PRACTICE QUIZ

1. Which among the following reflects the accounting equation?

• A= L - E

• A = L + E

• A+L = E

• A+E = L

2. 2. What is the last aspect of accounting?

• Classifying

• Recording

• Interpreting

• Analyzing

This focuses mainly on recording transactions.

• Accounting

• Bookkeeping

• Auditing

• Printing

This is any item that is used as standard medium of exchange

that the bank will accept at face value.

• Accounts Receivable

• Prepaid Expense

• Accounts Payable

• Cash

This pertains to the things owed by the business.

• Liability

• Asset

• Equity

• Expense

Which among the following is the most liquid asset?

• Accounts Payable

• Machine

• Cash

• Accounts Receivable

Who is the Father of Accounting?

• Friar Luca Pacioli

• Leonardo Da Vinci

• Benedetteo Cotrugli

• None of the above

This is a complete listing of all specific assets, liabilities, equity,

income, and expense with a corresponding number for reference.

• Chart of finance

• Chart of transactions

• Accounting chart

• Chart of accounts

This is the side where asset increases.

• Debit

• Credit

• Both A and B

• Neither A nor B

When something is purchased and is to be paid on a later date, this account increases.

• Asset

• Liability

• Equity

• Revenues