Accounting Information Quiz

Who is an internal user of accounting information?

• Bank

• Manager

• Investor

• Government

Which of these is a decision an investor might make?

• Hire more staff

• Grant a loan

• Buy shares in the company

• Assess taxes

What does 'financial information' primarily describe?

• Employee names and addresses

• Marketing strategies and campaigns

• Money, resources, and performance of a business

• Product designs and features

A bank evaluating a business for a loan is an example of which type of user?

• Internal User

• External User

• Owner

• Employee

Which of the following is a decision an employee might make based on accounting information?

• How much tax to collect from the business.

• Whether to extend credit to the business.

• If their job is secure or if they should ask for a raise.

• To buy more products from the business.

The Bureau of Internal Revenue (BIR) uses accounting information primarily to:

• Decide on product pricing.

• Assess the correct amount of taxes.

• Determine employee salaries.

• Invest in the company.

What is an example of an asset in financial information?

• A bank loan

• Money owed to suppliers

• Cash in the bank

• Sales revenue

What is the primary purpose of financial statements?

• To list employee benefits.

• To outline product specifications.

• To report the financial performance and position of a business.

• To provide a summary of marketing efforts.

Which of the following is considered a liability in financial information?

• Accounts payable

• Investments

• Cash reserves

• Inventory

What type of user would a government agency be when analyzing a company's financial information?

• Supplier

• Shareholder

• External User

• Internal User