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BASIC FINAL ACCOUNTS

Total questions: 15

Worksheet time: 9mins

Name
Class
Date
1.

The following are the main components of financial statements except..

a)

Trading ac

b)

Profit and loss ac

c)

SOFP

d)

Cash Book

2.

The following will be entered in cost of sales except

a)

Wages to clean Office

b)

Carriage Inwards

c)

Custom Duties

d)

Wages to carry goods

3.

What is another term for sales returns of goods?

a)

Purchase Return

b)

Return Outwards

c)

Return Inwards

d)

Carriage Returns

4.

What is another term for Purchase Return of goods?

a)

Return Outwards

b)

Return Inwards

c)

Sales Return

d)

Office return

5.

Sales deduct Cost of sales =

a)

Net profit/ (loss)

b)

Gross profit

c)

Gross (loss)/ Profit

d)

Marginal loss

6.

Total net profit+Total Expenses-Other income=

a)

Cost of sales

b)

Gross profit/(loss)

c)

Net sales

d)

Purchase

7.

Which of the following will be examples of non current assets?

a)

Vehicle for business use

b)

Vehicles for resale

c)

Inventory

d)

Receivables

8.

Closing capital =?

a)

Opening capital+ Net profit+Additional capital- drawings

b)

Opening capital +net profit-drawings

c)

opening inventory+purchase-closing inventory

d)

Non of the above

9.

The following are the examples of current liabilities except ...

a)

Trade payable

b)

Bank OD

c)

Loans payable within 8 months

d)

Loans payable more than 12 months

10.

The following are the examples of current assets except.....

a)

Inventory

b)

Bank debit balance

c)

Trade receivables

d)

Bank having credit balance

11.

What is the purpose of preparing trading account?

a)

To calculate net sales

b)

To calculate cost of sales

c)

To calculate gross profit/(loss)

d)

To calculate net proft

12.

What is the purpose of preparing profit and loss statement?

a)

To calculate gross profit

b)

To compute closing capital

c)

To calculate net profit/ (loss)

d)

To calculate cost of sales

13.

What is the purpose of preparing SOFP?

a)

To show assets, liabilities and capital.

b)

To calculate net profit.

c)

To show total assets only.

d)

To show movement in capital.

14.

Total assets=$40,000. Total liabilities=$35,000. Closing capital =?

a)

$55,000

b)

$5,000

c)

$75,000

d)

$50,000

15.

Total carriage cost = $30,000. 30% incurred to bring the goods. How much to be shown in cost of sales (C) and expenses (E)?

a)

C=$21,000 E=$9,000

b)

C=$9,000 E=$21,000

c)

C=$30,000

d)

E=$30,000 C=nil