WorksheetsAccounting Basics
Total questions: 15
Worksheet time: 5mins
Name
Class
Date
1.
The financial statement that reports the revenues and expenses for a period of time such as a year or a month is the:
a)
Balance Sheet
b)
Income Statement
c)
Statement of Cash Flows
d)
None of These
2.
Resources owned by a company (such as cash, accounts receivable, vehicles) are reported on the balance sheet and are referred to as __________.
a)
Assets
b)
Liabilities
c)
Owner Equity
d)
Equity
3.
Obligations (amounts owed) are reported on the balance sheet and are referred to as __________.
a)
Assets
b)
Liabilities
c)
Debt
d)
Owner Equity
4.
Revenues minus expenses equals:
a)
Assets
b)
Liabilities
c)
Owner Equity
d)
Net Income
5.
The accounting equation is
a)
Assets = Liabilities + Owner's Equity
b)
Assets = Liabilities - Owner's Equity
c)
Assets - Owner's Equity + Liability
6.
Accrual concept is based on :
a)
matching principle
b)
dual aspect principle
c)
cost principle
d)
going concern concept
7.
which category does depreciation fall under in the accounting equation?
a)
assets
b)
owners equity
c)
liability
d)
expense
e)
imputed expense
8.
A balance sheet reports a business's financial
a)
Condition over a specific period of time
b)
Progress over a specific period of time
c)
Condition on a specific date
d)
Progress on a specific date
9.
______________________ is the transfer of journalized transactions to their accounts.
a)
Posting
b)
Recording
c)
Updating
d)
Journalizing
10.
To increase a liability account requires a
a)
credit
b)
debit
11.
What is the normal balance for assets?
a)
DEBIT
b)
CREDIT
12.
Term to describe the amount of an expense due in an accounting period which is unpaid at the end of that period
a)
Prepayment
b)
Expense
c)
Accrual
d)
Unpaid income
13.
Depreciation method where a fixed percentage or fraction is written off the original cost, less any residual value, of the asset each year
a)
Carrying value
b)
Reducing balance
c)
Residual value
d)
Straight line
14.
A cash book with a credit balance indicates a bank _________
a)
Asset
b)
Loan
c)
Account
d)
Overdraft
15.
It represents advanced payments from customers which requires settlement through delivery of goods or services in the future.
a)
Sales Revenue
b)
Service Revenue
c)
Unearned Revenue
d)
Accrued Revenue
100 %
