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WorksheetsAccounting concepts
Total questions: 30
Worksheet time: 16mins
What do we call the cash contribution an entrepreneur gives to a business?
Capital
Current income
Cash
Fixed deposit
Capital can not be one of the following listed items.
Money
Vehicle
Land and buildings
Insurance
Assets are
Items that a business owns and can sell for cash
It's the general expenses of a business
It is a loan to the owner of a business
It is a loan to a bank
Which item is not an asset?
Land and buildings
Vehicles
Bank account
Stationery
Which item from the list is a Liability?
Loan
Bank account
Vehicles
Current income
What is the main disadvantage of a loan?
Interest needs to be paid
The business can close when they have a loan
The business can earn interest on the loan
Selling products to consumers can be seen as
An income
An expense
An asset
A liability
Providing a service to clients and receiving money
Is an income
Is an expense
Is an asset
Is a liability
Incomes from providing a service is seen as
Sales
Rent income
Current income
Interest income
Which item is not an expense?
Material used in the business to render a service
Wages
Salaries
Stationery
Equipment
Expenses are ________ running the business.
capital
costs
stuff
incomes
What is the main aim for an entrepreneur to start a business.
To make a product
To make profit
To make the world a great place
To give people what they want
The opposite of making a profit is making a loss?
True
False
What source document will be received from the bank to show all the transactions that took place between the bank and the business.
Cheque account
Bank Statement
Statement of receipts and payments
Current account
A budget is a plan of how much incomes you expect to receive and how many payments you are going to make.
True
False
Who needs to be able to see the financial records of a business?
Owners
No one
Employees
Customers
Which item is an asset?
Bank
Stationery
Packing material
Material costs
Select the expense.
Wages
Furniture
Vehicles
Trading stock
Accounting is a process where information is compressed to make sense of the financial records of a business.
True
False
True or false?
Capital refers only to money contributed by the owner to the business.
True
False
The system/process that provides information about what a business has done with the money it has earned.
budgeting
accounting
bookkeeping
The accounting term used for the possessions of the business.
capital
liabilities
assets
The debts of the business.
Liabilities
Assets
Expenses
The costs of running the business
liabilities
expenses
debts
The unspent part of income
profit
loss
liabilities
savings
A ____ is the accounting term for a business deal.
sale
purchase
payment
transaction
Which one is NOT a source of income for the business?
owner wins R1 million on the lottery
income from selling goods
interest income
rent income
Information provided by a business:
Expenses: R150 000
Current income: R140 000
Profit = R10 000
Loss = R10 000
Liabilities = R150 000
Assets = R140 000
True or false:
When you borrow money from a bank, you earn interest.
True
False
Details of a transaction are recorded on a
piece of paper
source document
financial statement
spreadsheet
