Recording

• Communicating

• Forecasting

Which of the following best defines accounting?

• A. The process of recording only expenses

• B. The language of business that records, summarizes, and communicates financial transactions

• C. A legal system that ensures tax compliance

• D. A method of producing goods

The accounting principle that requires companies to record assets at their original purchase price is called ________.

Which of the following accounting principles ensures that expenses are recorded in the same period as related revenues?

• Consistency Principle

• Revenue Recognition Principle

• Matching Principle

• Cost Principle

The accounting equation is ________.

If total assets increase by ₱50,000 and liabilities remain the same, what happens to owner’s equity?

• Increases by ₱50,000

• Decreases by ₱50,000

• Remains the same

• Increases by ₱25,000

The expanded accounting equation includes ________ and ________ under owner’s equity.

Which of the following is NOT an example of an asset?

• Accounts Receivable

• Equipment

• Unearned Revenue

• Cash

Which journal is used to record all transactions that do not fit into special journals?

• Sales Journal

• Purchases Journal

• General Journal

• Cash Receipts Journal

Which of the following is recorded in a subsidiary ledger?

• Cash

• Capital

• Accounts Receivable of individual customers

• Equipment depreciation