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Paid 15.000.000 VND on March, 1st, 20X3 for a full year's rent for the office building. The accountant recorded the full payment as administrative expense in 20X3. Which accounting concept was violated in this situation by the accountant.

• Historical cost

• Material

• Conservatism

• Matching principle

As of the end of its accounting period, December 31, Year 20X2, Great Plains Company has assets of 940.000.000 VND and liabilities of 300.000.000 VND. During Year 20X3, stockholders invested an additional 73.000.000 VND and received 33.000.000 VND in dividends from the business. What is the amount of net income during Year 20X3, assuming that as of December 31, Year 20X3, assets were 995.000.000 VND and liabilities were 270.000.000 VND

• 106.000.000 VND

• 45.000.000 VND

• 50.000.000 VND

• 370.000.000 VND

Which of the following groups are considered to be internal users of accounting information

• Employees and managers

• Employees and customers

• Customers and vendors

• Government entities and banks

Which of the following is NOT a key feature of the definition of an asset according to accounting?

• The entity's ownership of the asset.

• As a result of past events

• Control right over assets

• Potential to produce economic benefits

A business has assets of 360.000.000 VND and liabilities of 280.000.000 VND. How much is it owner's equity:

• 400.000.000 VND

• 240.000.000 VND

• 80.000.000 VND

• 160.000.000 VND

Two common areas of accounting that respectively provide information to internal and external users are:

• Managerial accounting and environmental accounting

• Financial accounting and tax accounting systems

• Managerial accounting and financial accounting

• None of the options given

The economic resources that a business controlled and expects to have the potential to produce economic benefit to entity are called:

• Revenue

• Assets

• Owner's equity

• Liabilities

Which of the following best describes accounting?

• Accounting is used only for filling out tax returns and for financial statements for various type of governmental reporting requirements

• Records economic data but does not communicate the data to users according to any specific rules.

• Accounting is an information system that provides reports to users regarding economic activities and condition of a business

• Accounting is of no use by individuals outside of the business

If total liabilities decreased by 46.000.000 VND during a period of time and stockholders' equity increased by 60.000.000 VND during the same period, the amount and direction (increase or decrease) of the period's change in total assets is:

• 106.000.000 VND decrease

• 14.000.000 VND decrease

• 14.000.000 VND increase

• 106.000.000 VND increase

Suppose the souvenir shop purchases a shop house in a good location for only 500,000,000 VND. One week later, the market value of the shop house rises to 680,000,000 VND. However, the accountant records the asset in the books at its actual purchase price of 500,000,000 VND. Which accounting principle/concept did she apply?

• Conservatism

• Going concern

• Historical cost

• Accrual basic accounting