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Worksheets3.4 Final Accounts
Total questions: 15
Worksheet time: 11mins
Governments are interested in financial statements to determine taxes.
True
False
Which of these is NOT an Internal stakeholder.
Management
Employees
Shareholders and owners
Financiers
Which accountants' code of ethical practice is breached when an accountant shows conflict of interest in their work?
Profits
Objectivity
Professional competence and due care
Confidentiality
Which accounting standard is breached when an accountant tells his close friend the company profits?
Confidentiality
Integrity
Professional competence and due care
ACCA
What is the main purpose of the profit and loss account?
To calculate the company's assets.
To calculate the net profit or loss of the company.
To show how much has been invested in the company.
To show the company's liabilities.
Which of the following are part of the Profit and Loss Account.
Balance Sheet
The trading account
Profit and loss account
Appropriation account
Which of the following are ways to increase gross profit.
Raise the price of its products
Negotiate lower prices from suppliers
Give Leonardo DiCaprio 500 000$.
Increase promotion
The appropriation account represents:
The difference between sales revenue and the cost of goods sold.
The total value of the company to the shareholders.
The profit before interest and taxes.
The distribution of profit between shareholders and retained profit.
The balance sheet shows:
How to balance the accounts of the company.
The financial position of a company at a specific point in time.
The profit generated for the year.
The total expenses of the company.
Which of the following are intangible assets?
A patent
The Apple logo
A new computer
A mortgage loan
Which of the following best describes a capital expenditure?
money spent to acquire items in a business that will last more than a year and may be used over and over again. (Fixed Assets)
money spent on the day-to-day running of the business (ex. raw materials)
when a business sells off its unwanted or unused assets
Which of the following are effective methods of increasing net profit.
Negotiating for lower rent or relocating to a cheaper location
Streamlining operations and reducing the number of clerks.
Reduce office expenses like legal fees, stationary and telephone useage.
Increase Gross profit
Dividends are:
A part of the firm's profits paid to shareholders.
Payments that appear in the trading account
A part of the firm's profits paid to the CEO
A part of the firm's profits paid to the government
Fixed assets do not include:
Land
Machinery
Cash
Buildings
What is the formula for The Cost of Goods Sold (COGS)?
Opening stock + Purchases – closing stock
Opening stock - Purchases + closing stock
(Opening stock + closing stock) / 2
(Purchases x opening stock) - closing stock
